Calculating Work Hours:

Paying employees is a complex process that involves several things. It is not an easy task to decide the fair amount of salary to be given to an employee for the work he has done. This article discusses how to calculate work hours of employees.

Importance of calculating work hours:

Every organization sets some goals. To achieve these goals management and employees work hard and receive salaries for the work done. A good manager is one who manages and utilizes all the available inputs to get the desired output. For this purpose he must keep an eye on his employees.

He must me aware of the work schedules and time duration of an assigned task to employees. He must know about the shifts and overtimes of each employee to decide their compensations. And to decide all these things he must calculate work hours of employees.

There are many software and Apps available for managers to calculate the working hours of employees. He can maintain the records of entry and exit of an employee on workplace, overtimes, leaves and the lunch breaks. This daily record keeping will help him to decide what should be a fair pay to employee for his work done.

calculate work hours

Things that should be considered while calculating hours:

Following are some points that must be considered important to calculate work hours of an employee:

  • Orientation:

 If you are sending your employee for any training then it should be considered as working hours even on the holiday. And employee must be paid for it. However for voluntary training company should not pay.

  • Traveling:

If an employee has to travel for the business purpose it must be included in his working hours and must be compensated for it.

  • Unofficial overtime:

If a person is working in overtimes without officially asked to do so then you must stop him from doing. But, if you do not stop him and know that he is working then you must pay him for his work done.

  • Work at home:

If an employee does not complete the work in working hours and take remaining work at home to complete then you are not liable to pay him for his working at home.

  • Leave with pay:

The companies make rules and laws for absenteeism from work. If an employee makes leaves above the permissible limit then you do not need to pay.

How to calculate work hours?

To calculate work hours of employee the manager keep records of their attendance, lunch breaks, leavers and overtimes etc. after keeping this record then managers use work calculators to calculate weekly or monthly work hours of employees. On the basis on the sum of working hours each individual employee is paid.

While calculating the working hours, employees clock in and out are entered in calculators. Standard time is being set as default time and the sum of employees working hours is compared with standard time to decide compensation.