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Calculating Overtime Efficiently: How to Get It Right Every Time 2.5 Credits

Aug 08, 2024, 11:30 AM ET

Calculating Overtime Efficiently: How to Get It Right Every Time 2.5 Credits

  • Rating

    4.7
  • Reviewed on

    November, 2023
  • Subject Area

    Business Law

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Aug 08, 2024, 11:30 AM ET

Learning Objective

  • To explore the definitions that relate to the payment of overtime under the FLSA/Portal-to-Portal Act.
  • To discover how to calculate the regular rate of pay.
  • To identify how to track hours worked and the use of rounding practices.
  • To recognize when you must include a bonus in calculating your employee’s overtime pay.
  • To explore how to calculate overtime if a bonus covers more than one workweek.

Course Overview

Ever thought calculating overtime pay for nonexempt employees was as simple as counting extra hours and multiplying by a higher rate? Think again. 

Common folk lore says you simply count the employee's work beyond 40 hours a week. Then you multiply that by 1.5 times their hourly pay rate and you’re done, right? Not so fast.  The truth is that overtime rules and the mathematics required to arrive at the correct calculation can be extremely tricky.  Overtime under the Fair Labor Standards Act is based on a unique term, created in 1938, known as the regular rate of pay. And calculating the regular rate of pay is more complex than it appears.  What’s included in the calculation?  

The reasonable cost of meals, lodging, nondiscretionary bonuses, commissions, on-call pay, shift differentials, cash benefit payments from Section 125 Cafeteria Plans, the list goes on… And that’s just computing the regular rate – we haven’t even touched overtime yet! For example, when a bonus must be included in calculating the rate what overtime does it apply to? When the bonus is paid or when the bonus was earned? What if the bonus spans a long period such as a quarter or a full year?

Then what happens if you get it wrong?  Nobody pays attention, do they? According to the Department of Labor, they collected more than $230 million in back wages for more than 190,000 workers in FY 2021 alone. Of that amount collected, $138 million was for back overtime. 

Penalties for overtime violations can be severe with the possibility of fines, imprisonment, or both!  Add civil suits to the mix and the results can devastate any business no matter how large or small!  And just to make it interesting, most states use the same definition to calculate overtime as the FLSA does. So, one error can earn you double the penalties.

In this CPE Business Law Webinar, we're diving deep. We'll kick off with section 1, unraveling who's eligible for overtime. From there, we'll decode the crucial definitions that underpin accurate overtime calculations. The Portal-to-Portal Act will shed light on what truly constitutes "hours worked." Armed with these fundamentals, we'll demystify the regular rate of pay and its impact on overtime. Get ready to master the art of calculating overtime pay, factoring in various additional pay and multi-week scenarios. And that's not all – we'll also explore other intricate calculations that can sway overtime payment outcomes. 

After all, one miscalculation could lead to penalties that pack a double punch, especially considering most states mirror the FLSA's overtime definition. Let's unlock the secrets together.

Key Topics Covered in this Course:

  • FLSA method
  • Salaried nonexempt employees and overtime
  • What payments to include
  • Overtime that covers more than one workweek
  • What payments do not need to be included

