Overtime calculator

How is overtime calculated?

Under the federal Fair Labor Standards Act, covered non-exempt employees get at least 1.5 times their regular rate for hours over 40 in a workweek. At $20 an hour, 45 hours pay 40 × $20 + 5 × $30 = $950.

What is time and a half?

Your hourly rate × 1.5: $20 becomes $30 an hour for overtime hours.

Is overtime counted per day or per week?

Federal law counts hours over 40 in a workweek. Some states and union contracts also pay daily overtime or double time — change the threshold and multiplier to match.

Does everyone get overtime?

No — many salaried executive, administrative and professional employees are exempt. Check with your employer or the U.S. Department of Labor.

Is this my take-home pay?

No, it is gross pay before taxes and deductions.

Worked example: a 52-hour week at $18 an hour

The first 40 hours pay 40 × $18 = $720.00. The overtime rate is $18 × 1.5 = $27.00, and the 12 hours over 40 pay 12 × $27.00 = $324.00. Gross pay for the week is $1,044.00. If an agreement paid double time instead of time and a half for those 12 hours, the multiplier of 2 would give $1,152.00; the calculator lets you change the multiplier for that case. Overtime is figured on gross pay, so taxes and deductions come out afterward.

What counts as a workweek, and can hours be averaged?

The Department of Labor’s Fact Sheet #23 defines a workweek as a fixed, regularly recurring period of 168 hours, seven consecutive 24-hour periods. It need not be the calendar week and can start on any day and hour, and employers may set different workweeks for different groups. Averaging hours over two or more weeks is not permitted. For example, 36 hours one week and 44 the next average 40, but the second week still has 4 overtime hours: it pays $828.00 (including $108.00 of overtime) and the first week pays $648.00. The two weeks together pay $1,476.00, which is $36.00 more than 80 straight-time hours ($1,440.00).

What is the “regular rate,” and what does it include?

Overtime is 1.5 times the regular rate, not necessarily the base hourly wage. The Department of Labor says the regular rate includes all pay for employment except certain exclusions, such as expense reimbursements, discretionary bonuses, gifts and pay for time not worked like vacation or holidays. For pay that is not hourly, the regular rate is the total pay for the week, after exclusions, divided by the total hours worked. The Department’s example is a $405 weekly salary for 45 hours: the regular rate is $405 ÷ 45 = $9.00, and because the salary already covers all 45 hours at straight time, the extra owed for the 5 overtime hours is $22.50, which is 5 hours at half the regular rate. This calculator pays the full 1.5 times the rate you enter on the overtime hours, which fits hourly pay; enter the regular rate rather than the base wage if other included pay raises it. For a salary meant to cover all hours, the amount owed above the salary is the half-time figure shown.

Common mistakes with overtime

Expecting federal law to require daily overtime or extra pay for weekend and holiday work as such: the Fair Labor Standards Act sets overtime by hours over 40 in a workweek, though a state law or contract may add more. Averaging hours across weeks, which is not permitted. Using the base wage when the regular rate is higher because of other included pay. Assuming a salary means no overtime: a fixed salary for a week of more than 40 hours does not by itself satisfy the overtime requirement for non-exempt employees. And thinking overtime can be waived: the Department of Labor states that overtime rights cannot be waived by agreement.

Sources and related calculators

Sources: U.S. Department of Labor, Wage and Hour Division, Fact Sheet #23, “Overtime Pay Requirements of the FLSA” (workweek, regular rate, salaried employees, averaging); Fair Labor Standards Act, 29 U.S.C. § 207. Related: hours calculator, time card calculator, paycheck calculator and salary calculator.