Calculate the overtime pay for yourself and your employees with a simple online tool in seconds.
Looking to find out how to calculate your overtime rate for your employee? Our simple overtime calculator was built to help you find the answer, depending on your hourly rate and OT multiplier.
Additionally, we are providing the details on how to use the calculator, what are the formulas used, what are overtime laws in California, and a detailed example calculation for you to consider.
| Payment Type | Pay Rate | Hours | Amounts |
|---|---|---|---|
| Regular | $20.00 | 40.0 | $800.00 |
| Overtime | $30.00 | 5.0 | $150.00 |
| Total | - | 45.0 | $950.00 |
Regular Pay Rate: $20.00
Regular Pay per Period: $20.00 × 40.0 hours = $800.00
Overtime Pay Rate: $20.00 × 1.5 multiplier = $30.00
Overtime Pay per Period: $30.00 × 5.0 hours = $150.00
Total Pay per Period: $800.00 + $150.00 = $950.00
Using this overtime calculator couldn't be easier. Start by setting up the hourly pay rates, the number of hours worked during the period, setup the multiplier and the overtime hours in this pay period, and you are ready to go.
To get started you don't need to download an Excel sheet or application. You can do the math directly on this page following these simple four steps:
In this time you will have an easier time finding the paycheck details of your employees when you have overtime hours worked.
Note: The calculator assumes that employees are nonexempt.
The basic overtime formula is Hourly Rate x Overtime Multiplier X Number of Overtime Hours worked in a particular week.
To calculate the overtime rate, we are using the following inputs:
Overtime pay is a fair and just compensation, provided to employees who go above and beyond their regular working hours, often exceeding 40 hours per week. It is a testament to the value we place on your additional work and ensures you are fairly compensated for your extended hours.
To calculate overtime, you need to know the employee's regular hourly rate and the number of overtime hours worked. Here's the formula:
Example:
| Time worked | Overtime rate |
| More than 8 hours in a day | Time and a half |
| More than 40 non-overtime hours in a workweek | Time and a half |
| 7th consecutive day in a workweek | Time and a half |
| More than 12 hours in a workday | Double time |
| More than 8 hours on the 7th consecutive day in a workweek | Double time |
Note: a. Time and a half = 1.5 the standard hourly rate; b. Double time = 2x the regular hourly rate.
What is time and a half?
Time and a half is a common overtime pay rate, where employees receive 1.5 times their usual hourly rate for each overtime hour conducted. This means that if an employee earns $25 per hour, their overtime pay would be $37.50 per hour. Understanding this concept will make you feel more informed and knowledgeable about your compensation, and it also provides a significant incentive for employees to work overtime, as it rewards them with a higher pay rate for their extra effort.
What is double time?
Double time is an overtime pay rate where employees receive twice their regular hourly rate for each overtime hour worked. This is typically applied to certain holidays or special events.
What is the overtime rate?
The overtime rate is the rate at which employees are paid for their overtime work. This rate is usually 1.5 times the employee's regular hourly rate (time and a half) or 2 times the employee's regular hourly rate (double time).
How does overtime pay work?
Overtime pay is typically calculated and paid weekly or bi-weekly. Employers must keep accurate records of employee work hours using timesheets or attendance software and pay to ensure compliance with overtime regulations. Employees may also be required to sign a statement acknowledging they have received their overtime pay.