This article guides you through the 3-month flextime settings.
Table of contents
- What is the 3-month flextime system?
- To set up a variable work schedule
- Summary view
- Attendance data recalculation
- Resignation procedure in the middle of the settlement period
What is the 3-month flextime system?
Until now, the maximum settlement period was limited to one month, but with the enforcement of the Workstyle reform legislation in April 2019, the maximum settlement period is now three months.
By the extension of the settlement period, we can adjust the working hours according to the convenience of the worker within the total working hours for a period of two or three months. For more details, please refer to the following.
Ministry of Health, Labor and Welfare website
Flextime System: An easy-to-understand explanation and introduction guide (External link) https://www.mhlw.go.jp/content/000476042.pdf
Option ＞ [Attendance Management Settings] Variable Working Hours Setting Feature ＞ Apply
Option ＞ [Attendance Management Settings] Bonus wage overtime aggregate function ＞ Apply (*1)
*1 The flextime system is set for each employee type (employee). Since the option is set for the entire company, there is no problem even if you select Extra premium overtime calculation function> Use two levels of premium overtime hours. In that case, please register only "extra overtime" in the employee type settings.
To set up a variable work schedule
1. Click [Edit] at Settings > Employee > Employee type settings. Select Variable working hours system under Workstyle. Select Manual setting (Flextime, etc.), and click on Variable Working Hours Setting.
Perform settings under Common.
Units to be used
Check the "By month" checkbox.
Select the items that are subject to the flextime system.
Fixed, Extra Hours, Fixed Late-night hours, Extra Late-night Hours
* Depending on your setting, Late-night hours and Extra Late-night Hours may be indicated as “Late night”
Select the weekday type that applies to the flextime system.
"Weekdays" "Legal time-off" "Non-legal time-off”
* If you are not using the holiday overtime feature, the workday type is hidden. To enable the feature, please contact our Support Center.
Overtime calculation method
Select the method for calculating variable work overtime under the flextime system.
- “Add up in Chronological Order”: For each day, accumulate the working hours, excluding overtime. The system starts counting overtime from the day the working hours exceed the threshold (standard hours).
- “Add up Extra Hours First”: Overtime is tallied up in the order of the most recent extra work hours within the specified month. If there are overtime hours and midnight overtime hours on the same day, the later time period is tallied up first.
For details, please refer to this article.
2. Perform settings at “By month”.
Variable Working Hours Type
Specify the standard hours per month. If working hours exceeds the specified number of hours, the system handles the excess as overtime. If you choose [Work hours that exceed the scheduled time will be counted as overtime], the system automatically calculates the standard hours based on the scheduled working hours for the month.
For the flextime system (in case standard hours change every month depending on the number of calendar days), we recommend the [Use Statutory working hours for variable hours per month (weekly standard hours x calendar days / 7) as the standard/reference time.
Standard hrs per month
Specify the standard working hour for each month.
3. Set the [Standard (hrs) per month].
(1) Displaying period
Specify which year to show on the screen.
(2) Copy last year’s standard (hrs)
This button copies the monthly standard time settings of the previous year. For example, if the standard hours for variable work are fixed and determined by the number of calendar days, you can copy the setting so that you don't need to enter the data for each and every month.
The button saves the setting. After editing this setting, please be sure to click this button to save the changes you made.
Specify which month of the year to perform the setting. The settings are arranged based on your company’s start date for the fiscal year. (Settings > Others > Options > Company info: Fiscal year start date)
(5) Base Time for Variable Working HoursSpecify the standard working hours for Variable Working Hours. Please enter the hours that will serve as the reference time for the specified working hours for each month.
(6) Settlement Period
Select from 1 month to 3 months. To apply flex settings for multiple months, specify the number of months in the line of the starting month.
Example: To set up a flextime system for April, May, and June, select "3 months" in the Settlement Period column in April.
(7) Standard Hours to settle within month
For a multi-month (2 months, 3 months) flextime system, perform settings here.
* The default value is an average of 50 hours per week for each month.
Working hours beyond the specified hours count as overtime for the current month, even if it is a flextime system across multiple months.
(8) Handling method of working hours deficiency and excess
If you select [1 month] for the Settlement Period, you must enter the number of months in this column.
- [Settle within month]: Settle working hours that exceeded the standard hours in the current month.
- [Balance deficiency in the following month]: Compensate the number of working hours lacking from the standard hours for this month in the following month. Hours exceeding the standard hours (overtime) are settled in the current month.
* If you select more than one month (2 or 3 months) for the settlement period, you cannot select [Balance deficiency in the following month].
(9) Total Statutory Working Hours
If you select [1 month] in [Settlement Period] and select [Balance deficiency in the following month] in [Handling method of working hours deficiency and excess], you must specify the [Total Statutory Working Hours] for the following month.
