Use Compensation Time

Description: Optionally, Labor Distribution can record compensation time to a compensatory project as specified in Global Settings. Compensatory time pertains only to exempt employees. When this option is used, the utility will make timesheet entries for exempt employees to bring their hours to a standard day. For instance, if a standard day is eight hours, and an employee works six hours, then an entry for two hours is made against the compensatory project. If the employee works ten hours one day, a negative two hours is made against the compensatory project. A project management report can be designed to view the totals on this project. Negative balances mean the employee is in the hole.

The variance between Standard Day and Worked Hours is used only on work week days. Weekend hours are booked as negative hours against the compensatory project.

Note - When using Compensatory Time Recording, the salary variance account should ideally go to zero.