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Figure/How to calculate overtime pay correctly? 5 steps to avoid high losses for your business
In today's competitive business environment, Calculate overtime pay correctly It is vital to the operation of the business. Incorrect overtime pay calculations can not only affect employee morale, but can also cause enterprise Legal disputes and financial losses. Here are five important steps to help your business calculate overtime pay effectively and avoid possible legal risks and financial losses.
Screenshot of blog’s real revenue, 22 actual order records
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Before calculating overtime pay, you must first understand local labor laws. according to"Labor Standards Act”, normal working hours are generally 40 hours per week, and the excess is considered overtime. The part exceeding the normal working hours should be paid corresponding overtime pay according to different overtime categories.
When calculating overtime pay, companies must obtain accurate and up-to-date wage information. This includes employees' basic salary, various bonuses, allowances, etc. Under the Labor Standards Act, overtime pay is calculated based on the employee's full salary, not a single base salary.
project
quantity
Calculation method
Basic salary
30,000 NTD
–
bonus
5,000 NTD
–
Total monthly salary
35,000 NTD
Basic salary + bonus
Hourly wage
145.83 yuan
Total monthly salary ÷ 240 hours
Figure/Salary Information
3. Establish an overtime application process
Implement a clear Overtime Application Process Able to effectively monitor overtime and ensure rationality. The process should include application, review and reporting steps to control the necessity and rationality of overtime.
step
describe
Apply
Employees must apply for overtime in advance and clearly indicate the reason for overtime.
Audit
Supervisors evaluate overtime requests to ensure that overtime is based on work needs rather than personal wishes.
Record
All overtime work must be recorded, including time, content and person in charge, for subsequent inquiries.
Figure/Overtime Application
4. Keep records of overtime hours
Recording overtime hours is critical to ensuring accurate calculations. Companies should use professional human resources systems to track and manage overtime hours to avoid human errors caused by manual counting.
Employee Name
date
Start time
End Time
Overtime hours
Zhang San
2025/01/01
18:00
20:00
2
Li Si
2025/01/02
19:00
21:00
2
Wang Wu
2025/01/03
17:00
20:00
3
Picture/Time Record
5. Regular inspections and audits
To ensure accuracy, companies should regularly check and audit the calculation of overtime pay. External experts can be hired to conduct audits to identify possible problems and areas for improvement to avoid illegal activities or financial losses.
Inspection items
describe
Check calculation
Check that the monthly overtime pay calculation is consistent with actual wages.
Audit process confirmation
Confirm that all overtime requests have gone through the correct review process.
Reasonableness assessment
Evaluate the rationality and necessity of overtime.
Figure/Inspection
Following the above five steps can not only enhance the company's ability to manage overtime pay, but also effectively reduce the high losses caused by calculation errors. In the future, companies can consider using AffiMarket Easy Alliance and other affiliate marketing platforms to further expand your business and improve your financial health. Through the cooperative profit-sharing plan, not only can a win-win situation be achieved, but also operating costs can be reduced.
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You have traffic, but don’t know how to convert it into Money? You have a product but can’t find a suitable promoter? Come here! The Promoter x Advertiser cooperation platform helps you quickly connect corporate products with bloggers and Internet celebrities to create a win-win situation!
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My name is Jian Xiaoxiang, and I specialize in affiliate marketing, blog management, SEO optimization, WordPress website building, Make automation, article generation automation and AI tool applications. I have extensive practical experience and have successfully helped multiple websites significantly increase their traffic and achieve revenue growth through precise strategies.
I am good at using Make and AI tools to create efficient automated processes to optimize content creation and marketing efficiency. At the same time, I build modern websites through WordPress and combine SEO technology to improve search engine exposure. I love sharing practical strategies and have designed online courses to teach students how to turn their blogs into a stable source of income.
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