Image for Compensatory Time

Compensatory Time

Compensatory time, often called "comp time," is an arrangement where employees working extra hours can earn additional time off instead of overtime pay. For example, if you work beyond your regular schedule, you might get a day off later instead of extra money. This system is typically used in government or certain organizational settings and must be agreed upon beforehand. It helps balance workload and provides flexibility, but regulations usually limit the amount of compensatory time that can be accrued and how it must be used.