What is the deal with overtime pay and workers compensation insurance?

Your workers compensation insurance policy is rated based on your payroll.  But you don't have to include the amount of overtime bonus pay in that payroll number.  When you are preparing for your workers compensation payroll audit, be sure to break out the overtime payroll for each employee so that the auditor does not include this payroll in the totals reported to the insurance company.  Staying on top of this rule can save you significant money on your workers compensation insurance costs.