Overtime
Log, approve, and track overtime hours for accurate payroll calculations.
Overview
The Overtime screen provides a structured way to log extra working hours, get them approved, and have them flow automatically into payroll calculations. No manual spreadsheets, no emailing hour totals to Finance — approved overtime appears in the Payroll module as a line item ready to include in the next pay run.
Each overtime entry records the employee, the date, the number of hours worked beyond the standard day, and the reason. Managers review and approve or reject each entry individually.
Payroll Integration
Approved overtime hours flow directly into Finance → Payroll. When you run payroll for the month, each employee's approved overtime hours are already populated in the overtime column — no manual transfer required.
Recording Overtime
- Click Add Overtime in the screen header.
- Select the Employee from the dropdown.
- Set the Date — the specific day on which the overtime was worked.
- Enter the number of Overtime Hours (decimal values accepted, e.g.
2.5for two and a half hours). - Enter a Reason — for example "End-of-quarter data migration", "Emergency client support", or "Product launch preparation". A clear reason helps managers approve quickly and provides an audit trail.
- Click Save. The entry is created with a Pending status.
Log on the Day
The most accurate practice is to log overtime on the same day it occurs. Retroactive logging (entering multiple days at once at month end) is supported but makes the reason field harder to fill accurately. Encourage employees or team leads to log on the day.
Approval
The approval flow for overtime is identical to Leave Management:
- Click the Pending filter pill to see only unreviewed entries.
- Click any row to open the detail view.
- Click Approve to accept the hours — they immediately become available in Payroll.
- Click Reject to decline — optionally record a rejection reason (e.g. "Overtime not pre-authorised").
Approve Before Payroll Run
All overtime entries must be approved before you run payroll for the period. Any Pending entries at payroll time will NOT be included in the payroll calculation. Set a monthly deadline — for example, all overtime must be submitted and approved by the 25th of each month — to ensure nothing is missed.
Monthly Summary
The screen header shows four summary stat cards for the selected time period:
| Stat Card | Description |
|---|---|
| Total Hours Submitted | Sum of all overtime hours regardless of approval status |
| Hours Pending | Overtime hours awaiting manager approval |
| Hours Approved | Overtime hours approved and ready for payroll |
| Employees with Overtime | Count of unique employees with at least one entry in the period |
Use the month/year selector to view totals for a specific pay period. This helps you quickly confirm that the figures you are about to send to Payroll are correct.
Department Breakdown
Below the summary cards, a department breakdown table shows total approved overtime hours per department for the selected month. This is useful for identifying which teams are consistently working beyond standard hours — a signal that may indicate resourcing issues, project timeline pressure, or seasonal peaks.
Payroll Integration Detail
When overtime is approved, the Payroll module uses it in the net pay calculation as follows:
Overtime Pay = Approved Overtime Hours × (Base Salary / Monthly Working Hours) × Overtime Rate Multiplier
- Base Salary — the monthly gross salary stored on the employee record in Employees.
- Monthly Working Hours — default is 160 hours (40 hours/week × 4 weeks). Adjustable in Settings.
- Overtime Rate Multiplier — default is 1.5× (time and a half). Adjustable per employee or globally in Settings.
Changing the Overtime Rate
Navigate to Settings → HR → Payroll Rules to change the default overtime multiplier. You can set different rates for weekday overtime, weekend overtime, and public holiday overtime. Changes take effect on the next payroll run.