Comp Time Or Vacation In Lieu 0 0

Last updated on Jun 22, 2026 06:02 in Time Keeping & Attendance » Comp Time / Vacation In Lieu
Posted Bykirt

What Comp Time Or Vacation In Lieu Does

Comp Time or Vacation In Lieu is used when a company gives time off instead of paying overtime or special work as payroll earnings.

This is payroll-adjacent because it affects whether extra work becomes pay or leave.

Practical Example

An employee works extra hours on a weekend. Instead of overtime pay, the company grants 4 hours of comp time. Payroll should not create an overtime payroll item for those hours if they were approved as time in lieu.

When To Use It

Use comp time when company policy allows employees to receive leave time instead of additional pay.

Common Mistakes

  • Paying overtime and granting comp time for the same hours.
  • Not documenting the approval.
  • Not confirming whether the hours should go to payroll or leave balance.

Related Articles

  • Weekly Overtime Approval To Payroll
  • Hours To Payroll Workflow
  • Leave Requests
** The time is base on America/New_York timezone