On Demand Credits for All Qualifications

Nano Credits for All Qualifications

On Demand Credits for All Qualifications

Live Webinar Credits for All Qualifications

License details Credits Status
Business Law for Certified Public Accountants (CPA-US) 2.5 CPE Approved
Legal update for SHRM Professionals (Approval No. 26-WJMNT) (Valid upto : Dec 31, 2026) 2.5 PDC Approved
HR (General) for Human Resource Certification Institute (HRCI) (Approval No. 686523) (Valid upto : Nov 30, 2025) 2.5 RCH Approved
Business Law for Delaware Licensed Public Accountant (DE-LPA) 2.5 CPE Eligible
Business Law for Iowa Licensed Public Accountant (IA-LPA) 2.5 CPE Eligible
Business Law for Maine Licensed Public Accountant (ME-LPA) 2.5 CPE Eligible
License details Credits Status
Business Law for Certified Public Accountants (CPA-US) 2.5 CPE Approved
Legal update for SHRM Professionals (Approval No. 26-WJMNT) (Valid upto : Dec 31, 2026) 2.5 PDC Approved
HR (General) for Human Resource Certification Institute (HRCI) (Approval No. 686523) (Valid upto : Nov 30, 2025) 2.5 RCH Approved
Business Law for Delaware Licensed Public Accountant (DE-LPA) 2.5 CPE Eligible
Business Law for Iowa Licensed Public Accountant (IA-LPA) 2.5 CPE Eligible
Business Law for Maine Licensed Public Accountant (ME-LPA) 2.5 CPE Eligible
License details Credits Status
Business Law for Certified Public Accountants (CPA-US) 2.5 CPE Approved
Legal update for SHRM Professionals (Approval No. 26-WJMNT) (Valid upto : Dec 31, 2026) 2.5 PDC Approved
HR (General) for Human Resource Certification Institute (HRCI) (Approval No. 686523) (Valid upto : Nov 30, 2025) 2.5 RCH Approved
Business Law for Delaware Licensed Public Accountant (DE-LPA) 2.5 CPE Eligible
Business Law for Iowa Licensed Public Accountant (IA-LPA) 2.5 CPE Eligible
Business Law for Maine Licensed Public Accountant (ME-LPA) 2.5 CPE Eligible
License details Credits Status
Business Law for Certified Public Accountants (CPA-US) 2 CPE Approved
Legal update for SHRM Professionals (Approval No. 24-TKPKC) (Valid upto : Dec 31, 2024) 2 PDC Approved
HR (General) for Human Resource Certification Institute (HRCI) (Approval No. 653733) (Valid upto : Nov 30, 2024) 2 RCH Approved
Business Law for Delaware Licensed Public Accountant (DE-LPA) 2 CPE Eligible
Business Law for Iowa Licensed Public Accountant (IA-LPA) 2 CPE Eligible
Business Law for Maine Licensed Public Accountant (ME-LPA) 2 CPE Eligible

Additional Information

Credits

2.5

Course Level

Basic

Instructional Method

QAS Self Study
Group Internet Based

Pre-requisites

None

Advance Preparation

None

NASBA APPROVED

MY-CPE LLC, 1600 Highway 6 south, suite 250, sugar land, TX, 77478

MY-CPE LLC (Sponsor Id#: 143597) is registered with the National Association of State Boards of Accountancy (NASBA) as a sponsor of continuing professional education on the National Registry of CPE Sponsors. State boards of accountancy have final authority on the acceptance of individual courses for CPE credit. Complaints regarding registered sponsors may be submitted to the National Registry of CPE Sponsors.

Boost your HR career with MY-CPE’s HRCI Recertification Courses. Designed with your professional growth in mind, our courses make earning HRCI Recertification Credits simple and straightforward. At MY-CPE, we’re committed to your success in the ever-evolving world of human resources. Our courses offer the latest insights and practical skills to help you stay ahead. Whether you’re looking to deepen your expertise or broaden your abilities, MY-CPE provides the resources you need. Take the next step in your HR journey today and secure your competitive edge with our top-quality recertification options.

  • View more SHRM PDC Courses for your continuing professional education.
  • View more CPA CPE Courses for your continuing professional education.
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  • View more FPC Courses for your continuing professional education.

About Instructor

Stay Ahead of the Game with CPE Courses by Vicki Lambert
Vicki Lambert , CPP

President, The Payroll Advisor

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Vicki M. Lambert, CPP, is president and academic director of The Payroll Advisor™ a firm specializing in training payroll professionals. With over 35 years of hands-on experience in all facets of payroll functions as well as over 20 years as a trainer and author, Ms. Lambert is a sought-after and respected voice in the practice and management of payroll issues. She has conducted open market training seminars on payroll issues across the United States that have been attended by executives and professionals from some of the most prestigious firms in business today.

Ms. Lambert has lectured extensively on payroll administration and compliance issues for clients that have included Automatic Data Processing, CCH Incorporated, Ceridian Employer Services, and The Employer Group. Ms. Lambert has also served as a consultant and in-house trainer for businesses such as Sun Microsystems, Paychex, Fox Studios, Disney, County of Riverside, and City of Hesperia.

