How do I correctly calculate overtime in the context of flextime models?
April 23, 2023 | 40,00 EUR | answered by Elvira Klinger
Dear tax advisor,
I have a question regarding the correct accounting of overtime in the context of flextime models. My name is Zofia Schlüter and I work for a company that offers flextime. Lately, I have been accumulating overtime hours that I would like to have accurately accounted for.
So far, I have simply written down my overtime hours and hoped that they would be correctly accounted for at the end of the month. However, I have doubts whether this is the correct approach and if I might be doing something wrong.
Therefore, my current situation is that I am accumulating overtime hours, but I am unsure how to correctly account for them. I am concerned that I might be losing money if my overtime hours are not properly recorded and compensated.
My question to you as a tax advisor is: How do I correctly account for overtime within flextime models? Are there specific regulations or requirements that I need to follow? What options do I have to ensure that my overtime hours are accurately recorded and compensated?
I would greatly appreciate your assistance on this matter, as it is important to me to correctly account for my overtime hours.
Thank you in advance for your support.
Sincerely,
Zofia Schlüter
Dear Mrs. Schlüter,
Thank you for your question regarding overtime calculation in the context of flextime models. It is important that overtime is accurately recorded and compensated to ensure that you are appropriately compensated for your additional work. In fact, there are certain regulations and rules that you must follow to properly calculate overtime within a flextime model.
In general, overtime should always be documented to ensure that it can be accurately recorded. This can be done, for example, through an overtime account or a corresponding Excel spreadsheet. It is important that you regularly document your overtime and keep these records in case of an audit by the tax office or other authorities to prove that the overtime was actually worked.
When calculating overtime within a flextime model, you should first check if there is a company agreement or a provision in the employment contract that regulates the calculation of overtime. These regulations typically specify how overtime must be recorded, what compensation is paid for overtime, and how overtime can be compensated (e.g. through time off).
If there are no specific regulations in the company, the legal provisions of the Working Hours Act (ArbZG) apply. According to the ArbZG, employees may work a maximum of 48 hours per week, with overtime usually limited to 8 hours per day and 10 hours per week. Overtime must usually be compensated with a surcharge, which is determined in collective agreements or company agreements.
To ensure that your overtime is accurately recorded and compensated, I recommend contacting your supervisor or the HR department to clarify the regulations within the company. If there is any uncertainty, you can also consult a tax advisor or employment law expert who can assist you with the calculation of overtime.
I hope this information is helpful to you and that you can accurately calculate your overtime in the future. If you have any further questions, please feel free to contact me.
Best regards,
Elvira Klinger
Tax advisor
