SaaS CalcSuite
Overtime Pay Calculator

Overtime Pay Calculator

Calculate overtime earnings from your regular rate, regular hours and overtime hours — with time-and-a-half (1.5×) or double-time (2×) rates.

Inputs
Results
Total pay
$1,225.00
Overtime pay
$225.00
Regular pay
$1,000.00
Effective hourly rate
$26.63
Total hours
46

Overtime rules vary by country and state. In the US, non-exempt employees are generally owed 1.5× for hours over 40 per week under federal law.

Comprehensive Guide & Formulas

By CalcSuite Editorial TeamUpdated 8 min read
Direct Summary / AI Overview

OT pay at 1.5× or 2×

Key Takeaways & Benchmarks

  • ✓Overtime pay = regular rate × multiplier × overtime hours, added to regular pay.
  • ✓US federal law generally requires 1.5× for non-exempt hours over 40 per week.
  • ✓Overtime is calculated per workweek, not per pay period.
  • ✓Overtime is not taxed at a higher rate — that is a myth.
  • ✓Shift differentials and non-discretionary bonuses count toward your regular rate.

How overtime pay works

Overtime pay compensates you at a premium rate for hours worked beyond the standard threshold — 40 hours per week under US federal law. The premium exists to discourage excessive hours and to fairly reward the workers who put them in.

The most common structure is time-and-a-half: every overtime hour pays 1.5× your regular rate. Some jurisdictions and contracts add double-time tiers for extreme schedules. This calculator separates your regular earnings from the overtime premium so you can see exactly what the extra hours are worth.

  1. 1
    Enter your regular rate

    Your normal hourly pay before any premium.

  2. 2
    Add regular and overtime hours

    Split the week's hours at the 40-hour line.

  3. 3
    Choose the multiplier

    1.5× for standard overtime, 2× for double time.

  4. 4
    Read the breakdown

    Regular pay, overtime pay and your effective hourly rate.

Clock representing working hours

The formula

"Regular pay = hourly rate × regular hours"
"Overtime pay = hourly rate × multiplier × overtime hours"
"Total pay = regular pay + overtime pay"
"Effective rate = total pay ÷ total hours"
Overtime formula calculation

Worked example

At $25/hour with 40 regular hours and 6 overtime hours at time-and-a-half: regular pay is $1,000 and overtime pay is $25 × 1.5 × 6 = $225, for a $1,225 week. Your effective rate across all 46 hours is $26.63/hour.

Those 6 overtime hours earned $225 versus the $150 they would have paid at the regular rate — a $75 premium for the week, or roughly $3,900 over a full year of similar weeks. That premium is exactly what overtime law is designed to protect.

Pay stub calculation example

Tips for accurate overtime math

  • ▸Use your true regular rate — including shift differentials or non-discretionary bonuses, which legally count toward it in the US.
  • ▸Split hours by workweek, not pay period; federal overtime is a weekly calculation.
  • ▸Track overtime hours separately from regular hours on your timesheet to make pay-stub checks easy.
  • ▸If you earn sales commissions on top of hourly pay, the Commission Calculator models that income stream.
  • ▸Keep records: if a dispute arises, your own log of hours worked is powerful evidence.
Reviewing work schedule

Explore the topic cluster

Popular related searches

how to calculate overtime paywhat is time and a half of 20 dollarshow does overtime pay workis overtime taxed morewho qualifies for overtime payovertime calculator biweekly

Frequently asked questions

How is overtime pay calculated?+

Multiply your regular hourly rate by the overtime multiplier (usually 1.5), then multiply by your overtime hours, and add your regular pay. For example: $25/hour × 40 regular hours = $1,000, plus $25 × 1.5 × 6 overtime hours = $225, for a $1,225 total. This calculator handles the arithmetic, including double-time scenarios.

