Overtime Calculation in KSA
Calculating overtime can be a confusing process, especially if you are not familiar with the laws and regulations that govern overtime pay in your country. In this article, we will provide a step-by-step guide on how to calculate overtime in Saudi Arabia, including an overview of the relevant laws and regulations, and tips for ensuring compliance with these requirements. To make the process even easier, we have included an overtime calculator with this article so you can easily calculate your overtime pay by simply providing your hourly wages and overtime hours.
The Basic Rules and Regulations for Overtime in Saudi Arabia
According to Article 107 of the Saudi Labor Law, the basic rules and regulations for overtime in Saudi Arabia are as follows:
- The employer must pay the employee an additional amount for overtime hours equal to the hourly wage plus 50% of the basic wage.
- If the company operates on a weekly basis, any hours worked beyond the normal working hours will be considered overtime.
- All hours worked during holidays and Eid days will also be considered overtime.
Overtime Pay Calculator
Enter your regular hourly wage and the number of overtime hours worked to calculate your overtime pay:
Overtime pay: SAR
To use this calculator, enter your regular hourly wage and the number of overtime hours worked, then click the “Calculate” button. The calculator will display your overtime pay in Saudi Riyals (SAR).
How to Calculate Regular Hourly Wage
To calculate your regular hourly wage, you will need to divide your total salary by the number of hours you work each month. For example, if your salary is SAR 4,000 per month, and you work a total of 48 hours per week, your regular hourly wage would be calculated as follows:
(4,000 / 4 weeks per month) / 48 hours per week = SAR 20.83 per hour
It is important to note that this calculation assumes that you work the same number of hours each week. If your hours vary from week to week, you will need to use the average number of hours worked per week to calculate your hourly wage.
Working Hours as per Saudi Labor Law
According to Saudi Arabia’s labor laws, an employee may not be required to work more than eight hours per day if the employer operates on a daily basis, or more than 48 hours per week if the employer operates on a weekly basis.
Working Hours during Ramadan
During the month of Ramadan, the working hours for Muslim employees are reduced to six hours per day and 36 hours per week.
Maximum Overtime Hours in a Year
The maximum number of overtime hours that an employee can work in a year is 720, but this limit can be increased with the employee’s approval.
In conclusion, calculating overtime in Saudi Arabia requires a thorough understanding of the country’s labor laws and regulations. By following the steps outlined in this article, you can easily calculate your overtime pay. Thanks for reading!