Example of Overtime Pay Calculation on Adjusted Flat Sum Bonus Payment

In this example, an adjustment (flat sum bonus) has been made to the same FLSA period as the previous example. This action results in a recalculation of the regular bonus rate and overtime payments for that FLSA week. In this scenario, the old bonus rate will be backed out, and a new one calculated.

1. The user enters $200 of flat sum bonus to the payline for the previous FLSA period:

   Term	Definition
   Current Pay Period	09/17/2018 - 09/23/2018
   FLSA Period	09/10/2018 - 09/16/2018
   Flat Sum Bonus	$200 (new payment entered for the FLSA period) ($100 from prior period confirmed check)
   Reg Hours	(16 hours from prior period confirmed check)
   OT Hours (OTP)	(10 hours from prior period confirmed check)
   Double Time Hour (DBT)	(10 hours from prior period confirmed check)

2. The system calculates the regular bonus rate in Pay Calculation, and inserts a new payline that contains the OT3 and OT4 earnings codes in the Other Earnings section with the corresponding number of hours, and the updated regular bonus rate before the multiplication factor is applied, which is $18.75 ($300 / 16). The $300 amount is the sum of the newly entered $200 and the $100 from the confirmed check of the prior period.

   This example illustrates the fields and controls on the Payline page where mapped overtime codes, hours and updated bonus rate are displayed.

   

   The old regular bonus rate of $6.25 is backed out:

   This example illustrates the fields and controls on the Payline page where the old bonus rate is backed out.

   

3. The paycheck displays the updated hourly rate with the multiplication factor applied and amount for each of the Overtime on Flat Sum Bonus earnings codes OT3 and OT4:

   • Time-and-one-half (1.5) Overtime Pay on Flat Sum Bonus (OT3):

     $18.75 x 1.5 x 10 = $281.25

   • Double-time (2.0) Pay on Flat Sum Bonus (OT4):

     $18.75 x 2 x 10 = $375.00

   This example illustrates the fields and controls on the Paycheck Earnings page where the updated hourly rates (multiplication factor applied) and amounts for overtime on flat sum bonus are displayed.

   

   The old overtime pay amounts ($93.75 and $125.00) that were calculated using the old regular bonus rate ($6.25) are backed out:

   This example illustrates the fields and controls on the Paycheck Earnings page where the old bonus rates are backed out.

   

   Detail lines for the updated Overtime on Flat Sum Bonus calculations are displayed in the PDF version of the paycheck as follows:

   This example illustrates the PDF version of the paycheck where updated overtime pay on flat sum bonus is displayed.