What is time-and-a-half?+

Time-and-a-half means 1.5 times your regular hourly rate — the standard US overtime rate for non-exempt employees working more than 40 hours in a week. At a $20 regular rate, time-and-a-half pays $30 per overtime hour. Some states and union contracts require double time (2×) for very long shifts or seventh consecutive workdays.

Who qualifies for overtime pay in the US?+

Generally, non-exempt employees — typically hourly workers and salaried workers below the federal salary threshold — must receive overtime. Exempt employees (many salaried managers, professionals and executives) are not entitled to it. Misclassification is common, so if you are salaried but do mostly non-managerial work, it is worth checking your status. Your converted base rate from the Salary to Hourly Converter is the starting point for any overtime math.

Is overtime taxed at a higher rate?+

No — this is a persistent myth. Overtime pay is taxed at your normal marginal rates; a bigger paycheck can temporarily push withholding higher, but your actual tax liability follows your total annual income. The Tax Calculator shows how your total income maps to real tax brackets.

How do I calculate overtime for a biweekly pay period?+

US federal overtime is calculated per workweek, not per pay period. If you work 50 hours one week and 30 the next, you are owed 10 overtime hours even though the two-week total is 80. Enter each week's hours separately in this calculator for an accurate result.

What is double time and when does it apply?+

Double time pays twice your regular rate. It is required by law in California for hours over 12 in a day or over 8 on the seventh consecutive workday, and appears in many union contracts elsewhere. Select the 2× option above to model it.

Does paid time off count toward overtime hours?+

Usually not. Overtime is based on hours actually worked, so vacation, holidays and sick leave typically do not count toward the 40-hour threshold — though some employers and union contracts are more generous. Check your company policy.

Can my employer offer comp time instead of overtime pay?+

Private-sector employers generally cannot substitute comp time for overtime pay — they must pay it. Public-sector employers may offer comp time at 1.5 hours per overtime hour under specific rules. If you are in the private sector and being offered time off instead of overtime pay, that is worth questioning.

You might also like

Expert Business Guides

In-depth articles to help you master business economics and strategy.

Amazon FBA Fees: The Profit Calculator Guide for

Every Amazon FBA fee explained for 2026 — referral fees, fulfillment tiers, storage and returns — plus a worked profit calculation so you know.

9 min

Amazon Handmade vs Etsy: Fee Comparison Guide 2026

Amazon Handmade vs Etsy fees compared for 2026: referral fees, listing costs, payment processing, and which marketplace leaves handmade sellers.

8 min

Emergency Funds: Exactly How Much to Save in 2026

How much should your emergency fund hold in 2026? A practical framework by job type, plus where to keep it and how to build it fast.

8 min

High-Yield Savings: Compare APRs Like a Pro 2026

How to compare high-yield savings account APRs in 2026: what to look for beyond the rate, fees to avoid, and smart account strategy.

7 min

Salary Negotiation: Scripts That Win Remote Offers

Proven salary negotiation scripts for remote job offers in 2026: how to counter, handle location-based pay, and negotiate beyond base salary.

9 min

Side Hustle Ideas: Low Cost, Real Income in 2026

Realistic low-cost side hustle ideas for 2026: startup costs, earning potential, and how to pick one that fits your skills and schedule.

9 min

Credit Score Improvement: Your 90-Day Plan for

A realistic 90-day plan to raise your credit score in 2026: quick wins, what actually moves the needle, and mistakes that undo progress.

8 min

Avalanche vs Snowball: Debt Payoff Math for 2026

Debt avalanche vs. snowball compared with real math for 2026: which saves more interest, which you'll actually finish, and how to choose.

8 min

50/30/20 Budget Rule: Freelancer Edition for 2026

Adapt the 50/30/20 budget rule for irregular freelance income in 2026: the baseline-month method, tax buckets, and smoothing variable pay.

8 min

How to Calculate Newsletter Subscriber Value &

Learn to calculate newsletter subscriber value and lifetime value.

8 min