Compensatory time, or Comp Time, allows employees to receive time off instead of immediate paid overtime, based on your organization’s policies. In WorkEasy Software, Comp Time is configured through time-off code rules, time codes, cash-out codes, and worked-hour transformations.
Before configuring Comp Time-specific behavior, make sure the general time-off code setup is complete. For more information, see Time Off Code Configuration.
When to use Comp Time
Use Comp Time when your organization allows eligible employees to bank worked hours as future paid time off instead of receiving immediate payout.
Common Comp Time scenarios include:
Employees earn compensatory time after working eligible extra hours.
Employees use earned Comp Time as paid time off.
Employees receive a cash payout for unused Comp Time.
Employees work during an approved Comp Time period and those hours must be treated differently.
Recommended Comp Time setup
When configuring a Comp Time rule, use time codes that clearly separate earned time, used time, worked time, and payout time.
Setting | Recommended value |
Time-off Code | Comp Time (CT) |
Cash out Code | Comp Time Payout |
Consider hours of | Worked Hours |
As | Overtime, Comp Time Earned, or another earning code based on your policy |
Configure Comp Time cash-outs
If employees can receive a payout instead of taking Comp Time, select a dedicated Cash out Code. This helps payroll and reporting distinguish between Comp Time taken as leave and Comp Time paid out as earnings.
Recommended: Use a payroll-specific code, such as Comp Time Payout.
Configure worked hours during Comp Time
If employees may work during an approved Comp Time period, configure a worked-hour transformation so the system knows how those hours should be treated.
Example:
Consider hours of: Worked Hours
As: Overtime
In this example, worked hours entered during an approved Comp Time period are treated as overtime instead of regular worked hours.
Validation rules for Comp Time
When configuring Comp Time transformations, the system validates your selections to prevent duplicate or conflicting time code behavior.
Each Consider hours of time code can only be used once within the rule.
A time code selected under As cannot also be selected under Consider hours of within the same rule.
These validations help prevent duplicate, circular, or invalid payroll calculations.
Example Comp Time scenarios
Scenario | Recommended setup |
Employee uses earned Comp Time | Record the absence as Comp Time (CT) |
Employee receives payout instead of taking Comp Time | Use a dedicated Comp Time Payout code |
Employee works during approved Comp Time | Convert Worked Hours to Overtime or another earning code |
Best practices
Use separate time codes for Comp Time taken, Comp Time earned, and Comp Time paid out.
Use clear rule names, such as Hourly Employees Comp Time or Comp Time Cash Out Rule.
Review payroll exports after configuration to confirm the expected codes are applied.
Confirm your Comp Time policy with your payroll or HR team before applying rules company-wide.