Ms. Lambert is an adjunct faculty member at Brandman University in Southern California. She is the creator of and the instructor for the Practical Payroll Online program offered through the School of Extended Education. Ms. Lambert currently produces and presents audio seminars and webcasts for clients and business groups throughout the country.

On Demand FAQs

What is Self Study (QAS)?

Self Study QAS (Quality Assurance Service) is a NASBA and other regulatory bodies approved program designed for Professionals to complete their Continuing Professional Education credits through self-paced, interactive courses that meet the highest standards of quality and compliance. We are approved by NASBA, IRS, CFP Board, HRCI, SHRM, Payroll Org, FP Canada, and 25+ other regulatory bodies.

How do I earn CPE credits through self-study?

To earn CPE credits, you must complete the self-study course, pass the required assessments, and submit the necessary documentation. Credits are awarded based on the completion of course hours and successfully passing the assessments.

Are the self-study courses approved by NASBA and other regulatory bodies?

Yes, all our self-study courses are approved by NASBA, IRS, CFP Board, HRCI, SHRM, Payroll Org, FP Canada, and 25+ other regulatory bodies, ensuring they meet the rigorous standards for quality and educational content set by these organizations.

What are the requirements to maintain compliance with self-study courses?

To maintain compliance, you must follow the guidelines set by NASBA and other regulatory bodies, which include completing the course within the specified timeframe, passing the assessments, and keeping accurate records of your learning activities.

How can I access my course completion certificates?

After successfully completing a self-study course and passing the assessments, you can access and download your course completion certificates from your account dashboard on our platform. These certificates are recognized by NASBA, IRS, CFP Board, HRCI, SHRM, Payroll Org, FP Canada, and 25+ other regulatory bodies for compliance and reporting purposes.

How are credits reported to governing bodies?

We issue instant credit certificates, ensuring they are valid for presentation to governing bodies. Typically, we report IRS, CTEC, CFP, IDFP, IWI, VBOA Ethics credits within 7 days – the fastest in the industry.

Live Webinar FAQs

What is a Live Webinar Group Internet-Based Credit?

A Live Webinar Group Internet-Based Credit is an interactive, real-time online seminar where professionals can earn Continuing Education credits by participating in live sessions led by experts in various fields. These sessions meet the standards set by NASBA, IRS, CFP Board, HRCI, SHRM, Payroll Org, FP Canada, and 25+ other regulatory bodies.

How do I earn credits through live webinars?

To earn credits, you must attend the entire live webinar, actively participate in any polls or questions, and complete any required evaluations or assessments. Credits are awarded based on your attendance and participation in the live session.

Are the live webinars approved by NASBA and other regulatory bodies?

Yes, all our live webinars are approved by NASBA, IRS, CFP Board, HRCI, SHRM, Payroll Org, FP Canada, and 25+ other regulatory bodies, ensuring they meet the high standards for quality, interactivity, and educational content set by these organizations.

What are the requirements to maintain compliance with live webinar courses?

To maintain compliance, you must adhere to the guidelines set by NASBA and other regulatory bodies, which include attending the full duration of the webinar, participating in interactive elements, and completing any post-webinar evaluations or assessments.

How can I access my webinar completion certificates?

After successfully attending a live webinar and fulfilling all participation requirements, you can access and download your completion certificates from your account dashboard on our platform. These certificates are recognized by NASBA, IRS, CFP Board, HRCI, SHRM, Payroll Org, FP Canada, and 25+ other regulatory bodies for compliance and reporting purposes.

How are credits reported to governing bodies?

We issue instant credit certificates, ensuring they are valid for presentation to governing bodies. Typically, we report IRS, CTEC, CFP, IDFP, IWI, VBOA Ethics credits within 7 days – the fastest in the industry.

Reviews and Ratings

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ME

Melinda Edwards, CPP
5

Thank you for including information about Salary Non-Exempt. This topic is so frequently left out of any type of training and even though it may not apply to all areas of the workforce it is so important for some training to be included about it as it can be very confusing to manage in the payroll department.

NK

Nichole Kelley, CPA/PFS
5

I enjoyed the teaching style of the instructor - she had the ability to take a complex teaching and present it in a way that not only simplified but also made it very easy to understand.

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