Finance

Overtime Calculator — Free 2026

Calculate your overtime pay, total weekly earnings, and annual income with standard 1.5x or double-time rates — free, instant, no sign-up.

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Your Pay Breakdown

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Regular Weekly Pay
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Overtime Weekly Pay
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Total Weekly
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Total Monthly
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Total Annual

How It Works

  1. Enter your hourly rate
  2. Enter your overtime hours
  3. Read your pay breakdown
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Understanding Overtime Pay

Overtime pay is additional compensation earned by employees who work beyond standard hours. In the United States, the Fair Labor Standards Act (FLSA) establishes the federal framework: non-exempt employees must receive at least one-and-a-half times their regular hourly rate for every hour worked beyond 40 in a workweek. This law applies to most hourly workers and some salaried employees who earn below the exemption threshold. Understanding how overtime is calculated helps you plan your finances, negotiate shifts, and verify that your paycheques are accurate.

How Overtime Pay Works

The calculation is straightforward. Your regular pay is your hourly rate multiplied by your standard hours per week. Overtime pay is your hourly rate multiplied by the overtime multiplier (1.5x for time-and-a-half, or 2x for double time) multiplied by the number of overtime hours. Your total weekly pay is the sum of both. To find monthly income, multiply by 4.333 (the average number of weeks per month), and for annual income, multiply weekly pay by 52. Some states have additional overtime protections — California, for example, mandates overtime after 8 hours in a single day, not just after 40 hours in a week. If you want to see how overtime affects your overall compensation, try our salary calculator or hourly to salary converter.

Exempt vs Non-Exempt Employees

Not every worker qualifies for overtime. The FLSA exempts certain categories including executive, administrative, professional, outside sales, and some computer employees who meet both a duties test and a salary threshold. As of 2024, the salary threshold is $684 per week ($35,568 per year), though this amount is periodically updated. Misclassification of employees as exempt when they should be non-exempt is one of the most common wage-and-hour violations. If you believe you are being incorrectly denied overtime, consult the Department of Labor or an employment attorney.

New: No Tax on Overtime (OBBB Act 2025–2028)

The One Big Beautiful Bill Act introduced a new federal tax deduction for overtime premium pay. If you earn overtime, you can now deduct the premium portion (the extra above your regular rate) from your taxable income — up to $12,500 per year ($25,000 for married filing jointly). This means your overtime earnings are effectively taxed at a lower rate. Use our overtime tax deduction calculator to estimate your federal tax savings from this new provision.

For informational purposes only. Consult a qualified professional before making financial or medical decisions.

Frequently Asked Questions

How is overtime pay calculated?
Overtime pay is calculated by multiplying your regular hourly rate by the overtime multiplier (typically 1.5x, known as time-and-a-half) for each hour worked beyond the standard threshold. For example, if you earn $25/hour and work 10 overtime hours at 1.5x, your OT pay is $25 x 1.5 x 10 = $375.
When does overtime start in the US?
Under the Fair Labor Standards Act (FLSA), non-exempt employees must receive overtime pay at 1.5 times their regular rate for all hours worked over 40 in a workweek. Some states have additional rules — for example, California requires overtime after 8 hours in a single day, and double time after 12 hours in a day.
What is the difference between 1.5x and 2x overtime?
Time-and-a-half (1.5x) is the standard federal overtime rate for hours worked over 40 per week. Double time (2x) is required in some states and union contracts for hours beyond a higher threshold (such as over 12 hours in a day in California) or for work on holidays. Double time pays twice the regular hourly rate.
Are all employees entitled to overtime pay?
No. The FLSA exempts certain employees from overtime requirements, including executive, administrative, and professional employees who earn above a salary threshold (currently $684/week or $35,568/year). Other exemptions apply to outside sales employees, certain computer professionals, and some seasonal workers. If you are unsure about your exemption status, check with your employer or the Department of Labor.

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