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⏰ Overtime Calculator

Calculate overtime costs correctly — because getting it wrong is expensive.

Federal vs State OT Rules

Federal (FLSA):

  • Overtime after 40 hours/week
  • 1.5x regular rate

California (stricter):

  • Daily OT after 8 hours/day (1.5x)
  • Double time after 12 hours/day (2x)
  • 7th consecutive day: first 8 hours at 1.5x, after 8 hours at 2x
  • Weekly OT after 40 hours still applies

Other states with daily OT:

  • Alaska (after 8 hours)
  • Nevada (after 8 hours)
  • Colorado (after 12 hours)

Quick Formulas

Federal OT (Most States)

Weekly OT Hours = Total Hours - 40
OT Cost = OT Hours × (Hourly Rate × 1.5)

California OT

Daily OT (1.5x) = Hours 8-12 each day
Daily DT (2x) = Hours over 12 each day
Weekly OT = Hours over 40 (not already counted as daily OT)

Example Calculations

Federal Example

Employee works 50 hours in a week at $30/hour:

  • Regular: 40 × $30 = $1,200
  • OT: 10 × $45 = $450
  • Total: $1,650

California Example

Employee works Mon-Fri, 10 hours each day at $30/hour:

  • Regular: 8 × 5 = 40 hours × $30 = $1,200
  • Daily OT: 2 × 5 = 10 hours × $45 = $450
  • Total: $1,650

Same hours, same result — but calculation method matters for compliance!

Common Mistakes

1. Forgetting California Daily OT

A 4×10 schedule in California triggers daily OT even though weekly hours are only 40.

2. Averaging Hours Across Weeks

You cannot average 30 hours one week and 50 the next to avoid OT. Each week stands alone.

3. Wrong "Regular Rate" for Salaried

For salaried employees eligible for OT, the regular rate includes bonuses and commissions.

4. Misclassifying Employees

Not every "supervisor" is exempt. Review duties, not just titles.

Burden on OT Hours

Don't forget: your labor burden applies to OT wages too.

ComponentApplies to OT?
FICAYes (7.65%)
FUTAYes (up to wage base)
SUTAYes (up to wage base)
Workers' CompYes
GL InsuranceYes
Benefits (health)No (fixed cost)

Fully burdened OT rate = OT wage × (1 + applicable burden %)

Prevailing Wage OT

On public works projects:

  • OT rates are specified in wage determination
  • Usually 1.5x the prevailing rate (not your normal rate)
  • Check the wage determination — some have different OT calculations

Interactive Calculator