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CoreyP's avatar
CoreyP
Solution Sage
8 years ago

Overtime Calculations...? STUMPED!

Hey you, Guru!

 

Okay, so here's the rub...

I work in a warehouse-type facility, doing logistics. We have MANY "business units" and MANY "activities." 

An activity describes the task the employee is performing while the business unit describes the client they're performing said activity for. 

 

What I want is...

..to be able to not only calculate correct overtime costs, but to be able to attribute the overtime hours to a specific activity and business unit. 

 

Now, by law where I'm at, overtime is defined as any labor hours worked past 40 hours in any work week. Our work weeks are defined by "week ending" periods, Monday through Sunday.

 

But I can't simply say, "any hours for any employee over 40 for the week ending period is overtime." BECAUSE, for example, say an employee accrued 40 hours doing "Packing" for "Company A," Monday-Thurs. Then on Friday, they worked a normal 8 hour shift still "Packing" but for "Company B." As you can see, we cannot charge Company B overtime because technically, only 8 hours has been worked for them. 

 

Likewise, we cannot simply say, "any employee over 8 hours for any given day is now in overtime," because they could work 2 x 18 hour days, and still not surpass 40 hours in the week, and therefore not be in overtime. 

 

However, within our company, we decided that any employee who records more than 8 hours in any day, is doing "overtime labor." BECAUSE management made the decision to keep this person here longer so they could complete whatever it is they were working on before the end of the day. 

 

So, it's weird. I know I'm going to have to write something along the lines of "If the sum of hours for any employee for any given week ending period is greater than 40, then any time over 8 hours for any day within that same week, is overtime. 

 

I dunno. This one is tricky AF. Thoughts?

 

 

4 Replies

  • well explained, basically these are the business rules:

     

    1. Daily work more than 8 hours is treated as overtime

    2. Sum of hours in a week (week = monday to sunday) > 40 hours will be treated as overtime

     

    Is this correct understanding?

     

    As I always request, drop some data in excel sheet, it will help.

    • CoreyP's avatar
      CoreyP
      Solution Sage

      That's kind of the jist. 

       

                     Table = WEEK

      Date             |       Hours      |         OT

       

      Monday               7.50

      Tuesday               8.33               

      Wednesday          9.1                 

      Thursday              6.79

      Friday                   7.40

      Saturday               0

      Sunday                 0

       

      In the above example, even though the employee went over 8 hours on two days, technically, did not work any overtime because the total amount of hours is less than 40, at 39.12.

       

      It's like ONLY if the total is greater than 40, then the days over 8 are overtime. 

       

      Here's a week's worth of labor data. Last names removed for security. CLICK HERE FOR *.xlsx labor example

  • CoreyP's avatar
    CoreyP
    Solution Sage

    I got a notification asking if it solved my problem...

     

    I don't see any posts?