Overtime pay compensates hours worked beyond a standard threshold at a higher rate — commonly time-and-a-half or double time. This calculator combines regular and overtime pay into a total for the period.
The formula
For $20/hour, 40 regular hours, and 5 overtime hours at time-and-a-half: regular pay = $800, overtime pay = 20 × 1.5 × 5 = $150, total = $950.
Worked examples
| Rate | Regular hrs | OT hrs | Multiplier | Total |
|---|---|---|---|---|
| $15 | 40 | 8 | 1.5x | $780.00 |
| $25 | 40 | 10 | 2x | $1,500.00 |
Common overtime rules
Overtime rules vary significantly by country, state/province, and industry — in the US, federal law generally requires time-and-a-half for hours beyond 40 in a workweek for non-exempt employees, though some states and situations have different thresholds. Always confirm the specific rules that apply to your employment situation.
Common mistakes
- Assuming a universal overtime threshold. The 40-hour/week rule is common in the US but not universal — check local labor law.
- Confusing gross with net pay. This shows gross pay before taxes and deductions.
Frequently asked questions
How is overtime pay calculated?
Multiply the hourly rate by the overtime multiplier (commonly 1.5x for time-and-a-half), then multiply by the number of overtime hours worked.
What's the standard overtime threshold?
It varies by jurisdiction. In the US, federal law generally uses 40 hours per week as the threshold for non-exempt employees, though rules can differ by state and industry.
Is overtime always 1.5x pay?
Not always — some situations use double time (2x), particularly for holidays or hours beyond a higher threshold, depending on local labor law or employment agreements.