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Administrator Guide
Last Updated: 2023-06-23
Example: FLSA Processing (USA)

Example: FLSA Processing (USA)

This example demonstrates how Workday processes FLSA bonuses and overtime.
Workday FLSA Bonus and Overtime Process
Robert is a nonexempt FLSA worker who works a 40-hour work week at 25 USD per hour. On the week of 2019-11-01 to 2019-11-07, in addition to these hours, he works 3 overtime hours and is eligible for a 500 USD bonus payment.
The payroll administrator uses earnings, payroll input, and an on-demand additional payment to take into account these 3 components of his pay.
  1. Access the
    Create Earning
     task to create 2 FLSA earnings: 1 for the straight time and 1 for the premium rate to account for his overtime.
  2. Access the
    Add Payroll Input by Worker
     task. Enter 43 hours for straight-time at a 25 USD per hour rate for regular pay.
    25 * 43 = 1,075 USD
  3. Access the
    Run On Demand Payment for Worker
     task. Set up a nondiscretionary bonus payment of 500 USD for the same work period, which increases his total wages to 1,575 USD.
  4. Access the
    Add Payroll Input
     task to enter 3 hours of premium pay for his overtime. The premium portion of the overtime is 0.5 of his premium rate:
    1,575 total straight time and bonus pay/43 hours = 36.63 USD per hour FLSA premium rate
    0.5 * 36.63 = 18.315 premium portion
    3 overtime hours * 18.315 = 54.95 USD
His total pay for the work period is:
(43 hours * 25) + 500 + 54.95 = 1,629.95 USD
Payslip Including Overtime and Bonus
Description
Dates
Hours
Rate
Amount (USD)
YTD (USD)
FLSA Hourly Pay (Reg Hours)
2015-11-01 to 2015-11-07
43
25.00
1,075.00
1,075.00
FLSA Bonus
2015-11-01 to 2015-11-07
0
500
500
500
FLSA Overtime Premium
2015-11-01 to 2015-11-07
3
18.32
54.95
54.95
Total:
1629.95
1629.95
Workday aggregates the earnings on payslips when the rate is the same for multiple work periods.