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Administrator Guide
Last Updated: 2026-03-13
Concept: Time Calculations

Concept: Time Calculations

Time calculations are rules that Workday uses to generate calculated time blocks from time blocks that workers report. When you create time calculations that are active as of a particular date, each effective-dated configuration is a snapshot of the time calculation. Workday Payroll and third-party applications can use calculated time blocks to pay workers using complex pay rules rather than paying the same rate for all time worked.
Example: When a worker enters 10 hours of worked time for a day, Workday creates a reported time block of 10 hours. Without time calculations, the 10 hours would pass to payroll without specific rules for payment. Adding a time calculation for overtime can split the original 10 hours into 2 calculated time blocks: 1 block for 8 hours of regular time, and another block for 2 hours of overtime so that payroll can pay for time at the appropriate rates.
You can delete a time calculation snapshot as long as it isn't used in calculated time blocks. Workday doesn't recommend deleting time calculation snapshots that belong to a time calculation group snapshot. If a time calculation becomes invalid, remove it from the time calculation group snapshot on the effective date that the calculation becomes invalid. This ensures that time calculation group snapshots with earlier effective dates still have all calculations that were valid at that time. Example: A time calculation becomes invalid on 2025-01-01. Create a new time calculation group snapshot with an effective date of 2025-01-01, and remove the invalid time calculation from it.

Calculation Types

You can configure these types of calculations:
  • Accumulated Overtime
  • Consecutive Day
  • Flextime
  • Holiday Time Block Create
  • Minimum Daily Hours
  • Minimum Rest
  • Minimum Weekly Hours
  • Override Rate
  • Predictive Scheduling
  • Schedule Deviation
  • Shift Differential
  • Standard Overtime
  • Time Block Conditional
  • Time Block Create
Each calculation type specifies a different set of conditions that must exist to:
  • Create new time blocks.
  • Add time calculation tags.
  • Replace time calculation tags.
You can create more than 1 of each type of calculation. Example: You can create multiple standard overtime calculations, each with different thresholds, or other parameters.
To meet complex time tracking requirements, you can:
  • Base some calculations on the position business object.
  • Create your own calculated fields to use in time calculations.
  • Use multiple calculation tags as criteria for executing a time calculation.
  • Use time block conditional calculations to tag time blocks for use in other time calculations.
  • Use time calculation priorities to apply a series of time calculations to time blocks.

Eligibility

Workers are eligible for time calculations through the time calculation group that they belong to. A time calculation group snapshot defines a set of time calculation snapshots. To determine who is eligible for the group and the corresponding set of calculations, you can assign eligibility rules to either the workers themselves or to specific positions held by those workers.
When you select the
Run Time Calculation Eligibility Day by Day
check box on the
Edit Tenant Setup - HCM
task to evaluate worker eligibility for time calculations daily, the evaluation starts on the date you select in the
Start Daily Evaluation on Date
field. When you select daily evaluation, Workday only applies the calculations for the days on which the worker is eligible, different than the end of week eligibility.

Running Time Calculations

Workday automatically runs time calculations whenever you add or edit a worker's reported or calculated time. You can also:
  • Configure your tenant to have Workday automatically run calculations when you approve a worker's time off request by selecting
    Run Calculations with Time Off Approval
    on the
    Edit Tenant Setup - HCM
    task.
  • Manually run time calculations.
When time calculations run, Workday:
  • Applies the default calculation tags assigned to the time entry code the worker used to enter time to the original reported time block.
  • Generates calculated time blocks.
  • Executes time calculations for active snapshots, adding and removing calculation tags from calculated time blocks based on:
    • The employee's eligibility for time calculations.
    • Time calculation priorities.
  • Removes temporary calculation tags.
  • Stores the resulting calculated time blocks.

Days Evaluated by a Time Calculation

Workday evaluates time blocks for the week, or for a single day in the week, to determine whether to run calculations. Workday evaluates time blocks within a 2-week period for biweekly time calculations. The biweekly calculation start date on the worker's work schedule calendar determines the 2-week period.
Overtime calculations respect the day breaker options defined for a worker's schedule.

Validations

Time calculations don’t include Workday-delivered validations. You might have time tracking policies you can't automate with delivered calculation types. You can create validations to alert users that the entered time requires an adjustment.

Example: Performing Overtime Calculations

Scenario: The
Daily Overtime
calculation is configured to:
  • Create a new time block for daily hours over 8 that are entered using the time entry code,
    Worked Time
    .
  • Replace the default
    Regular
    calculation tag for the new time block with the
    Overtime
    tag.
The day breaker is midnight.
When Raj enters 10 hours of
Worked Time
, from 8:00 AM to 6:00 PM, Workday:
  1. Applies the
    Regular
    calculation tag to the reported time block of 10 hours.
  2. Creates a calculated time block for 10 hours tagged as regular.
  3. Splits the 10-hour time block into 2 calculated time blocks:
    • 8 hours tagged as
      Regular
      .
    • 2 hours tagged as
      Overtime
      .
Pia enters 10 hours of
Worked Time
, from 3:00 PM to 1:00 AM on July 5. In this case, Workday:
  1. Applies the
    Regular
    calculation tag to the reported time block of 10 hours.
  2. Creates 2 calculated time blocks tagged as
    Regular
    : 9 hours for July 5 and 1 hour for July 6.
  3. Splits the 9-hour time block into 2 calculated time blocks:
    • 8 hours tagged as
      Regular
      .
    • 1 hour tagged as
      Overtime
      .
  4. Stores the 3 final calculated time blocks.
    • 8 hours tagged as
      Regular
      for July 5.
    • 1 hour tagged as
      Overtime
      for July 5.
    • 1 hour tagged as
      Regular
      for July 6.