Working hours exceeding the total statutory working hours are tallied as overtime in the following month.
Selecting [Flex] at [Variable Working Hours Type] changes the display of the time card.
The following is an example of a three-month flextime system from April to June.
Emplotyee type settings > Standard (hrs) per month setting
(1) Original Standard Hours
This is the [Base Time for Variable Working Hours] specified at [Standard (hrs) settings per month].
(2) Carry-overs from Previous Month
This is the working hours carried over within the settlement period. It shows the number of hours carried over from the previous month to the settlement month. In the case of a three-month flextime system (April-June), it will appear on the time card on June, which is the settlement month.
(3) Remaining Standard Hours at the beginning of the month
This is the total hours remaining as of the beginning of the month.
Time card (April) -> Total standard working hours of each month
171 hours 24 minutes (April) + 177 hours 6 minutes (May) + 171 hours 24 minutes (June) = 519 hours 54 minutes (*1)
Time card (May) -> [*1] - [April’s working hours within standard hours] - [Carry overs]
519 hours 54 minutes - (171 hours 24 minutes + 42 hours 53 minutes) = 305 hours 37 minutes (*2)
Time card (June) -> [*2] - [May’s working hours within standard hours] - [Carry overs]
305 hours 37 minutes - (177 hours 6 minutes - 10 hours 6 minutes) = 138 hours 37 minutes
(4) Standard Hours of the Month
This is the standard hours - Carry-overs. It may vary in the last month of the settlement period.
Total standard hours for April, May, and June: 519 hours and 54 minutes (*1)
April -> Standard hours: 171 hours 24 minutes + Carry-overs: 42 hours 53 minutes = 214 hours 17 min
May -> Standard hours: 177 hours 6 minutes + Carry-overs: 10 hours 6 minutes = 167 hours
In April and May, the number of working hours outside of the current month's settlement hours is 381 hours and 17 minutes
(214 hours and 17 minutes + 167 hours),
so the standard hours for June is as follows.
[519 hours 54 minutes] - [381 hours 17 minutes] = [138 hours 37 minutes]
(5) Standard Hours to settle within month
This is the [Standard Hours to settle within month] specified at [Standard (hrs) settings per month].
(6) Hours Within Standard Hours
This is the working hours within the [Standard Hours to settle within month]. For months other than the settlement month, if the actual working hours are less than the [Standard Hours to settle within month], [Deemed working hours] is included for deduction adjustment.
If a deduction is required:
- 1-month flextime system
- Handling method of working hours deficiency and excess: Balance deficiency in the following month
April 2019: 160 hours of Standard hours for variable working hours / Total statutory working hours -
May 2019: 150 hours of Standard hours for variable working hours / 152 hours of total statutory working hours
Time card (April)
If the actual working hours are only 136 hours in April 2019, you will be 24 hours short of the standard 160 hours.
However, since the total legal working hours for the following month of May is 152 hours, only 2 hours can be carried over to the next month.
Standard hours (Base hours) to settle within this month.: 160 hours - 138 working hours within standard hours = 22 hours
The missing 22 hours will need to be deducted in April.
This is the amount of time that can be carried forward to the last month of the settlement period.
Time card (April) -> These are the hours beyond the standard working hours and up to the standard hours for this month.
[214 hours 17 minutes] - [171 hours 24 minutes] = [42 hours 53 minutes]
Time card (May) -> This is the shortage in the standard working hours.
[177 hours 6 minutes] - [167 hours] = [- 10 hours 6 minutes]
(8) Beyond Standard Hours
These are the overtime hours that need to be settled this month (these are the hours that exceed the [Standard Hours to settle within month]).
(9) Bonus Wage Hours
These are the bonus wage overtime hours that need to be settled this month. The system counts the time that exceeds the bonus wage overtime, specified in the Employee type settings.
* This item is hidden if [Do not apply] is set at [Options > Attendance management settings > Bonus wage overtime aggregate function].
Attendance data recalculation
Please run the attendance data recalculation after editing the employee type settings or attendance data. If a settlement period is applied, please run the attendance data recalculation in chronological order. (Settings > Others > Attendance data recalculation)
The flextime system is applied from April to June.
Edited the attendance data for May 20.
-> In this case, run the time and attendance data recalculation for April, May, and June one month at a time.
1 -month flextime is set up in April (any shortage is carried over in the following month).
->In this case, run the time and attendance data recalculation for April and then May, one month at a time.
Resignation procedure in the middle of the settlement period
Be sure to settle the monthly standard hours in the last month of work. Go to Settings > Employee > Employee settings > [Edit] at the resigning employee. Click [Detail] at Employment info and set up the [Standard (hrs) settings per month] individually.