Free tool · updated Nov 2026
Overtime Calculator
This overtime calculator works out time and a half and double time pay from your hourly rate or salary. Enter hours or clock times day by day for California, Alaska, Colorado or Nevada rules, and estimate the federal tax deduction on overtime.
Optional: threshold, bonus and yearly total
Week 1: hours worked each day, starting with the first day of your workweek
Week 2: hours worked each day, starting with the first day of your workweek
Hours: use decimals for minutes (8.5 is 8 hours 30 minutes). Times: an end time earlier than the start counts as an overnight shift; enter unpaid breaks only.
For salaried employees who are not exempt from overtime under US rules.
Salary for set hours: overtime at 1.5x your salary divided by the hours it covers.
Estimate the federal deduction for qualified overtime, 2025 to 2028. Only the extra half of time-and-a-half pay for hours over 40 a week counts. US dollars only.
An estimate, not tax advice. You claim the deduction on Schedule 1-A; from 2026 your employer reports qualified overtime on your W-2 in box 12, code TT.
Total pay
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Enter your hours
Last updated November 7, 2026 · By the SmartWorkflowLab editorial team · Based on US Department of Labor and IRS guidance; not legal or tax advice · How we tested it · State rules · Overtime tax deduction
How to calculate overtime pay
To calculate overtime pay, multiply your regular hourly rate by 1.5 and then by the hours you worked over 40 in the workweek. At $20 an hour and 45 hours, you earn 40 × $20 = $800 of regular pay plus 5 × $30 = $150 of overtime, or $950 for the week.
Overtime pay = hours over 40 × hourly rate × 1.5
| To find | Formula | Example |
|---|---|---|
| Overtime rate | Regular rate × 1.5 | $20 × 1.5 = $30 |
| Overtime pay | Overtime rate × overtime hours | $30 × 5 = $150 |
| Double time pay | Regular rate × 2 × hours | $20 × 2 × 2 = $80 |
| Total pay | Regular pay + overtime pay | $800 + $150 = $950 |
Worked example with a bonus
Promised bonuses change the math. In the Labor Department's bonus fact sheet, a worker earns $10 an hour, works 43 hours and gets a $50 bonus for finishing an order early. Straight-time pay is $430, so total pay before overtime is $480. The regular rate is $480 ÷ 43 = $11.16. The overtime premium is half of that, $5.58, so 3 overtime hours add $16.74, for $496.74 in total.
Key overtime numbers for 2026
- Federal overtime: 1.5x the regular rate for hours over 40 in a workweek.
- Federal exempt salary floor: $684 a week ($35,568 a year); $107,432 a year for highly paid employees.
- California: 1.5x over 8 hours a day, 2x over 12; exempt salary at least $70,304 a year in 2026.
- Alaska: 1.5x over 8 hours a day. Colorado: 1.5x over 12 a day or 12 in a row.
- Nevada: 1.5x over 8 in 24 hours for workers paid under $18 an hour.
- Overtime tax deduction: up to $12,500 ($25,000 joint), reduced above $150,000 ($300,000 joint) of income, tax years 2025 to 2028.
Federal overtime rules (FLSA)
Under the Fair Labor Standards Act, covered employees must get at least one and a half times their regular rate for every hour over 40 in a workweek, according to the Department of Labor's overtime fact sheet:
- The workweek is fixed. It is any 168-hour period of seven days in a row, set by the employer. Hours can't be averaged over two or more weeks.
- No federal daily overtime. Federal law doesn't require overtime for long days, weekends or holidays as such, only for hours over 40 a week.
- Some salaried workers are exempt. That takes a salary of at least $684 a week and a job that meets the executive, administrative or professional duties tests. The Labor Department restored that level in May 2026, as The Employer Handbook reported.
- States can require more. When state and federal rules differ, the employer has to follow whichever gives the worker more.
State daily overtime rules
Most states follow the federal 40-hour rule, but a few pay overtime by the day. Choose your state in the calculator's "By day" tab to apply these rules:
| State | Overtime after | Rate | Notes |
|---|---|---|---|
| Federal (FLSA) | Over 40 hours in a workweek | 1.5x | No daily overtime |
| California | Over 8 a day, over 40 a week, first 8 on the 7th day in a row | 1.5x | 2x over 12 a day and over 8 on the 7th day |
| Alaska | Over 8 a day or 40 a week | 1.5x | Not required for employers of three or fewer people |
| Colorado | Over 12 a day, 12 hours in a row or 40 a week | 1.5x | No double time |
| Nevada | Over 8 in a 24-hour period if paid under $18 an hour; over 40 a week for all | 1.5x | $18 threshold confirmed for July 1, 2026 |
| Florida, Oregon | Over 10 a day, manual labor (Florida) or mills and factories (Oregon) only | 1.5x | Limited industries |
| Hawaii, New York, Rhode Island, Washington | Over 8 a day on public works projects only | 1.5x | Rhode Island also pays 1.5x on Sundays and some holidays |
Sources: California Labor Commissioner, Alaska Wage and Hour Act summary, Colorado COMPS Order #40 (2026), Nevada Labor Commissioner bulletin, July 1, 2026, and Super Lawyers for the limited-industry states. Hours already paid as daily overtime aren't counted again toward the weekly limit. The calculator doesn't model Colorado's 12-hours-in-a-row rule across midnight or California alternative workweek schedules.
