Quickly Adapting to Regulatory and Compliance Changes
Regulations related to payroll come and go with great frequency. This occurred to me as I was reading an online newsletter recently. The article was titled “Winners And Losers From The New Overtime Changes – What Employers Can Expect And What They Should Consider” (HartfordHelp.com). Specifically, the article discusses the potential that the threshold that guides whether employees must be paid overtime may be increased. This is a concern for employers, especially with regards to employees who were hovering close to the threshold already.
How do you currently make sure you’re in compliance? Are you comfortable that you can easily adapt to new regulations and are you confident that you are already meeting those obligations each pay period? With Easy Reporter, it is quite simple to confidently answer that you are in compliance. You can do this with a quick report that runs prior to each payroll run. With this report, you can analyze employee hours are not greater than 40 worked per period, and if they are working more than 40 hours per period, evaluate those that are at or below that threshold.
Consider this report that allows you to look at weekly salary (as found on IT0008 – or calculated from their annual salary – to a weekly rate):
Now that you know their weekly salary amount, you can create a filter and make that filter available dynamically at runtime (in case that threshold amount changes again). This way, you can change it on the fly and not have to modify the report again (or use it to test different thresholds).
You can also include the non-overtime hours that have been entered into the system on this report because you’ll need to compare the number of hours to see if they are working more than 40 hours per week (which would then be subject to overtime). You can even incorporate time management status into the mix because, if their hours are typically generated via time evaluation, you won’t be recording those “Regular Hours”. Using a filter on the column in Easy Reporter, you can only display those hours that would be generated, add those to the non-overtime hours, and come up with a total number of hours.
You can even go a step further and filter to only see those that are exceeding the threshold along with having over 40 hours worked in the period. BAM! Now you have a very succinct list, where you can make sure that everyone that should be paid overtime for over 40 hours worked per week is truly being recognized. You can even correct it before payroll runs to make sure they are getting the overtime that is due to them.