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Overtime & Undertime in Payroll

Last updated: 9/22/2026

Overtime & Undertime in Payroll

Overtime (Extra Hours)

Overtime is calculated per attendance record as minutes worked beyond the employee's Timetable/Shift's required duration, past the company's Overtime Threshold (Settings → Attendance — a small buffer so a few extra minutes don't count as OT). It's then converted to pay using the Overtime Multiplier (e.g. 1.5×) configured under Settings → Payroll, or a specific OT Rule (Payroll → OT Rules) if you need different multipliers for different situations (e.g. weekend OT vs weekday OT).

Undertime (Late & Early Leave)

There's no separate "undertime pay" — instead, lateness and early departure reduce pay through two mechanisms:

  • Late Deduction — minutes late beyond the grace period, deducted per the company's late-penalty configuration
  • Absence Deduction — a full day marked Absent deducts a full day's pay share

Reviewing Before Approving a Period

Go to Payroll → Periods → [period] → Records — each employee's overtime pay and deductions are shown as separate columns, so you can spot anything unusual (e.g. unexpectedly high OT) before approving. You can add a one-off manual adjustment (bonus or extra deduction) per employee if needed, with a note explaining why.

Getting the Numbers Right

Overtime and lateness are only as accurate as the employee's Timetable/Shift setup — see the Timetables & Shifts articles if OT/late numbers look wrong for a group of employees.

Overtime & Undertime in Payroll | EasyTime