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Administrator Guide
Last Updated: 2023-06-23
Example: Create FLSA Straight Time of Overtime and Overtime Premium (USA)

Example: Create FLSA Straight Time of Overtime and Overtime Premium (USA)

This example illustrates 1 way to create an FLSA earning that includes both regular and premium earnings. You can’t display separate FLSA rates on payslips when you combine earning types. Instead, Workday combines the regular rate of pay with the FLSA rate.
Terry wants to set up an FLSA earning that calculates regular and overtime hours.
Security:
Set Up: Payroll (Calculations - Payroll Specific)
 domain in the Core Payroll functional area.
  1. Access the
    Create Related Calculation
     task.
  2. Enter these settings:
    Option Description
    Name
    FLSA - Payment for Straight Time of Overtime
    Code
    FLSA_STOT
    Category
    Payroll
  3. Select the
    Currency Related
     check box on the
    Value
     tab.
  4. Select the
    Bring Forward Difference
     check box on the
    Retro Adjustment Type
     tab to avoid overstating FLSA wages.
  5. Access the
    Create Related Calculation
     task.
  6. Enter these settings:
    Option Description
    Name
    FLSA Rate
    Code
    FLSA_RATE
    Category
    Payroll
  7. Select
    FLSA Rate by Company and FLSA Period (returns 0 if FLSA Hours by Company and FLSA Period = 0)
     from the
    Default Value
     prompt on the
    Value
     tab.
  8. Access the
    Create Arithmetic Calculation
     task.
  9. Enter these settings:
    Option Description
    Name
    OT Premium Rate Calculation
    Category
    Payroll
    1st Operand
    FLSA Rate
    Operator
    Multiply
    2nd Operand
    0.5
  10. Access the
    Create Related Calculation
    task.
  11. Enter these settings:
    Option Description
    Name
    Premium Rate (1/2 of FLSA Rate)
    Code
    OT_RATE
    Category
    Payroll
  12. Select
    OT Premium Rate Calculation
     from the
    Default Value
     prompt on the
    Value
     tab.
  13. Access the
    Create Arithmetic Calculation
     task.
  14. Enter these settings:
    Option Description
    Name
    Hours (unprorated) * Premium Rate (1/2 of FLSA Rate)
    Category
    Payroll
    1st Operand
    Hours (unprorated)
    Operator
    Multiply
    2nd Operand
    Premium Rate (1/2 of FLSA Rate)
  15. Access the
    Create Arithmetic Calculation
     task.
  16. Enter these settings:
    Option Description
    Name
    FLSA Straight Time of OT + OT Premium
    Category
    Payroll
    1st Operand
    FLSA - Payment for Straight Time of Overtime
    Operator
    Add
    2nd Operand
    Hours (unprorated) * Premium Rate (1/2 of FLSA Rate)
  17. Access the
    Create Earning
     task.
  18. Enter these values:
    Option Description
    Name
    FLSA Overtime (Straight Time and Overtime)
    Code
    FLSA_STOT
  19. On the
    Effective Dated
     tab, select a future
    Effective Date
    .
  20. Select
    Payroll Input Exists for Pay Components (Sub Period)
     in the
    Worker Eligibility
     grid.
  21. Enter these settings in the
    Calculation Details
     section:
    Option Description
    Calculation
    FLSA Straight Time of OT + OT Premium
    Input Amount Allowed?
    Select
    Override Frequency
    Hourly
    Resolve by FLSA Period
    Select
  22. Enter these settings in a row on the
    Related Calculations
     grid:
    Related Calculation
    Groups
    FLSA Premium Calculation Type
    Default Calculation
    Input Allowed?
    Do Not Store / Do Not Store if Zero
    Hours (unprorated)
    FLSA Hours [USA]
    FLSA Premium Hours
    Payroll Input
    Select
    None of the above
  23. Enter these settings in a row on the
    Related Calculations
     grid:
    Related Calculation
    Override Calculation
    Do Not Store / Do Not Store if Zero
    Rate
    Compensation: Compensation Element Value (Using PC Freq Override)
    None of the above
  24. Enter these settings in a row on the
    Related Calculations
     grid:
    Related Calculation
    Groups
    Override Calculation
    Do Not Store / Do Not Store if Zero
    FLSA - Payment for Straight Time of Overtime
    FLSA Wages [USA]
    Hours (unprorated) * Rate
    None of the above
  25. Enter these settings in a row on the
    Related Calculations
     grid:
    Related Calculation
    Default Calculation
    Do Not Store / Do Not Store if Zero
    FLSA Rate
    FLSA Rate by Company and FLSA Period (returns 0 if FLSA Hours by Company and FLSA Period = 0)
    None of the above
  26. Enter these settings in a row on the
    Related Calculations
     grid:
    Related Calculation
    FLSA Premium Calculation Type
    Default Calculation
    Do Not Store / Do Not Store if Zero
    Premium Rate (1/2 of FLSA Rate)
    FLSA Premium Rate
    OT Premium Rate Calculation
    None of the above
  27. Select
    Base Pay - Academic Pay Enabled
     from the
    Compensation Element
     prompt.
  28. Click
    OK
    .
  29. Click
    Done
    .
  30. Select the
    Hours (unprorated)
     calculation on the
    Edit Related Calculation
     task.
  31. Select the
    Bring Forward Difference
     on the
    Retro Adjustment Type
     tab.
  32. Click
    OK
    .
  33. Click
    Done
    .
Workday:
  • Prorates FLSA salaried and exception hourly earnings that come from compensation.
  • Processes retro pay.
Set up payroll input for the pay component, such as hourly pay.