Hourly-rate conversion

The script annualises monthly ordinary wage, divides by 52 weeks and then by entered ordinary weekly hours. At R18,000 per month and 45 hours per week, the estimate is about R92.31 per hour. Payroll can use a statutory or contractual remuneration basis that differs from this simplified conversion, especially for variable pay, allowances and non-standard work patterns.

Use ordinary wage that belongs in the relevant calculation, not take-home pay. PAYE, UIF and other deductions occur after gross earnings are determined. If a payslip provides an ordinary hourly rate, reconcile that rate before analysing overtime; otherwise every premium calculation inherits the mismatch.

Weekday overtime rate

Section 10 of the BCEA states that covered overtime must be paid at least one and one-half times the employee’s wage, unless an allowed agreement combines ordinary pay with paid time off or provides paid time off at the specified rate. The weekday result multiplies entered overtime hours by 1.5 times the estimated hourly rate.

The output assumes those hours are payable overtime and have not already been compensated. Averaging agreements, compressed workweeks and collective agreements can alter when overtime arises. Simply working beyond an individual’s usual shorter schedule does not always mean every additional hour is statutory overtime; ordinary hours and the governing agreement must be identified.

Sunday work

For an employee who does not ordinarily work on Sunday, section 16 generally provides double the wage for each hour worked. If the employee ordinarily works on Sunday, it provides one and one-half times the wage, subject to the detailed minimum daily payment and possible paid-time-off agreement. The selector applies only these two headline multipliers.

The Act also addresses a shift spanning Sunday and another day, and how Sunday time interacts with overtime. The page does not reconstruct a roster. Check the start and end of each shift, whether Sunday is ordinary and whether a collective agreement offers more favourable terms.

Public-holiday work

The public-holiday field models work on a public holiday that falls on a day the employee would ordinarily work, using two times the hourly rate for entered hours. BCEA section 18 contains alternative calculations, including a comparison with ordinary daily wage and a different rule where the holiday is not an ordinary workday.

Because the statutory calculation is day-based and fact-sensitive, the line is a rough reconciliation. Entering only two hours may understate a minimum daily entitlement. Review the roster, agreement and ordinary daily wage and do not combine Sunday and public-holiday multipliers automatically unless the applicable rule requires that treatment.

2026 earnings threshold

From 1 May 2026, the Department of Employment and Labour announced a BCEA earnings threshold of R269,900.90 per year. Employees earning above the determination are excluded from specified working-time sections, including overtime and parts of Sunday and public-holiday protection. The page compares monthly wage times twelve with that number as a warning.

The legal definition of earnings for the threshold is not necessarily the monthly ordinary wage entered for the hourly rate, and exclusions can apply for other reasons. Being above the threshold does not erase contractual rights; it means the automatic statutory sections require closer review. Being below it does not prove every entered hour qualifies.

Time off instead of cash

A written agreement may provide the combinations of pay and paid time off allowed by the BCEA. The calculator shows cash-rate scenarios only and does not value future time off. If time off is offered, record the number of hours, whether they are fully paid and the deadline for taking them.

Compare the arrangement with the statutory minimum and any more favourable contract. Unused time-off balances can become disputed when rosters change or employment ends. A clear timesheet and written approval protect both employee and employer better than reconstructing hours months later.

Timesheets and payroll reconciliation

Record date, start time, end time, meal intervals, ordinary hours, overtime approval, Sunday status and public-holiday status. Compare those records with roster data and the payslip units. A total-hours difference should be resolved before debating the multiplier. Preserve messages or system approvals where the employer requires authorisation.

Recalculate each category separately. Do not apply 1.5 to a payslip amount already paid at a premium, and do not subtract ordinary pay unless the payroll line is expressly an extra premium rather than total pay. Ask payroll for the formula and rate basis in writing when labels are unclear.

Disputes and specialised sectors

Sectoral determinations, bargaining-council agreements and collective agreements can set different ordinary hours, premiums or procedures. Senior managerial employees, certain sales staff and employees working fewer than 24 hours a month are among situations requiring scope checks. This general page cannot determine coverage from a job title alone.

Raise errors promptly through internal payroll or grievance channels and keep evidence. A union, bargaining council, Department of Employment and Labour office or labour professional can help where entitlement is disputed. Filing and referral time limits can apply, so do not postpone advice while repeatedly adjusting calculator inputs.

Gross pay, PAYE and UIF

Every monetary result on the page is gross. Additional overtime can increase PAYE withheld in that pay period because payroll annualises remuneration under the applicable deduction method. A higher deduction does not mean overtime itself is taxed by a special punitive tax rate; final income tax depends on annual taxable income and the normal tax system.

UIF contributions, pension deductions, garnishee orders and other authorised deductions can also affect the deposit. Reconcile gross entitlement before net pay. If the gross lines agree but the bank amount does not, inspect each deduction and year-to-date figure rather than changing overtime hours until the net happens to match.

Reconcile the payslip

Keep the roster, clock records, approved overtime, ordinary hours and written employment terms for the pay period. Compare the calculator with the payslip line by line before assuming an underpayment. Differences can arise from time off, shift rules, public holidays, bargaining arrangements, payroll cut-offs or the earnings definition used.