A nonexempt employee’s regular (shift/scheduled) working hours, excluding the hours of any overtime, are considered regular time. It is just an employee’s usual schedule which is usually 40 hours a week. If regular-time employees work more than 40 hours a week, they must be paid overtime.
Regular time doesn’t pertain to salaried (exempt) employees because it only deals with nonexempt employees.
Meaning of Regular Employee Status
If employees have regular employee status, that means they have been hired for a position for an indefinite time. Employees with regular status have to complete the fixed hours in every workweek.
Regular employees can be full-timers working 40 hours a week or part-timers working less than 40 hours a week.
How to Calculate Regular Hours Worked?
An employee’s regular working hours shouldn’t be over 40 hours in a given workweek.
To figure out the regular hours an employee worked, first, you need to calculate his total hours following the below steps:
Step 1: Check an employee’s starting and reporting time.
Employers usually use punch cards, time-tracking software, mechanical time clocks, and electronic time clocks to track employees’ working hours.
Step 2: Minus the start time from the report time.
To determine how many hours an employee has worked in a day, you need to subtract his starting time from the time he ends working.
Suppose, if any employee started at 10:00 AM and ended at 6:30 PM, he worked for 8 hours and 30 minutes.
Step 3: Convert minutes into fractions.
For any employees who worked a non-even amount of hours, divide their extra minutes by 60 to convert them into decimals.
For example, if an employee worked for 8 hours and 30 minutes, divide the additional 30 min by 60 to the whole hours worked.
Step 4: Minus unpaid time.
If any employee took unpaid breaks, such as going to unpaid lunch breaks or doctor’s appointments, then subtract that time from the total daily hours worked.
To calculate the total hours for the workweek, repeat these steps for the days the employee worked. The regular work time shouldn’t be more than 40 hours, and if nonexempt employees work more than 40 hours, the employer has to pay overtime accordingly.
Why is It Important to Calculate Regular Time Accurately?
It’s essential to determine how much of an employee’s office hours are a regular time to compensate them fairly if they work any overtime hours. If you fail to calculate these hours accurately, you may pay your employee’s inaccurate wages and be fined by the Department of Labor (DOL).
Full-Time vs Regular: What is the Difference?
Regular-time employees are hired for an undetermined period of time, so they don’t have temporary status. Regular employees can be hired as both part-time and full-time employees.
On the other hand, not all full-timers have regular employee status. Full-time employees can also work on a contract or seasonal basis as temporary replacements.