Eulin: Good day Ma’am Vega, I’m Jermaine Eulin.

My classmates and I will be presenting the

13th week topic: Overtime pay and Gross pay. Let’s hear our presentation which will be
presented by Gallego, Mirallo, and me.

Eulin: Firstly, what is overtime? Overtime refers to any hours worked by an employee that
exceed their normally scheduled working hours. We will talk more about the qualifications and
exceptions in each employee’s overtime pay. But for now, let’s call on Gallego and Mirallo to
help us in solving the different kinds of overtime.

Gallego: The different kinds of overtime are Regular overtime, Rest day overtime, and holiday
overtime.

Gallego: Starting with the regular overtime, an employee is only required to work for 8 hours
only. Now in a regular working day, if an employee decides to work after 8 hours it is now
considered as overtime. To compute the overtime pay, The rate of overtime pay is an additional
25% of the hourly rate for work performed in excess of 8 hours on an ordinary day.

Amarillo: Rest day overtime, for work done in excess of eight 8 hours (overtime work) during a
special day that also falls on the workers' rest day, they shall be paid an additional 30 percent of their
hourly rate on said day, or a computation of hourly rate of the basic daily wage x 150 percent x 130
percent x number of hours worked.

Gallego: For the third type, it is when the employee decides to work overtime on their corresponsive
rest day. On an employee’s rest day, the rate is plus 30% of the daily basic rate or a total of 130% for
work performed on rest day or special day.

Eulin: Moving on, let us now proceed on some factors that affect and do not affect overtime and
regular pays for the employees especially during the pandemic.

Eulin: Overtime must also be paid under work from home arrangements. Under Republic Act No.
11165 or the “Telecommuting Act”, an employer in the private sector may offer a telecommuting or
“work-from-home” program to its employees on a voluntary basis, and upon such terms and
conditions as they may mutually agree upon. Under the law, such terms and conditions shall not be
less than the minimum labor standards set by law, and shall include compensable work hours,
minimum number of work hours, overtime, rest days, and entitlement to leave benefits.

Amarillo: Undertime in a working hours can not be filled with the overtime job because they have
different kinds of payments. Also, Permission given to the employee to go on leave for a day in a
regular work week shall not exempt the employer from paying the additional compensation required
for the overtime work done.

Gallego: And lastly, there could be sudden events such as when the country is at war, death and life
situation, a machine that needs to be fixed immediately, to prevent the loss of damage to some
goods, and etc. There will be an emergency call for overtime work.
Amarillo:How about gross pay? Well a gross pay is for a firm, gross income (also called as gross
profit, sales profit, or credit sales) is the difference between revenue and the cost of making a
product or providing a service, before deducting overheads, payroll, taxation, and interest payments.
This is different from operating profit (earnings before interest and taxes).

Gallego: The components of Gross pay Wages (based on an hourly rate) and salaries (based on an
annual rate) are Bonuses, Shift differentials ,Commissions ,Piece rate pay, Vacation pay, Sick pay
,Holiday pay

Amarillo:Whether it’s an hourly rate or annual rate, the computation depends on the amount that is
agreed upon by both the employer and employee. The amount, also called the pay rate, must be
agreed upon in writing before the start of employment.

Gallego:To get the gross pay at an hourly rate, multiply the number of hours worked during the pay
period by the hourly pay rate.Get the timesheet or attendance log of the employee to know the
number of hours worked during the pay period.

Gallego:Multiply the total number of hours worked by the hourly pay rate.
If the employee worked overtime, make sure to include the overtime hours in the gross pay.

Amarillo:And take note that other benefits that may be taxable to the employee are not included in
the gross pay.

Gallego:To compute the gross pay of employees with an annual rate, divide the total amount of
yearly pay by the number of pay periods within a year. For example, if the employee’s annual pay is
$12,000 and there are 24 pay periods in a year, their gross pay per period is $500. Other pay or
benefits should be added.
Amarillo:According to the federal labor law, overtime pay is 1.5x the hourly rate of the employee who
works more than 40 hours a week. Keep in mind that overtime regulations vary among states. If they
are higher than the requirements of federal law, you should pay overtime according to existing state
law(s).

Gallego:In general, employees with an annual rate are exempted from overtime. However, according
to federal law, lower-paid salaried employees are entitled to overtime pay. Specifically, if the salary of
the employee is not more than $455 per week or $23,660 per year, he or she must receive over.

Eulin:To apply this in real life events, we should be careful with regards to holding money. Earning
money amidst the pandemic is crucial for us, it is used to spend necessities and essential goods
throughout the unfortunate events of the pandemic. There are people who are wishing to earn some
money but they can’t do it because they don’t have the privilege to earn so. Earn hard and spend
wisely indeed.
Gallego: Always limit yourself from using money. When you have so much, always remember to give
back to people who made you achieve what you had today. I know there are far more complicated
things in life that we need to solve.

Amarillo: And lastly, money doesn’t come out in the most comfortable way and that we should
always know how to compute for such thing as our gross pay and overtime pay because it’s not just
our body which we tire off when we work, but also the time that we can’t take back anymore. This
lesson will help us know what we deserve as compensation for either the tardiness or a reward for
our hard work.

Eulin:And that's our presentation of Group 1,Thank you for listening and if you have a question we’re
open to answer it.