Automatic Adjustment for Additional Hours
An employee's standard hours are defined by your Employment Agreements. They are used when determining what a day or week is and leave entitlements on anniversaries. We recommend that they are reviewed regularly for any changes and that you add a Work Pattern to the Personal Details for everyone.
Any hours paid at the normal rate, that are over and above the agreed standard hours for the pay period (that includes any leave paid in the period) are categorised as Additional Hours. Overtime or Penal time are not.
Example:
Standard hours agreed as per employment agreement: 40 per week or 80 for a fortnight
Person has taken leave of 2 days or 16 hours in this pay.
They worked an extra 2 hours each day on Monday and Tuesday, so 44 for the week or 84 for the fortnight, there are 4 additional hours
If the extra 4 hours were paid at an overtime or penal rate i.e. Time and a half, they are not additional hours.
Only change the Hrs/week on the Personal Details page for the purposes of Additional hours, for a Part Time person if they don't have standard hours on their Timesheet Template.
Please be careful if you are also using this as a divisor for the PA (Per Annum) salary of the person and you will need to amend the salary to get the correct hourly rate. If they are paid by the hour you won't have to change anything.
Update their Work Pattern to reflect the hours they work each day.
Additional Hours Automatic Adjustment
Using the standard hours or Maximum ordinary hours that have been entered to a Person's Timesheet Template (if this is not completed, the Hrs/Week from the Personal Details page) to compare to the total holiday pay liable hours on a Person's Timesheet entry in the pay. An automatic adjustment will be generated in the Timesheet for any hours greater than the standard or maximum and tagged as additional hours. Once enabled it will calculate on all timesheets in the open pay. If no additional hours are present, no adjustment is calculated. Payments are not changed. The automatic entries do not display on payslips.
To Enable the setting
Contact our support team to have it enabled for your payroll.
If you are using Additional Hours
If you are currently using AH - Additional hours you will not need to manually enter any hours over the Maximum ordinary hours, if the setting is enabled. You can still manually enter the additional hours if you want to.
If you are not using Additional Hours
If you are not using AH - Additional hours, we recommend you enable this setting to ensure that leave calculations are in line with future enhancements.
Timesheet Entry page
On each change made to a timesheet entry it will compare the total hours to the Timesheet Template hours (if completed) or Hrs/Week and if the timesheet hours are greater, AUTO-ORD-ADJ and AUTO-AH-ADJ entries will display. Payments will not be changed and these entries will not display on payslips.
How you enter the extra hours is flexible, you can upload a total for the pay period, if you enter a new line of T1-ordinary or multiple lines, the total hours on the timesheet will determine the adjustment and will recalculate each time you add or remove entries.
Timelog entries will generate AUTO adjusting entries, if there are no standard hours on the Timesheet Template, the Hrs/Week on the Personal Details page will determine the standard hours.
Timesheet Entry View
Person has 80 hours on their Timesheet Template and this is split over 5 different cost centres.
In this fortnights pay, they worked an extra 7 hours all relating to Cost Centre CC005, which was added to their timesheet entry (normally its 10, so this pay its 17). Additional hours are calculated at 7 over their standard for the pay period.
Payslip View
The payslip does not show the AUTO adjustments, just like cost centre information is not displayed to employee's.
Overriding the Automatic Adjustments
There are times when you will know that hours are not additional, you may be paying someone for 2 days from the last pay period (they started working just before the pay was processed and were happy to wait until next pay). These aren't additional, you are catching up.
- Select the AUTO-AH-ADJ line and override the hours
- Add a note (this is only displayed on this entry)
This person works 75 hours per fortnight.