Compensation hours and flex time

Compensation hours and flex time is time that an employee has worked outside of his ordinary schedule and that has not been paid in overtime or more time. This time can be registered and taken up as leave. It is also possible to have compensation hours paid out.

Only applicable for employees with a schedule

Compensation hours and flex time can only be registered for employees who are linked to a schedule. Worked time that is registered on top of the defined schedule will be registered as either compensation hours or flex time. 

Minimum and maximum balance

It is possible to register a minimum and maximum amount of hours of compensation hours and flex time that an employee should be able to build up or take up. If no active settings are made, the standard settings will be applied. These are:

Compensation hours:

Min: -20
Max: +40

Flex time:

Min: -20
Max: +40

Screen_Shot_2019-01-22_at_10.13.12.png 

If the maximum value for compensation hours has been exceeded, these hours will automatically be paid out and will not be possible to be taken up in leave. The surplus will give output to hour code H4001 ”Payment compensation hours surplus”. 

If the minimum value for compensation hours is exceeded, it will output to hours code H4003 ”Repayment compensation hours deficit”. The amount equals what the employee needs to pay back to the employer.

If the maximum value for flex time is exceeded, these hours will be lost.

If you don’t want to apply any limits regarding build up and take up, you delete the pre-filled fields and save them as empty.

 

Company settings for build up of compensation hours

In the dashlet ”Leave settings” on company level you are able to define time slots for the days where a specific factor applies for build up of compensation hours and flex time. Registration of compensation hours and flex time which overlaps with these time slots will be multiplied by this factor.

 

Build up of compensation hours

It is possible to register build up of compensation hours in two ways; by the time registration or by manual input of hour code.

  • Time registration

In order to register build up of compensation hours via the time registration, you use M1020 ”Compensation hours build up (time registration)”. This will output to hour code H9101 with the same description. Only time registration that does not overlap with the schedule will result in build up of compensation hours or flex time.

  • Manual input

In order to register build up of compensation hours by manual input, you use hours code H9108 ”Compensation hours build up (manual)” which outputs to wage code L9108 with the same description.

As an employee you are also able to ”buy” compensation hours by a salary deduction. This is registered by the hours code H4006 ”Purchase of compensation hours” and outputs to the wage code L4006 with the same description.

 

Build up of flex time

  • Time registration

In order to register build up of flex time in the time registration you use the time registration code M1030 ”Time registration build up”. This will give output to hour code H9103 and wage code L9103 with the same description.

  • Manual input

In order to register build up of flex hours manually, you insert hour code H9110 ”Build up compensation hours manually” which outputs to wage code L9110 with the same description.

Since flex time is only possible to claim in leave and not in payment, it is not possible to ”buy” extra flex time by a salary deduction.

 

Take up of compensation hours

 Earned compensation hours can be taken up by making a time registration entry of M1022. This gives output to hour code H9102 ”Take up compensation hours” which outputs to the wage code L9102 with the same description. It is also possible to register a full day in leave by take up of compensation hours by inserting M1023 in the time registration, which outputs to the same hours code and wage code as above.

Take up of compensation hours can only be done during time that overlaps with the schedule that is linked to the employee. It is also not possible to register take up of compensation hours on a day which is included in the national holiday model that is linked to the company of the employee.

In order to register take up of compensation hours in leave manually, you use the hour code H9109 ”Take up of compensation hours (manually)” and  wage code L9109 with the same description. 

In order to register take up of compensation hours in payment manually, you use the hour code H4005 ”Payment compensation hours” and the wage code with the same description.

 

Take up flex time

Earned flex time can be taken up in leave in hours by using M1032 in the time registration. This outputs to H9104 and the wage code L9104. In order to register take up of flex time for a full day, you use M1033 which outputs to hour code H9104 and wage code L9104.

Take up of flex time can only be done during time that overlaps with the schedule that is linked to the employee. It is also not possible to register take up of flex time on a day which is included in the national holiday model that is linked to the company of the employee.

Please note that earned flex hours only can be taken up by leave and cannot be paid out. Please also note that only the entries which have been included in the latest run will be displayed in the balance. Which means, if entries have been made in the time registration for a period which has not yet been included in a run, this will not be included in the balance yet.

 

Register previous build up of compensation hours and flex time

By conversion from another payroll system into Nmbrs you may need to register cumulative balance of earned compensation hours and flex time manually.

In order to register cumulative balance of earned compensation hours you use hour code H9112 ”Modify compensation hours saldo” which outputs to the wage code L9112 with the same description.

In order to register cumulative balance of earned flex time you use H9113 Modify flex time balance which outputs to the wage code L9113 with the same description.

 

End of service interval

Potential remaining balance of compensation hours will be paid out by the final payment to the employee. The balance of the employee can be found in the salary document ”Vacation liability list” on company level.

 

Holiday year transit

The employees balance of compensation hours and flex time is not affected by the execution of the holiday year transit.

 

Change calculation for compensation hours

The standard calculation for compensation hours is the full time salary / 173,3333. If your company has another calculation kan you easily change it by changing it in the hour code for the company's hour model. 

Hour code Description
H4001 Payment surplus
H4003 Pay back surplus
H4005 Manual payment
H4006 Manual pay back
H4007 Service end payment
H4008 Service end pay back

In the hour model, add above mentioned hour codes and change the calculation by changing the factor for all of the hour codes. If you need help to on how to add hour codes in an hour model click here.

Hour modelScreenshot_2020-09-07_at_12.19.49.png

  1. Choose an hour code.
  2. Click on change values.
  3. Change the factor to the one your company uses and click on Save.
  4. When you've overwritten the system settings you see the text in blue.

Vacation liability reportScreenshot_2020-09-07_at_12.27.31.png

The employee has in this example earned 3 compensation hours and has a full time salary of 30 001 SEK / the factor 160 = 187,51 SEK/hours. If you hoover the mouse over the info beside the gross value then you see the calculation, 3 hours * 187,51 SEK/hours. 

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