Human Resources

Human Resources

Home > Payroll > Overtime Calculation and Allocation

Overtime Calculation and Allocation

OVERTIME will be calculated as follows (with the exception of a union agreement) for hours worked in excess of 40 hours per week:

If all hours on the timesheet are recorded as regular hours (REG), then any overtime hours will be allocated based on the work week distribution for that employee. (The regular hours will be allocated to the center designated on the timesheet). If any portion of the overtime is charged to federal funds, then an equitable distribution as shown in the example below must occur.

Example: Employee records 38 hours of REG for center 4-44-443-0000 and 12 hours of REG for center 4-44-450-0000. Total hours recorded equals 50 hours, which are 40 regular hours and 10 overtime hours. The ten hours will be allocated as follows:
4-44-443-0000 38/50 = 76% so, 76% x 10 hours = 7.6 hours
4-44-450-0000 12/50 = 24% so, 24% x 10 hours = 2.4 hours

100% of the overtime may be charged to institutional funds (not grants or contracts). If the overtime distribution is specified on the time record using the OTP (overtime pay) earnings code, then overtime will be allocated to the non-grant/contract center(s) as indicated on the timesheet.

Note: flexPTO hours do not count toward overtime.


©