Twice a year, overnight workers work one hour more or one hour less than their schedule shows. Here is how to record and pay those hours correctly.
Most schedules are written in local clock time: 10 p.m. to 6 a.m. On a normal night that is eight hours. On the night clocks go back, the same shift lasts nine real hours, because 1 a.m. to 2 a.m. happens twice. On the night clocks go forward, it lasts seven, because 2 a.m. to 3 a.m. is skipped. For anyone paid by the hour, the payroll must reflect real elapsed time, not the difference between two clock readings. For background on how hours are totaled, see our guide to calculating payroll hours.
| Change | When | Effect on a 10 p.m.–6 a.m. shift |
|---|---|---|
| Spring forward | Second Sunday in March, 2 a.m. becomes 3 a.m. | 7 hours actually worked |
| Fall back | First Sunday in November, 2 a.m. becomes 1 a.m. | 9 hours actually worked |
Most of Arizona and Hawaii, along with several US territories, do not observe daylight saving time. If you have employees in those places and elsewhere, the time difference between your locations changes twice a year. Federal law has been debated many times; check for any changes to the rules before each season.
For non-exempt employees, all hours worked must be paid. If an overnight shift lasts nine hours because of the fall change, pay nine hours. That extra hour also counts toward weekly hours, so it can push an employee over 40 hours and create overtime under the FLSA. In states with daily overtime, such as California, a nine-hour shift may also trigger daily overtime. See FLSA overtime rules for the weekly calculation.
In spring, an overnight shift is one hour shorter in real time. Under federal law, non-exempt employees are owed pay for hours actually worked, so many employers pay seven hours for a seven-hour shift. Others choose to pay the scheduled eight hours as a goodwill gesture or because a contract, union agreement or company policy requires it. Whatever you choose, state it in writing and apply it consistently. Exempt employees on a salary are unaffected.
A fictional security officer earns $20 per hour and works five overnight shifts from 10 p.m. to 6 a.m. in the week that includes the fall change.
| Item | Hours | Pay |
|---|---|---|
| Four normal shifts | 32 | $640.00 |
| Fall-back shift (real hours) | 9 | $180.00 |
| Total straight time | 41 | $820.00 |
| Overtime premium | 1 x ($20 x 0.5) | $10.00 |
| Total for the week | 41 | $830.00 |
If payroll counted only clock-time differences, the week would show 40 hours and the employee would be underpaid by $30.
A good test: before each change, look at last year’s change-night shifts in your reports and confirm the hours. EZTime records each clock-in and clock-out as a precise timestamp, so hours reflect real elapsed time, and managers can review overnight shifts on change weekends before approving them.
A short message a week before each change avoids confusion and disputes. Tell overnight staff whether their shift end time will change, how many hours will be paid and who to ask if their timecard looks wrong. Remind managers to review change-night timecards before approving them, and make sure any manual corrections are documented with a reason.
If you have locations in states that do not observe daylight saving time, the hour difference between sites changes in March and November. Shared schedules, meeting times and cross-site shift coverage can be off by an hour if your system does not store time zones correctly. Use each location’s local time zone for its punches, and check reports for teams that work across sites. EZTime supports multi-location teams with reports by site.
Yes, for non-exempt employees. All hours actually worked must be paid, including the extra hour, and it can count toward overtime.
Federal law requires pay for hours actually worked, so it is not generally required. Some employers pay the scheduled hours anyway, or must under a contract or policy.
Exempt salaried employees receive their normal salary. Salaried non-exempt employees still need correct hour records for overtime.
Most of Arizona and Hawaii do not, along with several US territories.
Correct the record using the scheduled end time and the real elapsed hours, document the change and confirm it with the employee.
Look at overnight shifts from the last change weekend and confirm that reports show the real hours worked, not the clock difference.
Approved hours leave EZTime as payroll-ready Excel or PDF reports for whoever runs your payroll. For a team of 15, EZTime starts at about $30 a month ($2 per employee).