The Expected hours per week field defines the number of hours an employee is expected to work each week. This value directly affects how salary amounts and insurable hours are calculated in payroll.
How does it affect salary calculations?
The system uses expected hours to prorate salary earnings, especially when:
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An employee starts mid-pay period
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There is unpaid leave or a partial absence
This ensures that salaried employees are paid correctly based on the portion of time worked.
How does it affect insurable hours?
Insurable hours are used to determine eligibility under programs such as Employment Insurance (EI) in Canada.
Setting expected hours allows the system to:
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Estimate insurable hours even if exact time isn’t tracked
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Ensure compliance with EI and other statutory benefit programs
For hourly employees, actual worked hours are used instead. This field is most critical for salaried employees.
Disclaimer: This article is not intended to provide tax, legal, benefits, financial, or HR advice. Since laws and regulations are subject to change and may differ by location, please consult a legal or HR professional for personalized guidance.