Hi everyone,

How do companies calculate our Over Time payment? Can anyone provide some guideline?
Thanks....

ask your HR/Finance how to count your OT..
OT rate different for each company

my stupid company stated that management cannot get OT.....
however i worked until 10pm last few week, i oso cant get OT....
bodoh....

It varies by different companies. Most executive level and above cannot claim OT. But some companies allowed executives to claim meal allowance & transport allowance for working OT instead

I heard some company provide OT with 1.5 rate. How to calculate the OT figure then?

hmmm... i think different company will have different amount...

refer the company policy lor...

last time i ot, 1 hr is rm20, not much lah, but at least not doing buta-buta...

it varies from one to another. in my company, there is a % to count from your basic salary, so the more basic you have, the more OT u gonna get.

OT standard is 1.5x on your basic pay.

Aka if your daily pay is RM100, then OT per hour will be 100/8 x 1.5 = 18.75 per hour.

Allowances cannot take in for calculation.

But allowance generally depended on company itself. Some may not have any, some may.

yup !! usually count based on 1.5 from ur daily basic salary but depends on company policy lor.
like in place i work,if u dun ask it,HR oso diam diam oli.
So juz like do charity work lor if u dun dare to ask

what is so shy and hesitate that keep u back from asking HR?
this is your right.

Last Labour day, many of technicians apply for OT on 1st May
they are all chasing after 3.0 OT rate..lucky them la

me also working on same day but can get replacement leave only..not bad i guess for exec level..better than nothing

Usually basic salary above RM 1.5k .. you will not entitle any OT

because management salary is calculated as a 'whole package' . so ask yourself, izzit u bodoh or company

from wht i understand, the calculation per hour OT

basic x 12x 1.5/2028

example the basic is 1.5k

(1.5k x 12 x 1.5) /2028= RM 13.3136094674 @ RM 13.30 per hour

Actually I plan to employ some workers in my company so I wana know more on how to calculate OT & I don't have any HR background.




Hi lastongas,

Why basic must multiply by 12? Also why divide 2028?
Thanks...


cherroy.. thanks for ur explanation.
How about public holiday? OT rate still 1.5 or should be higher?



This post has been edited by wlovey: May 3 2010, 02:35 PM

[quote=wlovey,May 3 2010, 03:28 PM]
Actually I plan to employ some workers in my company so I wana know more on how to calculate OT & I don't have any HR background.



ooo... i c
maybe u can try my fren method..
she give rm13/day for worker not yet confirm but got do O.T
then for confirm staff.. she calculate based on hour rate like below :

1 hr OT = basic / 26 working days / 8 working hr x 1.5

so just times lo how many hours OT.

QdChan thanx so much for ur explanation!

This post has been edited by wlovey: May 3 2010, 02:40 PM

(Salary + Allowances)/26 (working day per month)/8 (working hour per day) x 1.5 (standard rate) x OT hours

Regards, Joey

2x.

I suggest your look or buy a book on the Malaysia labour law (which I think can easily find in major bookstores), as it is important as employer to know the labour law scope.

As if >Rm1500 monthly pay, under the labour law, the employee may not fall under or governed entirely by labour law.

@joey
how come allowances is included as part of the OT? I thought only salary?

OT hours IF less than 8 hours; (Monthly Basic Salary / 26) x 2.0
OT hours IF more than 8 hours; (Monthly Basic Salary / (26 x 3.0) x OT Hours

Depending on your company's discretion.

Regards, Joey

This post has been edited by Joey Christensen: May 3 2010, 04:07 PM

Hmm i noticed that you divided it by 26. I'm assuming this is for company's that have 6 working days a week? So am I right to assume the calculation should be divided by 22 if it is a 5 day working week? Or is it a standard formula?

Ya..agreed with kelvin,as i know also only basic salary take into OT calculation..

---

Added on May 3, 2010, 4:35 pmNormally is 26 working days..
for 5 working days should be 22days oli
but how if there is 28 days in a mth?
blurred

This post has been edited by QdChan: May 3 2010, 04:35 PM

normal rate/hour : base salary x 12 / 2080
OT rate/hour (weekdays/saturday) : normal rate/hour x 1.5
OT rate/hour (sunday) : normal rate/hour x 2

2080 = 40 hours/week (normal hour to be completed in 1 week) x 52 weeks/year

That will depend on your company calender

Company A, calculate no. of working days in a month, divide accordingly
Company B, fixed no. of working days in a month (usually averaging throughout the year), divide accordingly..

Usually for my company it's 1.5x after hours, 2x during weekend, 3x during public holidays. But there's a basic cap imposed, which cause our OT rate to be rather low

In most western countries, you can take action against your company... if your company requires you to work OT... yet pay nothing in return...

sadly not in Malaysia...

hello,

Is break during overtime included in OT calculation?

Lets say i work OT 4 hours and have break 1 hour, so should my employer calculate OT as 3 hr or 4 hrs?