How Do I Select the Premium Calculation Rate Rule for Overtime Elements

When defining Standard earning elements of Premium secondary classification, the Elements task requires you select an Overtime calculation rate rule.

Calculation rate rule	What it does
Blended Rate	Bases the rate on the calculation of the employee's gross hourly rate. Determined by dividing the Overtime earnings by Overtime hours.
Higher of Blended or Normal Rate	Uses either the blended rate or the normal rate, whichever is higher. The normal rate is defined either on the salary basis or through element entry input values.

The blended rate differs from regular rate only when the employee is paid with supplemental earnings, such as bonus or commission.