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CalcMyWay

Overtime Calculator

Your details

$
hrs
hrs
hrs

Result

Gross pay for the period

$1,144
Regular pay
$880
Overtime pay (1.5×)
$264
Overtime hourly rate
$33.00
Total hours
48.00
Blended effective rate
$23.83
Earned from the premium alone
$88.00
Annualised at this rate
$59,488
  • The premium above straight time is worth $88.00 — that is the part you would not have earned at your base rate for the same hours.

Pay breakdown

HoursCountRatePay
Regular40$22.00$880.00
Overtime (1.5×)8$33.00$264.00
Double time (2×)0$44.00$0.00
Total48$23.83$1,144.00

How is overtime pay calculated?

Overtime pay is calculated by multiplying your regular hourly rate by 1.5 for every hour over 40 in a workweek. At $22 an hour, overtime pays $33, so eight overtime hours earn $264 on top of $880 of regular pay, for $1,144 gross.

gross = (rate × regular) + (rate × 1.5 × OT) + (rate × 2 × DT)
rate
Regular rate of pay, including non-discretionary bonuses
regular
Hours up to 40 in the workweek
OT
Hours over 40, paid at time and a half
DT
Hours paid at double time, where state law or a contract requires it

The Fair Labor Standards Act requires time and a half for hours worked over 40 in a workweek. Two details in that sentence do most of the work. First, the threshold is the workweek, not the pay period: 50 hours one week and 30 the next is 10 hours of overtime even though the fortnight totals 80, and an employer may not average the two. Second, the multiplier applies to the regular rate of pay rather than the base wage, and the regular rate includes non-discretionary bonuses, shift differentials and commissions — so an employee on $22 an hour plus a production bonus has a regular rate above $22, and their overtime must be calculated on the higher figure. Double time appears nowhere in federal law. It comes from state rules, notably California's beyond 12 hours in a day, or from a collective agreement.

  1. Work out your regular rate of pay, including non-discretionary bonuses.
  2. Count hours worked in the workweek, not the pay period.
  3. Pay the first 40 hours at the regular rate.
  4. Multiply the regular rate by 1.5 for every hour above 40.
  5. Apply double time only where state law or a contract requires it.
  6. Add the three components together for gross pay.

Worked example: 48 hours in one week at $22 an hour

48 hours in one week at $22 an hour

The first 40 hours are regular time: 40 × $22 = $880. The remaining 8 hours are overtime at time and a half, so the overtime rate is 22 × 1.5 = $33, and 8 × $33 = $264. Gross pay for the week is $880 + $264 = $1,144. The blended effective rate across all 48 hours is 1,144 ÷ 48 = $23.83. The part worth isolating is the premium: those 8 hours would have paid $176 at straight time, so the overtime rule added $88 — half the base rate for each overtime hour. Annualised at 52 weeks this pattern is $59,488 against $45,760 for a straight 40-hour week. Note that this is gross pay before any withholding; income tax, Social Security and Medicare all come out of it afterwards.

What each overtime input means

Regular hourly rate
Your base rate before any premium. For FLSA purposes this is the regular rate of pay, which includes non-discretionary bonuses and shift differentials — not just the base wage.
Regular hours worked
Hours at the base rate. Under federal law the first 40 in a workweek are regular hours.
Overtime hours (1.5×)
Hours paid at time and a half — federally, anything over 40 in a workweek.
Double time hours (2×)
Hours paid at double rate. Federal law does not require double time at all — it comes from state law, such as California's over-12-hours-in-a-day rule, or from a union contract.
These hours are for
The period the hours cover, used to project annual pay. Note that overtime is always calculated per workweek under the FLSA, never averaged across two weeks.

What this overtime does not account for

  • This is gross pay. Federal and state income tax withholding, Social Security and Medicare all come out afterwards, and overtime can push a pay period into a higher withholding bracket even when the annual rate does not change.
  • Overtime is per workweek, not per pay period. An employer cannot average two weeks of a biweekly period to avoid paying it.
  • The multiplier applies to the regular rate of pay, not the base wage. Non-discretionary bonuses, shift differentials and commissions must be included, which raises the regular rate above the hourly figure on your contract.
  • Exempt employees get no overtime regardless of hours. Exemption depends on duties and a salary threshold, not on being paid a salary — misclassification is common and is a wage claim, not a calculation error.
  • Federal law does not require double time, premium pay for weekends or holidays, or any overtime for salaried exempt staff. Several states are stricter, California most of all.
  • Paid leave does not count toward the 40-hour threshold. Hours must actually be worked, so a week with 8 hours of holiday and 40 worked is 40 regular plus nothing, not 8 hours of overtime.

Frequently asked questions

How do you calculate time and a half?

Multiply your regular hourly rate by 1.5. At $22 an hour, time and a half is $33. Multiply that by the number of overtime hours — eight overtime hours at $33 is $264 on top of your regular pay.

When does overtime start?

Federally, after 40 hours worked in a workweek. A few states add daily thresholds: California pays overtime beyond 8 hours in a day and double time beyond 12, regardless of the weekly total.

Can my employer average two weeks to avoid overtime?

No. Overtime is calculated per workweek under the FLSA. Working 50 hours one week and 30 the next is 10 hours of overtime, even though the two-week total is the standard 80.

Is overtime taxed at a higher rate?

No, there is no special overtime tax rate. It is taxed as ordinary income. A large overtime week can push that paycheck into a higher withholding bracket, but the annual tax owed depends on annual income.

Do salaried employees get overtime?

Some do. Exemption depends on job duties and a salary threshold, not on being paid a salary. A salaried employee below the threshold or without exempt duties is entitled to overtime like anyone else.

What is double time and when does it apply?

Pay at twice the regular rate. Federal law never requires it. It comes from state rules — California applies it beyond 12 hours in a day and beyond 8 on a seventh consecutive workday — or from a union contract.

Sources and review

Last reviewed .