Payroll Standard Operating Procedure 4.0: FLSA Overtime Calculations for Biweekly Payroll

Subject: FLSA Overtime Calculator for Biweekly Payroll

Source: Financial Management Services

Original Date of Issue: August 2008

Date of Last Revision: August 2017

Rationale: To compute an estimate of overtime pay for situations in which multiple rates or bonus-type payments that will inflate the overtime rate are involved.

Procedure

This calculator, provided in the FLSA Excel 97-03 worksheet (xls), will help you compute an estimate of overtime pay for situations where multiple rates (weighted average) or bonus-type payments (that will inflate the overtime rate) are involved. Due to rounding, the actual amount paid may be slightly different than the calculated amount on this spreadsheet.

Fill in the hours and rate information in the worksheet, as well as the total of any bonus-type payments the employee will receive in the given earnings period. There are comments throughout the Excel document that will both help you know what to enter and will explain the calculated amounts. You can see these comments by placing your mouse over a cell that has a red triangle in the top right hand corner.

Only enter in data the orange sections, and only enter what is earned for a 1-week period. If you have more than one week to calculate, you will need to do it separately. After you calculate the first week, you can use the Clear button on the spreadsheet to reset the worksheet. First, however, you will need to enable the macro to run.

Link to the FLSA Excel 97-03 worksheet (xls)


Cross Reference:

Responsible Organization: Financial Management Services