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Add overtime amounts to payroll using time attendance data

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This article is for owners and admins who use Humanised

Overview

  • Automatically calculate and add overtime amounts from time attendance data from your biometrics machin

Step 1 – Configure company settings for overtime

If you haven’t done this already, go to company settings and set up the following configurations for overtime calculations.

  • Switch on “include leave calculations in payroll” toggle and select “Bulk file upload” from below.
  • Switch on “Overtime” for the organization and select which pay categories will be considered for the overtime rate. Please note that the current version only supports one overtime category to be calculated using time attendance.

Step 2 – Upload and approve total overtime time for the month from time attendance feature

This functionality is there for all our clients who has requested to use time attendance feature in Humanised Payroll. Before you can use the time attendance feature, our team will make sure the timesheet that you download from your biometrics machine (typically an excel sheet) is compatible with our software. That way you can simply upload that same file into Humanised without any additional changes.

If you have done all that previously, you can simply upload your time sheet for the month and review the overtime and other pay categories that are now calculated for you by Humanised.

Once you have approved a time sheet for a month, that’ll be available for you to create a payrun with. This means the time sheet should be approved before you create a payrun.

Step 3 – Create a payrun

When you upload the CSV and create a payrun, the system will look for the data you have logged in the column for each employee. If there are any overtime times, the overtime amount will be calculated and added to the pay details for relevant employees.

Example:

let’s imagine you are running a payroll under the following parameters, pay cycle start date – 1st of the month, Pay period – June, no.of days per month – calendar days, and overtime rate is calculated from basic salary only.

If this case if an employee named Kamal has 2 days and 4 hours of overtime and a basic salary of LKR 60,000, overtime rate per hour will be,

60,000 basic salary /30 days/ 8 hours = 250 per hour

Therefore, for 2 days and 4 hours of overtime, his overtime amount will be = LKR 5,000//

What's next?:

Calculate Prorata in payrun

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