The overtime item usage setting affects the entire company. When viewing past data after changing this setting, the interpretation or display of work data may differ.
You can change back to the original setting at any time, but please fully understand this guide before configuring overtime item usage. To manage your company's overtime settings, you need the [Settings] → [Permission Settings] → [Overtime and Compensation Policy Management] permission.
Overtime Item Usage Settings
In the left menu, click [Settings] → [Overtime Settings] → [Overtime Item Usage Settings].
What Is Overtime Item Usage?
Overtime item usage is an option that determines how your company displays and interprets overtime. Because the same overtime is expressed differently depending on whether you select [3 Items] or [7 Items], the following are affected:
Overtime details when granting compensatory leave
Overtime details when downloading attendance reports
Overtime details during payroll settlement
Please confirm how your company determines and operates overtime before configuring.
With [3 Items] selected, overtime is expressed using a total of 3 items:
Overtime,Night,Holiday(4 items ifStatutory Overtimeis included).Since overtime is split into separate
Overtime,Night,Holidayitems, combined items such asOvertime+Night,Overtime+Holiday,Holiday+Night,Overtime+Night+Holiday,Statutory Overtime+Nightdo not occur.For a member working 9-to-6 who works from 18:00 to 03:00 the next morning, overtime is interpreted as follows. Night hours are calculated separately from total overtime hours.
Overtime: 18:00–03:00 (9 hours)
Night work: 22:00–03:00 (5 hours)
With [7 Items] selected, overtime is expressed using a total of 7 items:
Overtime,Night,Holiday,Overtime+Night,Overtime+Holiday,Holiday+Night,Overtime+Night+Holiday(9 items ifStatutory OvertimeandStatutory Overtime+Nightare included).For a member working 9-to-6 who works from 18:00 to 03:00 the next morning, overtime is interpreted as follows:
Of total 9 hours overtime:
Overtime: 18:00–22:00 (4 hours)
Overtime+Night (hours that are both overtime and night work): 22:00–03:00 (5 hours)
In other words, the same overtime is expressed differently depending on the overtime item usage setting.
Let's look at one more example:
A 9–18 member works until 04:00 the next morning, incurring 10 hours of overtime (18:00–04:00), of which 6 hours (22:00–04:00) are night work:
With [3 Items]:
Overtime: 10 hours
Night: 6 hours
With [7 Items]:
Overtime: 4 hours
Overtime+Night: 6 hours
Interpretation of Comprehensive Contract Hours by Overtime Item Setting
The 3-item vs. 7-item setting also affects compensatory leave and attendance reports. In addition, the interpretation of comprehensive contracts differs. When deducting comprehensive contract hours from incurred overtime, only matching item types are deducted from each other. This affects the following:
Comprehensive contract deduction from overtime when downloading attendance reports
Comprehensive contract deduction from overtime when granting compensatory leave
Comprehensive contract deduction from overtime during payroll settlement
Suppose a member has a comprehensive contract of [Weekly
Overtime+Night12 hours], and 10 hours of overtime occurred of which 6 hours were night work (after 22:00).With [3 Items], the comprehensive contract hours are interpreted as follows:
Item | Hours & Interpretation |
Comprehensive contract hours | Interpreted as two separate comprehensive contracts: Overtime 12h and Night 12h. |
Overtime incurred | Overtime 10h, Night 6h |
Compensation obligation waived | Overtime 10h, Night 6h — no excess beyond comprehensive contract (no additional compensation required). |
Remaining comprehensive contract | Overtime 2h (12h − 10h), Night 6h (12h − 6h) |
With [7 Items], the comprehensive contract hours are interpreted as follows:
Item | Hours & Interpretation |
Comprehensive contract hours | Interpreted as a comprehensive contract only for |
Overtime incurred | Overtime 4h, |
Compensation obligation waived |
|
Remaining comprehensive contract |
|
Statutory Overtime Deduction Settings
❗ The statutory overtime deduction setting affects the entire company.
Scope of impact:
Comprehensive contract deduction from overtime when downloading attendance reports
Comprehensive contract deduction from overtime when granting compensatory leave
Comprehensive contract deduction from overtime during payroll settlement
When viewing past data after changing this setting, the data interpretation or display may differ.
You can change back to the original setting at any time, but please fully understand before adjusting.
If your company does not distinguish or use statutory overtime, please disable [Use Statutory and Regular Overtime Separately] in the work type settings under overtime recording settings.
In the left menu, click [Settings] → [Overtime Settings] → [Use Statutory and Regular Overtime Separately].
You can view the list of work types that have statutory overtime enabled.
Click a work type to configure whether [Statutory Overtime Settings] is enabled in that work type's settings.
When disabled (Use Statutory and Regular Overtime Separately = OFF): Statutory overtime is counted as regular overtime.
When enabled (Use Statutory and Regular Overtime Separately = ON): Statutory overtime is treated separately from regular overtime.
In the left menu, click [Settings] → [Overtime Settings] → [Statutory Overtime Deduction Settings].
Statutory overtime deduction is an option that determines how
Overtimehours in comprehensive contracts are displayed and interpreted forStatutory Overtime.When set to [Include (ON)]:
After all
Overtimeis deducted by the comprehensive contract'sOvertimeportion, if any remaining balance exists, statutory overtime incurred can additionally be deducted.The recommended setting is [Include (ON)].
