Payroll: averaging hours over 4 weeks

[Accounts12341]

Hello all

My employer is beginning to switch some long term casual workers to full time.

As per the award, they are permitted to average hours over a period of time so the employees are paid for an average of 38 Ordinary Hours.

If, at the end of the period of time (for aguments sake - 4 weeks), they have worked more than 38 x 4, they will be paid the overtime rate for those hours.

If they work less than 38 x 4 over 4 weeks (which rarely ever happens), the shortfall will be deducted from the following 4 weeks total hours.

I know this is permitted under the award.  I would like to know how to set it up to be automatially calculated in MYOB.

Can it be automatically calculated in MYOB?  

I don't use timesheets so I'll still have to enter hours manually but can MYOB tally hours over 4 weeks and populate the OT rate upon the fourth pay?

Can MYOB keep tally of shortfall hours and deduct it from the following 4 weeks tally?

If that's asking a bit much, how can I set it up so I don't have to keep additional spreadsheets to keep track of hours for each staff member?

I'm thinking it's probably possible but maybe only over the full 12 months??

If there's a resource page on the MYOB support website, can someone please point me to it?

I think lots of employers do this now so I'd like to think there's a way.

Thanks in advance

[Tracey_H · Accepted solution]

Hi @Accounts12341 

Thanks for your post. It's not possible for AccountRight to automatically calculate the shortfall hours and make the required pay adjustments. You would need to manually enter those adjustments when processing the 4th pay.

To keep track of extra hours you could look at creating a payroll category with a Fixed Hourly rate of $0.00. When processing pays you'd enter any unpaid hours against that category, eg, 38 hours to Base Hourly and 4 hours to Unpaid/Extra/To be paid Hours. You could then run the Payroll Activity detail report which gives a breakdown of the hours allocated to each payroll category.

Please let me know if you need further help.

If my response has answered your enquiry please click "Accept as Solution" to assist other users find this information.