Pay out overtime through payroll (Intega HR)

How to configure mTime so overtime (or any premium) accumulates on a time account and is paid out to payroll automatically when the period is approved — end to end, from the reason the employee tags to the salary line arriving in Intega HR.

How the chain works

1. The employee clocks time under a reason (for example Approved Overtime).
2. An allowance policy watches those hours and posts them onto a premium activity — visible live in the timesheet and on the statement.
3. A settlement policy on a dedicated time account credits the premium (optionally multiplied, e.g. ×1.25) and pays the balance out at each cut-off.
4. Because the account carries an Intega HR salary code, the payout is delivered to payroll when the statement is approved.

The employee never does anything beyond tagging their time; everything after that is automatic.

What you set up

1. A reason for the qualifying hours

Create a reason such as “Approved Overtime”. Employees tag qualifying hours with it — the hours stay ordinary worked time in the timesheet.

2. A premium activity and its allowance policy

Create an allowance-type activity (for example Night and Weekend Premium), then an allowance policy in rules mode that targets it:

• Trigger reason: the reason from step 1.
• Time filter: when the hours qualify (e.g. weekday evenings and weekends).
• Calculator: minutes — the policy posts the qualifying minutes onto the premium activity, day by day.
• Scope: the employment terms it applies to.

Important — no salary code on the premium activity. These hours are paid through the account payout in step 4, usually at a factor. If the premium activity also carried a salary code, the same hours would reach payroll twice — once at 1:1 from the activity and once multiplied from the account. mTime shows an amber warning on the account page when it detects this double-coding.

Hourly-paid employees: turn on “Deduct from hourly pay”. When the employment term also pays worked hours through an hourly activity, the premium hours are inside that worked total too — so without the switch they would be paid 1:1 as base and multiplied through the account. Turn on Deduct from hourly pay on the premium’s allowance policy: the qualifying minutes are then removed from the hourly-paid line and reach payroll only through the account payout. With the deduction on, the account’s credit factor is the hours’ total rate (e.g. night*1.25 pays them at 125%); salaried employees with no hourly line don’t need the switch.

3. A payout account

Create a time account (allowance type, hours) that exists only to hold and pay out the premium — for example “løn”. Employees don’t spend from it; think of it as the staging account between the premium and payroll. Turn on Hide from employees if it should stay out of their balance views.

4. The settlement policy

Create a settlement policy on the payout account with two steps:

• Credit (expression): bind an input alias (e.g. night) to the premium activity and credit night*1.25 — or plain night for a 1:1 payout.
• Deadline payout: pays the account’s balance at each cut-off. The period decides the rhythm: 1 month pays out every month (as in this example); 12 months is the classic yearly overtime payout — credits accumulate all year and the year-end cut-off pays out the whole balance. The year start month anchors the grid.

5. The salary code on the account

With the Intega HR integration’s Send Salary toggle turned on (it requires a cut-off date — periods starting before it are never sent), the account page gains an extended-info section. Open Settings › Time Accounts, pick the payout account and enter the Salary Code — the Intega HR registration code the payout is booked under. No code on the account means nothing is ever sent for it.

What happens month to month

When a statement covering a cut-off is approved, the payout leaves the account and one salary line is delivered to Intega HR under the account’s code — the full paid-out amount, dated at the period start, grouped in the Integration Log by period. The statement shows the same movement: premium credited, payout deducted, balance settled.

If the statement is later reopened, the payout is retracted in payroll (a negative line of the full amount) and the balance returns to the account; approving again delivers the full new payout. Payroll always ends up holding exactly the last approved amount.

Example: night and weekend premium at ×1.25

The canonical setup, verified live: reason Approved Overtime → premium activity Night and Weekend Premium (weekday 17:00–06:00 + weekends, minutes) → account løn with settlement policy Løn (credit night*1.25, deadline payout monthly, anchored January) → salary code 620 on the account. An employee with 6 premium hours in August gets 7½ hours (×1.25) paid out to Intega HR when August is approved.