Overtime Distribution

Overtime is allocated following a specific priority sequence to ensure accurate and fair distribution.

First, overtime hours are applied to Billable entries against regular Tasks, meaning any extra hours spent on tasks that can be billed to clients are prioritized. Next, overtime is distributed to Non-Billable against regular Tasks, covering work tasks that are not directly billable but still represent actual hours worked. After working time tasks are fully accounted for, overtime is then assigned to Billable Entries against non-working Tasks, which includes leave hours that can be billed or tracked for billing purposes. Finally, overtime is applied to Non-Billable Entries against non-working Tasks, covering non-working tasks that is neither billable nor directly related to client work.

The order of distribution is as follows:

  1. Billable Entries made against regular Tasks
  2. Non-Billable Entries made against regular Tasks
  3. Billable Entries made against non-working Tasks
  4. Non-Billable Entries made against non-working Tasks
Example:

Suppose an employee logs 50 total hours in a week, with a 40-hour threshold before overtime applies. The breakdown of their entries is as follows:

  • 30 hours on billable regular tasks (e.g., client project work)
  • 8 hours on non-billable regular tasks (e.g., internal training)
  • 6 hours on billable non-working tasks (e.g., paid vacation that’s billable)
  • 6 hours on non-billable non-working tasks (e.g., unpaid leave)

That's 50 hours total — 10 hours over the regular threshold, which now need to be classified as overtime.

Overtime Distribution (in order):

The first 10 overtime hours are applied to the billable regular tasks, since they are top priority.

  • Since only 30 hours were spent on billable regular tasks, the system finds 10 hours from that bucket and classifies them as overtime.
  • The remaining entries stay as regular time, since all overtime has now been allocated.

Result:

  • 10 hours of overtime are distributed exclusively to billable regular tasks, maximizing billing potential.
  • All other entries (non-billable and non-working) remain regular time since they were not needed for the overtime calculation.