State Overtime Laws

Modified on Tue, 02 Apr 2024 at 08:12 AM

Each Time Card has a Payroll State. We calculate overtime, double hours according to overtime laws in that State. Overtime and double hours limits are set up in the State card.


Additionally, you can exclude from the overtime calculation all hours worked in a particular state.

You can also exclude overtime for an employee in general, or not calculate overtime for that employee for hours worked in the specific state. Lean more here.


States reference is accessible for users with administrator access.







Overtime Laws


Week Overtime Hrs — the limit of the total regular hours per week. All hours beyond this total are considered as overtime hours.


It should be noted here that we define the beginning of the week in a work calendar. Usually it is Sunday, but can be changed on your request. 


Daily Overtime Hrs — the limit of regular total hours per day. All Time Card hours that are more than the limit are overtime hours.


Daily Double Hrs — the limit of regular and overtime hours a day. If the total of regular + overtime hrs is on top of the determined number, all hrs left are counted as double.


Double Hrs must be always more than Daily Overtime Hrs.



Total Work Days Overtime (Days) — after the number of specified days has expired, all hours starting from the next day are overtime hrs.

For this limit, you can also specify another setting — Total Work Days Double (Hrs). It shows the maximum of daily overtime hrs allowed for overtime work days. Anything over this limit has double wage.


Allow Finish Lunch is used for some states which require lunch breaks. So, Employees who are allowed to record lunch hrs manually  (through the FCX mobile app) should use all lunch hrs. They cannot opt out or stop lunch in advance if the minimum of lunch break time hasn't yet expired.






PW Overtime Laws

On the PW Overtime Laws tab we determine overtime, double limits for prevailing wage hours.

The calculating method is akin to how we count overtime and double hours after exceeding the limit of regular hours. The only difference is that we take the total of PW Regular hrs to check whether it exceeds specified limits.

PW Week Overtime (Hrs) — the maximum sum of PW Regular Hours for a week. All that is above, will be PW Overtime hours.


PW Daily Overtime (Hrs) — the daily limit of PW Regular hours. All on top is PW Overtime hrs.


PW Daily Double (Hrs) — the daily maximum of PW Regular and Overtime hrs. Anything that more than the sum of these hours are PW Double hrs.


The group of overtime settings based on the number of work days:

PW Total Work Days Overtime (days) — after the number of specified days has expired, all hours starting from the next day are PW Overtime hrs.

PW Total Work Days Double (Hrs) — the maximum of PW Overtime hrs per day. Anything over this limit is PW Double hrs.


The number of days you specify in the Total working days overtime/PW Total working days... settings is a number of consecutive working days. It is the number of consecutive time cards on which each one has approved hours, and the whole day is not excluded from overtime.  Overtime is only calculated if this condition is met.


Overtime day — indicates that all hours worked on the selected day of the week will be overtime.


Double day — indicates that all hours worked on the selected day of the week will be double.



What about overnight shifts?

Let's say, the Overtime day is Saturday and the Double day is Sunday. And no other OT rules are set up (in the Employee's TK Config, Cost Type, etc.).

  • Shift from Friday to Saturday — regular hours.
  • Shift from Saturday to Sunday — overtime hours
  • Shift from Sunday to Monday — double hours. 

Find more about overtime hours calculation for Overnight Shifts here.


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