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Overtime Pay Calculator

Calculate what a week of overtime is actually worth, including the bonus rules that most payroll estimates leave out.

Overtime Pay Calculator: visual overview of the calculation
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Production, attendance or shift-differential pay. The FLSA requires this to raise your regular rate before overtime is calculated.

Gross pay this week

$1,144.00

FLSA regular rate

$22.00

Component Hours Rate Pay
Regular hours 40.00 $22.00 $880.00
Overtime (1.5x) 8.00 $33.00 $264.00

The regular rate is not always your hourly rate

Overtime under the FLSA is one and a half times your regular rate, and the regular rate is a calculated figure, not the number on your offer letter. It is your total straight-time earnings for the week divided by the hours you worked.

When you earn only your base wage, the two are identical. When you also earn a production bonus, a shift differential or an attendance award, the regular rate is higher — and every overtime hour must be paid at one and a half times that higher figure.

A worked example

You earn $20 an hour, work 45 hours, and receive a $100 production bonus.

  • Straight-time earnings: 45 × $20 = $900, plus the $100 bonus = $1,000
  • Regular rate: $1,000 ÷ 45 hours = $22.22
  • Overtime premium: 5 hours × $22.22 × 0.5 = $55.55
  • Total due: $1,055.55

Ignoring the bonus would have produced $1,050 — a $5.55 shortfall in a single week. Multiplied across a workforce and a year, this is one of the most frequently litigated errors in American wage law.

Daily overtime and state rules

Federal law knows only the workweek. Several states add a daily standard, and where the two conflict the employee gets whichever is more favourable.

RuleWhere it applies
Over 40 hours per week at 1.5xFederal minimum, all states
Over 8 hours per day at 1.5xCalifornia, Alaska, Nevada, Colorado
Over 12 hours per day at 2xCalifornia
Seventh consecutive day workedCalifornia, with its own rate schedule

This calculator handles the weekly rule and a single daily threshold. Layered state rules — California's seventh-day provisions in particular — interact in ways a general tool cannot capture. Check your state labour department if you are close to one of those lines.

If you think you have been underpaid

Start by keeping your own record of hours: dates, start and end times, and breaks. Your own contemporaneous notes carry real weight where an employer's records are incomplete. The federal statute of limitations for unpaid overtime is two years, extended to three for a wilful violation, and many states allow longer. Complaints go to the Department of Labor's Wage and Hour Division or the state equivalent.

This page is general information, not legal advice. An employment lawyer will usually assess an unpaid overtime claim at no cost.

Frequently asked questions

Does a bonus change my overtime rate?

A non-discretionary bonus does. Under the Fair Labor Standards Act, production bonuses, attendance bonuses and shift differentials must be added to your weekly earnings and spread across all hours worked before overtime is calculated. A truly discretionary gift, such as an unannounced holiday bonus, does not. This is one of the most common wage-and-hour errors employers make.

Is overtime based on the week or the day?

Federal law counts by the workweek: hours past 40 in a fixed seven-day period. Some states add a daily rule on top — California pays time and a half past 8 hours in a day and double time past 12. Where state and federal rules differ, the one more favourable to the employee applies.

Can my employer average two weeks together?

No. Each workweek stands alone under the FLSA. Working 50 hours one week and 30 the next earns 10 hours of overtime, not zero. The narrow exception is certain hospital and residential care employers operating an agreed 8/80 schedule.

Do paid holidays and sick days count toward the 40 hours?

Generally no. Overtime is owed on hours actually worked. Eight hours of holiday pay in a week where you worked 36 hours makes 44 hours of pay, but no overtime, because only 36 were worked. An employer or union contract can be more generous than the law, so check your agreement.

Am I exempt from overtime because I am salaried?

Being paid a salary is not by itself enough. Exemption requires meeting a salary threshold and a duties test covering executive, administrative, professional, outside sales or certain computer roles. Job titles carry no weight — what matters is what you actually do day to day. Many salaried workers are legally entitled to overtime.

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