Calculate overtime under your pay policy
Overtime pay depends on three numbers from your contract or employer policy: your regular hourly rate, the point at which overtime starts, and the multiplier. A common arrangement is time and a half after 40 hours a week. At $20 an hour and 50 hours, the first 40 hours earn $800 and the 10 overtime hours earn 10 × $20 × 1.5 = $300, so gross pay is $1,100.00 for the week. This calculator does that arithmetic for whatever thresholds and multipliers you enter. It does not decide which rules apply to you; check your contract, employer handbook or local labor authority. In the United States the Department of Labor’s overtime advisor explains coverage, exemptions and how the regular rate is defined.
Time-and-a-half formula
Time and a half means 1.5 times the regular rate. Overtime pay = regular rate × 1.5 × overtime hours, and regular pay = regular rate × regular hours. The overtime rate at $20 is $30 an hour. If your hours are in hours and minutes, convert them to decimals first (7 hours 30 minutes is 7.5) or work them out with the hours between times calculator.
Double-time tier
Some policies pay a second, higher multiplier after more hours. Turn on the double-time tier and enter the second threshold and multiplier. With overtime after 40 hours at 1.5× and double time after 48 hours at 2×, a 50-hour week at $20 is 40 regular hours ($800), 8 overtime hours ($240) and 2 double-time hours ($80), so $1,120.00. The second threshold must be higher than the first and the second multiplier cannot be lower than the first.
Total overtime pay versus premium
Two different numbers are often both called “overtime pay”. In the first example the overtime hours earn $300.00 in total. But $200.00 of that is the regular rate you would have earned for those hours anyway, so the extra from the multiplier, the premium, is only $100.00. The calculator shows both and reconciles them: base pay for every hour ($1,000.00) plus the premium ($100.00) equals gross pay ($1,100.00). Never add the base pay and the full overtime wages together, or the regular part of the overtime hours is counted twice.
Weekly versus daily rules
In weekly-threshold mode the thresholds are cumulative hours in one week. Some places and contracts also use daily limits, for example overtime after 8 hours in a day. This tool does not stack daily and weekly rules. If your hours are already split by your payslip or policy, use Hours by tierand enter the regular, overtime and double-time hours directly. For example 0 regular, 5 overtime and 2 double-time hours at $20, 1.5× and 2× gives $230.00, of which the premium is $90.00. Switching modes clears the tier hours so a weekly total is never silently reinterpreted.
Gross pay limitations
Results are gross pay for one week, before income tax, social contributions and deductions. The calculator does not annualize a single overtime week, include bonuses or commissions in the regular rate, or determine legal entitlement in any country. To add up a week of shifts first, use the time card calculator; to turn a regular hourly rate into an annual salary, use the hourly to salary calculator.
FAQ
How do I calculate time and a half?
Multiply your regular hourly rate by 1.5 to get the overtime rate, then multiply by the overtime hours. At $20 that is $30 an hour, so 10 overtime hours earn $300.
How is double time calculated?
Double time is twice the regular rate for the hours in the double-time tier. At $20 that is $40 an hour. Enter the hour at which it starts, or the classified double-time hours.
Why is the overtime premium lower than overtime pay?
Overtime pay includes the regular rate for those hours. The premium is only the extra from the multiplier: 0.5 × rate × hours for time and a half.
Are these weekly or daily thresholds?
Weekly. Thresholds are cumulative hours in one week. For daily rules, classify the hours yourself and use the hours-by-tier mode.
Does this calculate taxes or legal entitlement?
No. It shows gross pay under the policy you enter. Taxes, deductions, exemptions and legal rules depend on your country, state and contract.