7shifts Labor Hour Calculations
Understanding how 7shifts calculates your labor hours is key to managing your workforce effectively. Here's how we break it down:
- Gather Punch Data: We collect time clocking/punch data from either 7punches or your POS system. This data is precise down to the minute, ensuring accurate labor tracking.
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Group Time by Type: Once we have the punch data for a shift, we categorize the working time - in minutes - into:
- Regular hours worked
- Paid breaks (included in regular hours)
- Unpaid breaks
- Overtime hours
- Holiday Hours
⚠️ Important: The way hours are categorized depends on your account's Labor & Compliance Settings.
Learn how to enable and track Overtime in 7shifts here.
Learn how to enable and track Holiday pay in 7shifts here.
Learn how to enable Breaks in 7punches here.
- Convert Minutes to Hours: We then translate the total minutes per category into hours, rounding to two decimal places for precision and simplicity.
- Calculate Weekly Totals: Finally, we add together the rounded hours from each shift to calculate weekly labor totals.
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