Linda Strong newPayroll can be tricky. A couple of confusing areas can be Compensatory (Comp) Time and Travel Time.

Compensatory (Comp) Time:

Comp time is time off given to non-exempt or hourly employees in lieu of paying overtime. For example if an employee works 1 hour of overtime in a week he or she would be given 1 ½ hours of time off at some time in the future.

Under the Fair Labor Standards Act (FLSA), only public agencies (like state or federal governments) can give comp time. Private employers must pay overtime to employees who work more than 40 hours in a week.

Travel time:

Travel time can be especially tricky when trying to figure out if travel time is working time.

  • Travel to and from work is not considered work time.
  • If your employee is working in another city for the day, travel time is considered work time. Although, the employer may deduct the time that the employee would normally spend commuting to their regular worksite.
  • Time spent traveling as part of their job, such as travel from job site to job site is work time.
  • Travel that includes an overnight stay:
      • If the employee is driving, all travel time is paid.
      • If the employee is traveling (as a passenger) within his or her normal work hours*, all travel time is paid. Travel time outside of normal work hours as a passenger does not have to be paid.

*Normal work hours: the hours an employee normally work e.g., 8:00-5:00 Monday. This includes travel on what would normally be a day off, such as a weekend or holiday.