Run this in AIHR BD instead of a spreadsheet
NBR-compliant payroll, ZKTeco & Hikvision attendance sync and bKash/Nagad salary disbursement — free to start, priced in BDT.
Overtime is where payroll disputes start. The rate is fixed by law, the hours are capped, and the register is inspectable — yet most Bangladeshi employers still calculate OT from a spreadsheet built by someone who has since left.
Key takeaways
- Standard working time is 8 hours a day and 48 hours a week; with overtime the working week should not exceed 60 hours, averaging 56 hours across the year.
- Overtime is paid at twice the ordinary hourly rate of basic wages.
- Every establishment must maintain an overtime register.
- Overtime should be approved before it is worked, not discovered on the attendance report.
- OT calculated from raw biometric punches, without shift and break rules, is almost always wrong.
The formula
Ordinary hourly rate = Basic salary ÷ 208 (26 days × 8 hours)
Overtime rate = Ordinary hourly rate × 2
Overtime pay = Overtime rate × OT hours
Some establishments use 30 days × 8 hours = 240 as the divisor. Whichever base your service rules state, apply it consistently and disclose it on the payslip.
Worked example
Basic salary ৳26,000, 18 overtime hours in the month.
- Ordinary hourly rate = 26,000 ÷ 208 = ৳125
- Overtime rate = 125 × 2 = ৳250
- Overtime pay = 250 × 18 = ৳4,500
| Basic (BDT) | Hourly | OT hourly | 10 hrs OT | 20 hrs OT |
|---|---|---|---|---|
| 15,000 | 72.12 | 144.23 | 1,442 | 2,885 |
| 20,000 | 96.15 | 192.31 | 1,923 | 3,846 |
| 26,000 | 125.00 | 250.00 | 2,500 | 5,000 |
| 40,000 | 192.31 | 384.62 | 3,846 | 7,692 |
Hour limits you must respect
- Ordinarily 8 hours per day, extendable to 10 in defined circumstances.
- 48 hours a week as standard, and not more than 60 hours in any week with overtime.
- A weekly holiday must be given, with compensatory rest where it is worked.
- Rest or meal intervals during the shift are not counted as working time.
Exceeding the ceilings is an offence in itself, even where the overtime is paid correctly. Cap it in the roster, not after the fact.
Records inspectors ask for
- Overtime register, showing hours per worker per day.
- Attendance record reconciling to those hours.
- Wage sheet showing OT paid at the correct rate.
- Written approvals for the overtime worked.
Keep the three documents consistent. Mismatch between the device log, the register and the wage sheet is what turns a routine inspection into a finding.
Calculating OT correctly from device data
Raw punches are not overtime. To get a defensible figure you need:
- Shift definition per employee, including grace period and break duration.
- Rounding rule (for example, OT counted in 30-minute blocks after 30 minutes).
- Approval status — only approved excess hours become payable OT.
- Weekly holiday and public holiday handling, which may carry different treatment under your service rules.
Our guides on connecting ZKTeco and Hikvision devices and choosing a biometric attendance device cover the data side; the calculation rules above are what turn that data into payroll.
Automate the chain
In AIHR BD, device punches flow into shift-aware attendance, excess hours raise an approval request, approved hours become an overtime line on the payslip at your configured multiplier, and the overtime register exports for inspection — all in BDT, without a spreadsheet in the middle.
Related reading
Frequently asked questions
- What is the overtime rate in Bangladesh?
- Overtime is paid at twice the ordinary hourly rate of basic wages under the Bangladesh Labour Act 2006.
- How do I calculate the hourly rate for overtime?
- Divide the basic salary by 208 (26 days × 8 hours), or by the divisor stated in your service rules, then multiply by two for the overtime rate.
- What is the maximum weekly working time with overtime?
- A working week should not exceed 60 hours, with the yearly average kept at about 56 hours per week.
- Do I need to keep an overtime register?
- Yes. An overtime register must be maintained and must reconcile with your attendance records and wage sheets.