For DSPs: Set and edit pay for public holidays

Modified on Tue, 30 Sep at 2:58 PM

In this article we will explain how you can set overtime, undertake and adjust pay for public holidays for your employees. At first, please keep in mind that:

This functionality is only available for DSPs located in Germany.

This process is only relevant for hourly paid employees.

It is absolutely necessary to have created an accurate public holiday for each location. Read this article for more information.

TABLE OF CONTENTS

Set Overtime and public holiday pay rules
Overtime rules
Pay out overtime
Allow negative hours
Set public holiday pay rule
Edit paid public holiday in the payroll preview

Set Overtime and public holiday pay rules

Go to Attendance > Settings > Policies
Choose an existing policy
Click on the three-dot-menu at the very end of the policy line
Choose 2 Edit policy settings
Navigate to RULES
Select Overtime and pay rules

Overtime rules

When you want to enable overtime for your employees, you need to select a method by which the overtime will be calculated.

Enable overtime

To enable overtime, check the box in the right corner
Define the calculation method

Any changes here will only apply to current and future payrolls. Past data will not be changed.

Weekly

For weekly calculations, the system uses the contracted weekly hours and working days defined in the employee profile. You can see how overtime is calculated on a weekly basis in the example provided.

Example: Employee A's contracted weekly hours are 40 hours and for this specific week he worked 35 hours and one full day was a public holiday of 8 hours, he has now 35 hours of worked time + 8 paid time off= 43 hours. Additionally he has 4 hours of other Paid Time off (PTO) this week, which will lead us 35 hours of worked time + 12 hours of paid time off = 47 hours. So now we have 7 hours of tracked overtime for him for this specific week.

Expected monthly

Enter the contracted hours for each month, from which onwards tracked hours will count as overtime. In some months, this may be higher than in others.

Example: When for February the expected time for Employee A is 160 hours and in February he tracked worked 150 hours only, at first we have -10 hours worked.

But in February was one full day of public holiday of 8 hours paid time off and another different 4 hours of paid time off = 12 hours paid time off.

With the 150 tracked hours and and the additional 12 hours = 162 hours.

162 hours - 160 hours = 2 hours.

So, he has generated 2 hours of overtime for February.

Continuous working time calculation

Enter the average monthly hours if you expect consistent working hours each month.

Please read this article to see and manage overtime for the payroll in the payroll preview.

Pay out overtime

There are two options how you can pay out overtime.

Select payout overtime automatically, to pay out all tracked overtime hours in the next payroll for all employees in this policy.

Select pay out overtime manually: You need to screen and adjust all overtime hours for all employees in this policy manually in the payroll preview to prepare next month's payroll. This is the default setting, before you change it, if wanted.

Allow negative hours

Enabling Negative hours is only possible when you enabled overtime tracking
Enable the toggle in the top to balance overtime and undertime.

Set public holiday pay rule

By default the first option, pay out public holidays automatically will be selected.

If you choose to pay out automatically, all hourly employees that have a working day on this public holiday will get paid.

Select one of the options to pay out public holidays

Underlying calculation of pay

For how many hours an employee will get paid for on a public holiday is based on their stored contracted weekly hours and work days in their employee profile. Their contracted weekly hours will be divided by the number of work days, e.g. Employee A works 5 days a week Monday to Friday for 30 hours. His average hours per day 6 hours.

In case your public holiday is only half a day, e.g. December 24th and 31rst for some companies, the employee get's paid out half the hours of the above calculation.

Pay out public holidays manually

Activate this option when you want public holidays to be paid out manually

Edit paid public holiday in the payroll preview

Go to this month's payroll preview table
Navigate to an employee
Find the PUBLIC HOLIDAY PAY OUT column
Click the edit-pencil

Each public holiday has it's own entry with the date and the amount of hours that this employee will get paid
Click SAVE in case you want all days to be paid or
Uncheck the days, that you don't want to pay out for this employee
Click SAVE
The paid public holiday is now adjusted for this employee