Overtime Pay Calculator (2026)
Overtime pay is at least 1.5 times your regular hourly rate for hours worked beyond 40 in a workweek, as required by the federal FLSA. Overtime pay = rate × 1.5 × overtime hours. For example, a $20/hour employee working 48 hours earns $240 in overtime on top of $800 regular pay — $1,040 total.
How it works
Weekly pay = (rate × hours up to 40) + (rate × 1.5 × hours over 40)
- Under the federal FLSA, covered non-exempt employees must receive at least 1.5 times their regular rate for all hours worked over 40 in a single workweek (U.S. Department of Labor). Each workweek stands alone — hours cannot be averaged across two or more weeks.
- A few states also require daily overtime on top of the weekly rule: California (1.5× after 8 hours/day, 2× after 12), Alaska (after 8 hours/day), Nevada (after 8 hours/day for lower-wage workers), and Colorado (after 12 hours/day). When two rules overlap, the employee gets whichever pays more.
- Overtime is taxed as ordinary income — FICA and income tax withholding apply. For tax years 2025–2028, however, the 0.5× premium portion may be deductible from federal taxable income under the OBBBA overtime deduction.
Worked example
A worker earning $22/hour who works 50 hours in one week: regular pay = 40 × $22 = $880; overtime pay = 10 hours × ($22 × 1.5) = $330; weekly total $1,210. The $110 premium portion (10 × $11) may qualify for the 2025–2028 federal overtime deduction.
Time and a half quick reference
| Regular rate | Time and a half (1.5×) | Double time (2×) |
|---|---|---|
| $15.00 | $22.50 | $30.00 |
| $18.00 | $27.00 | $36.00 |
| $20.00 | $30.00 | $40.00 |
| $22.00 | $33.00 | $44.00 |
| $25.00 | $37.50 | $50.00 |
| $30.00 | $45.00 | $60.00 |
| $35.00 | $52.50 | $70.00 |
| $45.00 | $67.50 | $90.00 |
States with daily overtime rules (2026)
| State | Daily rule |
|---|---|
| California | 1.5× after 8 hours/day; 2× after 12 hours/day. On the 7th consecutive workday: 1.5× for the first 8 hours, 2× beyond. |
| Alaska | 1.5× after 8 hours in a workday. |
| Nevada | 1.5× after 8 hours in a workday, only if the regular rate is below 1.5× the state minimum wage. |
| Colorado | 1.5× after 12 hours/day or 12 consecutive hours. |
Federal law has no daily-overtime or double-time requirement — double time beyond California's rules is a matter of employer policy or union contract. Where state and federal rules differ, the employee is entitled to the more generous calculation.
Working a lot of overtime? For 2025–2028 the half-time premium may be federally deductible — estimate your savings with the No Tax on Overtime Calculator. To see overtime's effect on your actual paycheck, try your state paycheck calculator, or convert rates with the salary to hourly calculator.
Data & sources
- U.S. Department of Labor — Overtime Pay (FLSA)
- DOL Fact Sheet #23 — Overtime Pay Requirements of the FLSA
- California DIR — Overtime FAQ
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Frequently asked questions
What is time and a half for $20 an hour?
$30 per hour. Time and a half means your regular rate multiplied by 1.5, so each overtime hour at $20/hour pays $30. Working 45 hours in a week at $20/hour earns $800 regular plus $150 overtime, or $950 total.
Is overtime taxed at a higher rate?
No. Overtime is taxed as ordinary income at the same rates as regular wages. Withholding can look higher on a big overtime check because payroll systems annualize each paycheck, but it evens out at filing. For 2025–2028, the half-time premium may actually be deductible from federal taxable income under the OBBBA overtime deduction.
When does overtime start — after 8 hours a day or 40 hours a week?
Federal law counts only hours over 40 in a workweek. A few states add daily overtime: California and Alaska after 8 hours a day, Colorado after 12, and Nevada after 8 for lower-wage workers. You get whichever calculation pays more.
Who is not entitled to overtime pay?
Employees classified as "exempt" under the FLSA — mainly salaried executive, administrative, and professional roles that meet the Department of Labor's duties and salary tests. Most hourly workers are non-exempt and must be paid overtime.
Is double time required by law?
Not under federal law. California requires double time after 12 hours in a day and after 8 hours on a seventh consecutive workday; elsewhere, double time is employer policy or a union contract term, not a legal requirement.
Can my employer average my hours over two weeks to avoid overtime?
No. Under the FLSA each workweek stands alone: 50 hours one week and 30 the next means 10 overtime hours in week one, even though the two-week average is 40.
Does overtime pay qualify for the new tax deduction?
Partly. For tax years 2025–2028, the 0.5× premium portion of FLSA time-and-a-half (not the full overtime payment) can be deducted from federal taxable income, up to $12,500 per return ($25,000 joint), with an income phase-out. FICA taxes still apply to all overtime pay.