Overtime Pay Calculator

How overtime pay is calculated

Overtime is any time worked past the regular threshold in your pay period. In the United States, the Fair Labor Standards Act (FLSA) sets that threshold at 40 hours in a workweek for non-exempt employees, and overtime must be paid at no less than one and a half times the regular rate. So if you earn $20 an hour and work 48 hours, you are paid 40 × $20 = $800 for regular time, plus 8 × $30 = $240 for overtime, for a gross of $1,040.

Some places use different rules. California, for example, also counts daily overtime after 8 hours in a day and requires double time after 12 hours in a day. Many other countries set their own weekly limits or premiums through law or collective agreements. That is why this calculator lets you change both the regular-hours threshold and the multiplier, and add a separate block of double-time hours.

Step-by-step example

1. Find your regular hourly rate. If you also earn non-discretionary bonuses or shift differentials, your "regular rate" for overtime can be higher than your base rate.
2. Count every hour you actually worked, including short tasks before and after your shift.
3. Subtract the regular threshold (usually 40) to get your overtime hours.
4. Multiply overtime hours by your rate and the multiplier.
5. Add regular pay and overtime pay for your gross pay before tax.

Why overtime disputes happen

Most overtime arguments are not about the maths. They start when a shift is extended by a quick word in the hallway, a text at 9 pm, or a manager saying "can you just stay until close?" Weeks later nobody remembers who agreed to what, at what rate, and whether the extra hours were approved. Payroll goes by the schedule on file, and the worker goes by memory.

The fix is simple: write the change down at the moment it happens and get both people to confirm it. A dated record that says "Saturday shift added, 6 hours, paid at 1.5×, approved by the manager" is very hard to argue with later. Keep a copy of your original schedule, screenshot any messages that change it, and log your real start and end times every day.

Tips to make sure you are paid correctly

• Check your pay stub every period against your own hours log.
• Ask whether you are classified as exempt or non-exempt; job titles alone do not decide this.
• Get any new schedule, extra shift or change in duties confirmed in writing before you work it.
• If something is wrong, raise it quickly and in writing, attaching your records.

This calculator gives an estimate of gross pay before taxes and deductions. It is not legal advice; for your exact rights, check your local labour department or an employment adviser.

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