Nevada OT Plan

Nevada OT Plan

The Nevada Overtime (OT) Plan is a state-specific labor compliance rule that governs how employee overtime must be calculated. Zenople’s Timesheet module now supports automatic OT Split logic in accordance with Nevada regulations to ensure accurate OT computation and payroll alignment.

Setting up Nevada OT Plan

To set up the Nevada OT Plan, users will have the “Nevada OT Plan” option available in the OT Plan setup fields. The following sections detail where the OT Plan can be configured:

• Customer Service Profile: In the “Timesheet” section of the “Service Profile” sub-navigation under the “Sales and Service” navigation on the Customer detail page, users can set the OT Plan to Nevada OT Plan.
• Job: When adding or editing a Scheduled Job or a Temp Job, users can select “Nevada OT Plan” from the OT Plan field in the Show More section.
• Transaction: Users can edit a transaction by selecting the Edit Transaction favorite action or the Edit Transaction option from the triple-dot menu on an individual transaction. From there, they can set the OT Plan to Nevada OT Plan.

Minimum Wage

The minimum wage used for the OT Split calculation is configured under the “Minimum Wage” navigation in the ATM. The minimum wage applicable to a transaction is determined based on the Accounting Period (AP) of that transaction and will be used in the OT calculation accordingly.

What is the Nevada OT Rule?

Under Nevada labor law, overtime is calculated daily and weekly. Employees are entitled to overtime pay in the following conditions:

Overtime Conditions:

1. Daily Overtime:
   • If an employee works more than 8 hours in a workday, hours beyond 8 are overtime.
   • Applies only if the employee earns less than 1.5 times the minimum wage. (Pay Rate)
2. Weekly Overtime:
   • If total work hours exceed 40 hours a week, the extra hours are overtime.
3. Double Calculation:
   • In some cases, both daily and weekly OT rules can apply. However, OT hours should not be double counted.
4. Multiple Assignments:
   • In the case of when a person works multiple assignments in the same week, the lowest Pay Rate will be taken into consideration for comparing with minimum wage.

Worked Out Examples

Assumptions

Minimum Wage = $12.00/hour

1.5× Minimum Wage = $18.00/hour

Employee Work Pattern: Works every day for 10 hours

Example 1: Employee’s Wage is below $18.00/hour (Daily OT Applies)

Example 2: Employee’s Wage is below $18.00/hour (Daily OT Applies)