USA How is cashed in compensatory time recorded in payroll?

Feb 15, 2024
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United States
If a union employee has provisions for comp time in their contract and chooses to cash in a certain number of hours from their comp bank, is this income reported/recorded as overtime? For example, Bob works 4 hours beyond his regularly scheduled shift and chooses to add the time to his comp bank. In this situation the 4 hours of “overtime” are entered in his comp bank at the overtime rate of 1.5 hours for every hour worked, which is 6 hours. Now Bob decides that he will exercise his option to sell his six hours back at his regular hourly rate. Is this income recorded/reported as regular pay, other pay or overtime pay?

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