Overtime Calculator

Overtime Calculator

This calculator computes overtime pay for hourly and salaried non-exempt employees. Enter your regular rate and hours worked to see your regular pay, overtime pay, total earnings, and effective hourly rate for the week. Whether you worked 3 extra hours or 20, the numbers add up fast — a $20/hour worker putting in 10 hours of overtime adds $300 to a single paycheck compared to a straight-time week.

How Overtime Pay Is Calculated

Under the federal Fair Labor Standards Act (FLSA), overtime applies to all hours worked beyond 40 in a single workweek:

• Regular pay = Regular Rate x Regular Hours (up to 40)
• Overtime rate = Regular Rate x 1.5
• Overtime pay = Overtime Rate x Overtime Hours (all hours over 40)
• Total weekly pay = Regular Pay + Overtime Pay
• Effective hourly rate = Total Weekly Pay / Total Hours Worked

For salaried non-exempt workers, the regular rate is derived as: Regular Rate = Weekly Salary / 40. A salaried non-exempt employee earning $800/week has a regular rate of $20/hour and an overtime rate of $30/hour for any hours over 40.

For California daily overtime: apply 1.5x after 8 hours per day and 2x after 12 hours per day, calculated per shift rather than per week.

Worked Examples

Example 1 — Warehouse worker, $18/hour, 47 hours worked Regular pay: 40 x $18 = $720. Overtime hours: 7. Overtime pay: 7 x $27 = $189. Total weekly pay: $909. Effective hourly rate: $909 / 47 = $19.34. Over a full year with 15 weeks of this overtime, the annual overtime bonus totals $2,835 on top of base earnings of $37,440.

Example 2 — Salaried non-exempt office worker, $52,000/year, worked 50 hours in one week Weekly salary: $52,000 / 52 = $1,000. Regular rate: $1,000 / 40 = $25/hour. Overtime rate: $37.50/hour. Overtime pay for 10 hours: $375. Total week’s pay: $1,375. This worker is often surprised to learn they qualify for overtime — salary alone does not create exempt status.

Example 3 — California manufacturing worker, $22/hour, 10-hour shift, 5 days (50 hours total) Daily overtime (hours 9-10 each day): 2 hours/day x 5 days = 10 OT hours at $33. Daily overtime pay: $330. Weekly overtime (hours 41-50): these 10 hours are already covered by the daily calculation — California does not double-count. Regular pay (8 hours x 5 days): 40 x $22 = $880. Total: $880 + $330 = $1,210. Compare to a non-California worker at the same rate with the same schedule: $880 + $150 ($22.50 x 10 OT hours at the federal 1.5x rule on only the 41-50 hours at weekly threshold) = $1,030. The California worker earns $180 more that week.

Overtime Pay Reference Table

When to Use This Calculator

• Before agreeing to work extra hours, to confirm exactly what your paycheck will look like that week
• When reviewing a pay stub to verify your employer calculated overtime correctly under the FLSA
• When you are a manager projecting weekly labor costs and need to see the true cost of authorizing overtime versus hiring additional staff
• If you are a salaried worker earning less than $43,888/year (the current FLSA threshold) and want to know whether you qualify for overtime protection
• When working in California, Alaska, or Colorado and need to apply daily overtime rules rather than the federal weekly-only standard

Common Mistakes

1. Believing salary means no overtime. Many salaried employees are non-exempt and entitled to overtime. The key tests are the salary level (must exceed $43,888/year as of 2024) AND performing exempt duties (executive, administrative, or professional roles). Failing either test means overtime applies.
2. Excluding non-discretionary bonuses from the regular rate. If your employer pays a weekly productivity bonus or shift differential, those amounts must be included when calculating your regular rate for overtime purposes. Overtime on a $20/hour base plus $100 weekly bonus is calculated on ($20 x 40 + $100) / 40 = $22.50/hour, making the overtime rate $33.75 — not $30.
3. Assuming comp time is legal in the private sector. Private employers generally cannot offer employees “time off in lieu” of overtime pay. The FLSA requires cash overtime payment. Government employers have more flexibility under specific provisions.
4. Not counting pre-shift and post-shift work. Mandatory activities before or after a shift — safety checks, computer boot-up time, required training, cleanup — count as hours worked. If these push a worker over 40 hours, overtime applies regardless of whether the employer scheduled those activities as “paid time.”

Current Context for 2026

The FLSA salary threshold for overtime exemption was raised to $43,888 per year ($844/week) effective July 2024, up from $35,568. A proposed increase to $58,656 was blocked by courts in late 2024, leaving the $43,888 level in place. Workers earning between $35,568 and $43,888 who were newly covered under the 2024 rule should verify their overtime status, as some employers reclassified these workers as non-exempt while others challenged the rule. The Department of Labor has indicated it may pursue further threshold increases. Workers near the salary threshold should track whether their annual salary keeps pace with future adjustments.

Tips

1. Track hours daily, including time spent on mandatory pre-shift activities, required meetings, and any work done remotely after hours — all count toward the 40-hour threshold
2. Overtime is calculated on hours actually worked, not hours paid — paid holidays, PTO, and sick days do not count toward the overtime threshold for that week
3. If you are salaried and earn less than $43,888/year, verify with HR whether you are classified as exempt or non-exempt, as misclassification is one of the most common FLSA violations
4. Even unauthorized overtime must be paid — if your employer knew or should have known you worked extra hours, payment is required even if they discipline you for working unapproved overtime
5. In California, track daily hours carefully — 10 hours per day for 4 days (40 hours total) still generates 2 hours of daily overtime pay that the federal weekly rule would miss
6. For project-based workers, estimate weekly hours before accepting additional tasks so you can project total weekly earnings and avoid unexpected tax implications from a large overtime week

Related Calculations

• Hourly to Salary Calculator — convert your base hourly rate to an annual salary equivalent, with or without regular overtime included
• Take Home Pay Calculator — find your after-tax income on weeks with heavy overtime versus normal weeks
• Salary Calculator — compare your overtime-inclusive annual earnings to equivalent salaried positions
• Freelance Rate Calculator — determine whether a freelance rate covers the equivalent of your base-plus-overtime hourly compensation