roseo
01-16-2008, 10:45 AM
I tried looking to see if this question has come up on a previous thread, but at a quick glance, I didnt see it, so I apologize if If this is a repeat question:
We pay our employees semi-monthly; on the 7th and the 22nd of each month.
We leave one week in. Our pay-periods will fluctuate in the amount of hours that it will have, sometimes 86.8, 88 hours, 96 hours. Our Worweek begins at the begining of the payperiod, for example: next payperiod is 1/16 to 1/31
Just wondering how/if overtime laws apply to this pay schedule for salaried-non-exempt employees
Thanks
Work weeks and pay periods are not legally related to each other. Work weeks under federal law (FSLA) are always exactly 168 hours long. The fact that you have a SM pay period does not change that. Let's say that Bob is Non-Exempt salaried paid SM and is currently working 9 hours per day, 5 days per week (5 hours OT per week). The workweek ends Sunday.
Given the example below, the red area is the current pay period. The weeks are displayed on a workweek basis. The workweek is not the pay period.
- In week one, the first 18 hours are part of a different pay period. The remaining 27 hours includes 5 hours OT.
- In week two, all 45 hours worked are the same pay period, with 5 hours OT.
- In week three, the first 27 hours are part of the same pay period, with no OT for the current pay period. The remaining 18 hours worked belong to a different pay period, including 5 OT hours. However, the overtime for this workweek did not actually occur until the following pay period. This is the reason that many people do not like using semi-monthly payrolls. Overtime is much easier with WK or BW payrolls.
- For the current pay period only, we would pay Bob his normal salary, plus 10 hours OT.
9-9-9-9-9-0-0
9-9-9-9-9-0-0
9-9-9-9-9-0-0
roseo
01-16-2008, 02:03 PM
Does the fact that we have 24 payperiods, instead of 26, change anything in your answer?
No, because my answer was specific to semi-monthly payroll, which has exactly 24 pay periods annually. It is bi-weekly payroll that has 26-27 pay periods annually.