In this article we will talk about:
- Holidays throughout the year and overtime
- Compulsory overtime accounting
- How to calculate and pay overtime on holidays
- Example of overtime for an employee who worked at Christmas
- Calculate overtime for the holidays
We are heading for the carnival and if you have or work in a company, it is very likely that you need to do some overtime in that period. Before understanding the calculation of overtime on holidays, it is also valid to seek a more complete view of the subject. See the article How to calculate overtime.
The truth is that we almost always have more work than time to do our daily activities. This reality goes from the consultancy that has to close or forward the largest number of projects before the collective vacations, the end of the year holidays and carnival to the stores, shops and hotel / tourism sector, which are open for as much of the time as possible to serve customers with the desire to buy and consequently to have an increase of sales at that time.
Regardless of the situation you encounter, it will most likely be necessary to overtime or charge someone else to do it and, I do not know if you know it, but it is mandatory to pay overtime in a different way.
To begin with, although not mandatory in all cases (only in companies with more than 10 employees), I highly recommend that you have a spreadsheet for overtime calculation, so that you can protect yourself in possible future labor lawsuits and always have a record of the actual workday performed by your employees.
Basically, with the worksheet it is possible to issue a point sheet report with the employee's hours worked monthly exactly as in the image shown below:
After that, just make sure that he signs one way for the company and another for him to have as record of the hours worked that you can be avoiding many headaches in the processes and confusion of who is right or not.
Knowing this importance of control, we can go to the next point, which is the understanding of how to calculate and pay the overtime on holidays. We have already written two very cool posts on the subject. A first that sums up how to calculate overtime in excel and another with a deepening in how to use time bankIt is possible to use both overtime calculation worksheet.
It is important to understand that it will exist in some cases where the employee works:
- more than the agreed daily journey
- in the intrajornada period (lunch / rest time)
- in the interjornada period (before completing 12 hours between shifts)
- (between 22h and 5h)
- on holidays and non-working days
In addition to having this understanding, you need to know that the amount of overtime on weekdays is usually 50% on the amount of your time already paid and 100% on weekends and holidays. Therefore, the overtime is worth more than the normal working hour. This table below may help you:
If the hourly amount paid to an employee is $ 10, then his overtime will be worth $ 15 on weekdays and Saturdays and $ 20 on Sundays and holidays.
To make it extremely clear what your obligations are, let's look at a practical example of how the overtime calculation for year-end holidays should be. The example of hours worked below refers to the month of December in our overtime calculation worksheet. Note that I considered 24, 25, and 31 days as holidays.
In our scenario, the employee worked exactly the agreed time every day of the month and did overtime on the 3 Christmas and New Year holidays and also on the 26 and 27 weekend. Note that it is a total of 8 overtime, of which:
- 8 hours on a Saturday
- 8 hours on a Sunday
- 24 hours on holidays
This leads to a very simple calculation of overtime. Assuming that the hour value of this employee was $ 10, then we would have:
- Overtime value on Saturday: 8 x R $ 15 = R $ 120
- Overtime value on Saturday: 8 x R $ 20 = R $ 160
- Overtime value on Saturday: 24 x R $ 20 = R $ 480
- Total overtime value = R $ 120 + R $ 160 + R $ 480 - R $ 760
Below is a summary of the overtime that is calculated automatically in our worksheet:
See how easy it can be to do the overtime bills on year-end holidays? THE spreadsheet for overtime calculation it works both if you are an employer and want to have a correct control at the end of the year, as if you are an employee you want to control your hours correctly (without depending on anyone).