When set to [Exclude (OFF)]:
Statutory overtime incurred cannot be deducted by comprehensive contract.
Let's look at an example:
A member has a comprehensive contract for 8 hours of Overtime, and 4 hours of Statutory Overtime occurred.
When set to [Include (ON)]:
Statutory overtime deduction enabled — 4 hours of
Statutory Overtimeare exempt from compensation obligation via comprehensive contract.No excess beyond comprehensive contract (no additional compensation required).
Remaining comprehensive contract (future incurred hours exempt from obligation):
Overtime4h (comprehensive contract 8h − statutory overtime 4h).
When set to [Exclude (OFF)]:
Statutory overtime deduction disabled — 4 hours of
Statutory Overtimeare NOT exempt from compensation obligation via comprehensive contract.Excess beyond comprehensive contract (additional compensation required):
Statutory Overtime4h.Remaining comprehensive contract:
Overtime8h.
Overtime Compensation Policy
❗ The overtime compensation policy is a setting applied per member and per specific period.
Scope of impact:
Comprehensive contract deduction from overtime when downloading attendance reports
Comprehensive contract deduction from overtime when granting compensatory leave
Comprehensive contract deduction from overtime during payroll settlement
If your company does not use comprehensive contracts, you can leave this policy at its default value.
In the left menu, click [Settings] → [Overtime Settings] → [Add Compensation Policy].
Enter the overtime compensation policy name and select the contract deduction cycle, then click [Save].
Members are automatically mapped to the first [Default] overtime compensation policy created.
If your company uses a monthly comprehensive contract, set the deduction cycle to [Monthly]; if weekly, set it to [Weekly].
Deduction cycle: Monthly | Deduction cycle: Weekly | |
Comprehensive contract input: Monthly | Deducts (input comprehensive contract amount) from overtime cut by 1-month intervals. | Deducts (input comprehensive contract amount / average weeks per month) from overtime cut by 1-week intervals. |
Comprehensive contract input: Weekly | Deducts (input comprehensive contract amount × average weeks per month) from overtime cut by 1-month intervals. | Deducts (input comprehensive contract amount) from overtime cut by 1-week intervals. |
Multiple overtime compensation policies can be created. If your company operates two or more payroll settlement types (e.g., contract vs. regular employees, hourly vs. monthly salary), you can create and assign a policy matching each member's settlement cycle.
For example, if contract employees have a pay date of the 25th and regular employees have a pay date of the 10th with different overtime settlement periods, create two policies and apply different ones to each group.
Setting the comprehensive contract deduction cycle lets you determine how to interpret "1 month" in a comprehensive contract.
Let's look at an example:
A member has a monthly comprehensive contract for 10 hours of
Overtime. On Jan 1, 2024, 10h of overtime occurred; on Jan 15, 2024, another 10h occurred.Deduction cycle set to "1st–31st of each month":
Of the total 20h overtime incurred Jan 1–31, 2024:
Comprehensive contract exempts
Overtime10h from compensation obligation.Excess beyond comprehensive contract (additional compensation required):
Overtime10h (overtime from Jan 15).Overall,
Overtime10h excess beyond comprehensive contract.
Deduction cycle set to "10th of each month – 9th of next month":
Of the total 10h overtime incurred Dec 10, 2023 – Jan 9, 2024:
Comprehensive contract exempts
Overtime10h from obligation.No excess beyond comprehensive contract.
Because the Jan 15 [Overtime] work is not included in this deduction cycle.
Of the total 10h overtime incurred Jan 10 – Feb 9, 2024:
Comprehensive contract exempts
Overtime10h (Jan 15 overtime) from obligation.No excess beyond comprehensive contract.
Overall, no excess beyond comprehensive contract.
By default, the "comprehensive contract deduction cycle" set in the overtime compensation policy is used to manage comprehensive contract amounts and excesses every 1 month. However, in the following situations the cycle may be cut short of a full month:
A member joins or leaves in the middle of a deduction cycle
The applied overtime compensation policy changes in the middle of a deduction cycle
In these cases, the cut cycle is prorated relative to the original cycle length for the comprehensive contract amount.
Let's look at an example:
If the deduction cycle changes from [1st–31st] → [15th–14th of next month] on January 10, 2024, two cut cycles are created:
2024-01-01 ~ 2024-01-09 (1st–31st cycle)
The uncut original cycle is 2024-01-01~2024-01-31, totaling 31 days.
9 days are included, so (9/31) of the comprehensive contract amount specified for 1 month is treated as the comprehensive contract for this period.
2024-01-10 ~ 2024-01-14 (15th–14th cycle)
The uncut original cycle is 2023-12-15~2024-01-14, totaling 31 days.
5 days (2024-01-10~2024-01-14) are included, so (5/31) of the monthly comprehensive contract amount is treated as the comprehensive contract for this period.
The same prorated calculation applies when the cycle is cut due to a hire or resignation.
FAQ
What are the overtime items?
What are the overtime items?
See the table below for overtime items and their respective premium rates :)
Where can I enter and check the comprehensive contract hours agreed with a member?
Where can I enter and check the comprehensive contract hours agreed with a member?
Go to the member profile → Wage Contract Info to enter and check!
How do I apply a created overtime policy to a member?
How do I apply a created overtime policy to a member?
Go to [Member Management] → [Work Info Change] on the left to make the change.
