How overtime pay works
US federal law is the Fair Labor Standards Act, or FLSA. It says non-exempt employees earn at least 1.5 times their regular rate for hours over 40 in a workweek. There is no federal daily overtime rule. A workweek is seven straight days, and your employer sets which day it starts.
Some states add daily overtime on top of the weekly rule. California is the main example. It pays 1.5 times after 8 hours in a day and 2 times after 12 hours. The calculator has a daily over 8 option that follows that pattern. Other states have their own rules, so check your state's rules.
Salaried workers can still be non-exempt and owed overtime. Exemption depends on your job duties and salary level. This site does not assess that. If you are unsure, ask your employer or your state labor office.
Your regular rate is not always just your hourly rate. It can include some non-discretionary bonuses and shift differentials. The calculator uses the hourly rate you enter, so add those amounts yourself if they apply.
Time and a half and double time
Time and a half means 1.5 times your regular rate. At $20 an hour, that is $30 an hour. Double time means 2 times your regular rate. At $20 an hour, that is $40 an hour.
Here is a worked example. You work 42 hours in a week at $20 an hour with weekly overtime. The first 40 hours are regular pay: 40 x $20 = $800. The 2 extra hours are overtime: 2 x $30 = $60. Total pay is $860. Your effective hourly rate is $860 divided by 42 hours, which is $20.48.
If you worked in a state with daily overtime, the maths changes. Say you work 10 hours on Monday and 8 hours the rest of the week. Monday has 8 regular hours and 2 overtime hours. The weekly total is 48 hours, so 8 more hours are overtime under the weekly rule. The calculator handles both rules when you pick the daily over 8 option.
What the calculator shows
The calculator takes your hours worked and your hourly rate. It splits your hours into regular, overtime, and double time based on the rule you choose. Then it shows:
- Regular pay: regular hours x your rate
- Overtime pay: overtime hours x 1.5 x your rate
- Double-time pay: double-time hours x 2 x your rate
- Total pay: the three amounts added together
- Effective hourly rate: total pay divided by all hours worked
The effective hourly rate is useful. It tells you what you really earned per hour once overtime is included. In the example above, $860 over 42 hours is $20.48 an hour.
Your employer's payroll is the record. This calculator gives an estimate. Real pay can differ because of rounding rules, bonuses, or state rules the calculator does not hold.
Rules that change your overtime
Rounding is one. Some employers round punches to the nearest 5, 6, or 15 minutes. Under FLSA rules, rounding is allowed only if it is consistent and does not favor the employer over time. This calculator rounds each shift's total when you choose a rounding rule.
Breaks are another. Hours worked equals clock out minus clock in minus unpaid break. A 60-minute unpaid break comes off your hours. Paid breaks do not.
Overtime is based on hours actually worked. Paid time off, like vacation or sick leave, does not count toward the 40-hour threshold in most cases. Check your employer's policy.
If you are paid a salary but classified as non-exempt, your overtime rate is based on your regular rate. That is your salary divided by the hours it is meant to cover. The calculator uses the hourly rate you enter, so do that division first if you are salaried.
For a full paycheck estimate, including federal tax, Social Security, and Medicare, use the paycheck calculator. To turn minutes into decimal hours, use the decimal hours calculator. For a full time card, use the time card calculator.