How to Calculate Overtime Pay: A Practical Guide to Time and a Half and Double Time

Whether you are an employee checking your paycheck or an employer calculating payroll, understanding overtime pay is essential. In the US, the Fair Labor Standards Act (FLSA) requires most employers to pay 1.5 times the regular hourly rate for hours worked beyond 40 in a workweek. Some states and industries also mandate double time for certain scenarios. This guide covers everything you need to calculate overtime accurately.

Use our Time Duration Calculator to track your hours and calculate weekly totals.

Overtime Rates at a Glance

Type	Rate	When It Applies
Standard Time	1× (regular rate)	First 40 hours in a workweek
Time and a Half	1.5× regular rate	Hours beyond 40 in a workweek (federal law)
Double Time	2× regular rate	Some states: hours beyond 8/day or 12/day, or 7th consecutive day (varies)

How to Calculate Time and a Half

Step 1: Find Your Regular Hourly Rate

Your regular rate is your weekly pay ÷ hours worked. For salaried employees earning $800/week for a 40-hour week: $800 ÷ 40 = $20/hour regular rate.

Step 2: Calculate the Overtime Rate

Regular rate × 1.5 = time-and-a-half rate. At $20/hour: $20 × 1.5 = $30/hour overtime rate.

Step 3: Multiply by Overtime Hours

If you worked 48 hours in a week: 40 hours at regular pay ($20 × 40 = $800) + 8 hours at overtime pay ($30 × 8 = $240) = $1,040 total gross pay.

Overtime Calculation Examples

Scenario	Regular Rate	Hours Worked	Overtime Hours	Total Gross Pay
40-hour week, no OT	$18	40	0	$720
45-hour week, 5 OT	$18	45	5	$855
50-hour week, 10 OT	$22	50	10	$1,210
60-hour week, 20 OT	$25	60	20	$1,750

State-Specific Overtime Rules

Some states have additional overtime requirements beyond federal law:

California: Overtime at 1.5× for hours over 8/day or 40/week; double time for hours over 12/day or over 8 on the 7th consecutive day.
New York: Follows federal law (40-hour workweek) but some industries have different thresholds.
Texas: Follows federal law — no state-specific overtime rules beyond FLSA.
Alaska: Overtime at 1.5× for hours over 8/day or 40/week.
Nevada: Overtime at 1.5× for hours over 8/day if the employee earns less than 1.5× minimum wage (roughly $16.50/hour in 2026).
Colorado: Overtime at 1.5× for hours over 12/day or 40/week, and over 8 on the 7th consecutive day.

Common Overtime Mistakes to Avoid

Miscalculating the workweek: A workweek is 7 consecutive days. Each week stands alone — hours do not carry over from the previous week.
Forgetting non-discretionary bonuses: Performance bonuses, shift differentials, and commissions must be included in the regular rate calculation for overtime.
Assuming salary = exempt: Not all salaried employees are exempt from overtime. The employee must meet specific duties and salary threshold tests ($35,568/year minimum for most exemptions in 2026).
Ignoring state laws: Federal law sets the floor — state laws may be more generous. Always check your state requirements.
Not tracking daily overtime: In states like California, daily overtime applies regardless of weekly totals.

Quick Formulas Reference

Calculation	Formula	Example ($20/hr, 45 hrs)
Regular pay	Regular rate × 40	$20 × 40 = $800
Overtime rate	Regular rate × 1.5	$20 × 1.5 = $30/hr
Overtime pay	Overtime rate × OT hours	$30 × 5 = $150
Total pay	Regular pay + Overtime pay	$800 + $150 = $950

Track your hours accurately with our Time Duration Calculator — it calculates total hours and minutes between start and end times, making payroll calculations simpler.