FLSA Rates with Mid-Period Rate Changes
This example illustrates how the system calculates the FLSA rate when a rate change occurs mid-period.
An employee is paid weekly. The pay period begin date is May 15, 2000 (Monday) and the end date is May 21, 2000 (Sunday). The employee works a Monday-through-Friday schedule. Her rate is 10 USD per hour, but she gets a pay rate increase, effective May 18, 2000, to 20 USD per hour.
This diagram shows an example of two-payline paysheet with a mid-period rate change:
This diagram shows an example of two-payline paysheet with a mid-period rate change.
Note: The system's FLSA rate calculation incorporates the entire period. This means that only one FLSA rate exists for the entire period.
FLSA Calculation
The following table displays the FLSA calculation:
|
Item |
Amount |
Calculation |
|---|---|---|
|
Regular hours |
24 at 10.00 USD per hour |
240.00 USD |
|
Overtime hours |
4 at 10.00 USD per hour |
40.00 USD |
|
Shift premium |
|
500.00 USD |
|
Regular hours |
16 at 20.00 USD per hour |
320.00 USD |
|
Overtime hours |
6 at 20.00 USD per hour |
120.00 USD |
|
Shift premium |
|
500.00 USD |
|
Total |
50 hours |
1700.00 USD |
The FLSA rate equals 34.00 USD per hour, or 1,700 USD for 50 hours.
Paycheck Results
The following table displays the paycheck results:
|
Item |
Amount |
Calculation |
|---|---|---|
|
Regular hours |
24.0 |
240.00 USD (24 hrs× 10 USD per hour) |
|
Overtime hours |
6.0 |
162.00 USD (6 hrs × 10 USD per hour + 6 hrs × 0.5 × 34 USD per hour) |
|
Shift |
500.00 USD |
|
|
Regular hours |
16.0 |
320.00 USD (16 hrs × 20 USD per hour) |
|
Overtime hours |
4.0 |
148.00 USD (4 hrs × 20 USD per hour + 4 hrs × 0.5 × 34 USD per hour) |
|
Shift |
500.00 USD |
Note: The system calculates the FLSA rate for the entire period, and the overtime premium (the 0.5 part of the overtime) uses the FLSA rate for both.