Same week, five rule sets
A worker earning $17 an hour puts in four 13-hour days, 52 hours in all. Here is what the week pays under each rule set, and how much of it counts for the federal overtime tax deduction:
| Rules | Regular | 1.5x | 2x | Pay | Deductible premium |
|---|---|---|---|---|---|
| Federal | 40 | 12 | 0 | $986.00 | $102.00 |
| California | 32 | 16 | 4 | $1,088.00 | $102.00 |
| Alaska | 32 | 20 | 0 | $1,054.00 | $102.00 |
| Colorado | 40 | 12 | 0 | $986.00 | $102.00 |
| Nevada (under $18) | 32 | 20 | 0 | $1,054.00 | $102.00 |
California's daily rules pay $102 more than federal law for the same hours, but the deductible amount stays at $102 everywhere: 12 hours over 40 × half of $17. Extra pay from state daily overtime doesn't qualify for the federal deduction.
What counts in your regular rate
Overtime is based on your regular rate, not just your base hourly pay. It includes all pay for the work apart from a few exclusions, according to the Labor Department:
| Included | Not included |
|---|---|
| Hourly pay and salary | Expense reimbursements |
| Promised bonuses for attendance, quality, safety or targets | Truly discretionary bonuses, such as an unplanned thank-you bonus |
| Commissions and shift differentials | Overtime premiums themselves |
| Piece-rate earnings, averaged over all hours worked | Gifts on special occasions |
Two jobs or two rates. If you work at different rates in one week, the regular rate is a weighted average: total straight-time pay divided by all hours worked, the same averaging the Labor Department applies to piece-rate pay.
Tipped workers. When an employer counts tips toward the minimum wage, overtime is calculated on the full minimum wage, not the lower cash wage, according to the Labor Department's fact sheet on tipped employees.
Overtime on a salary
If you are salaried but not exempt, divide your weekly salary by the hours it is meant to cover to get your regular rate. A $52,000 salary is $1,000 a week; for 40 hours that's $25 an hour, so each overtime hour pays $37.50. If the salary covers more than 40 hours, those hours are already paid at straight time and you're owed only the extra half for them.
Fluctuating workweek. Some employers pay a fixed salary for whatever hours you work, with a clear agreement that it covers all of them. Under 29 CFR 778.114, the regular rate is the salary divided by the hours actually worked that week, and overtime earns only half that rate. A $600 salary for 48 hours gives $12.50 an hour and $50 of overtime premium, or $650. Choose "Fluctuating workweek" in the Salary tab if this is how you're paid.
Time and a half vs double time
This page works as a time and a half calculator and a double time calculator: pick the rate in the Hourly tab. Time and a half, 1.5 times your regular rate, is the legal minimum for overtime under federal law. Double time is required only in a few cases, such as California's hours over 12 in a day. Many employers pay double time on holidays or Sundays by policy or union contract, which is allowed but not required.
No tax on overtime: the 2025–2028 deduction
The One Big Beautiful Bill created a federal income tax deduction for qualified overtime, covering tax years 2025 through 2028. The rules below are from the IRS fact sheet FS-2026-13 (August 2026) unless noted:
- Only the premium counts. You can deduct the pay above your regular rate, the "half" in time and a half, not the whole overtime check.
- Only FLSA overtime counts. State daily overtime, union-contract overtime and double time count only to the extent the Fair Labor Standards Act requires them. In the IRS example, $400 of double time for 10 hours at $20 includes just $100 of qualified overtime.
- Capped and phased out. Up to $12,500 a year, or $25,000 on a joint return. The law cuts the cap by $100 for each $1,000 of modified adjusted gross income above $150,000 ($300,000 joint), and the calculator counts full $1,000 steps.
- How you claim it. You report it on Schedule 1-A of Form 1040, with or without itemizing. Married couples must file jointly, as Stoel Rives notes.
- Where to find the number. From tax year 2026, employers report qualified overtime on Form W-2 in box 12 with code TT. For 2025, the IRS gave employers relief from separate reporting.
- Payroll taxes still apply. Overtime is still wages for Social Security and Medicare, and state income tax rules vary.
Example: at $25 an hour with 6 hours over 40 in 40 weeks of the year, the premium is $12.50 × 6 × 40 = $3,000. In the 12% bracket, deducting it saves about $360 of federal income tax.
How we tested this calculator
We checked every tab against worked examples published by the Labor Department, federal regulations and the IRS. The calculator reproduces each one:
| Example | Inputs | Result |
|---|---|---|
| Labor Department bonus example | $10 an hour, 43 hours, $50 bonus | $496.74 total |
| Labor Department salary example | $405 a week covering 45 hours | $9.00 rate, $22.50 overtime |
| Fluctuating workweek regulation example | $600 salary, 48 hours | $12.50 rate, $50 premium, $650 |
| IRS double time example | $20 an hour, 50 hours | $100 qualified overtime |
| Phase-out example | Single filer, $160,000 income | $11,500 deduction limit |
Track your hours so overtime adds up
Overtime disputes usually come down to missing hours. Keep your own record of start, end and break times for every day, check each pay stub against it, and use the same workweek your employer uses. The calculator's "By day" tab accepts clock times, so you can check a week straight from your notes. For more free calculators, see our business tools.
Frequently asked questions
How do I calculate time and a half?
Multiply your regular hourly rate by 1.5 to get the overtime rate, then multiply that by your overtime hours. At $20 an hour, time and a half is $30, so 5 overtime hours pay $150 on top of $800 for the first 40 hours, or $950 for the week.
Is overtime paid after 8 hours a day?
Not under federal law, which only requires overtime after 40 hours in a workweek. Some states go further. California pays time and a half after 8 hours in a day and double time after 12, Alaska pays overtime after 8 hours a day, Colorado after 12, and Nevada after 8 for workers earning under $18 an hour.
Do salaried employees get overtime?
Some do. Salaried workers can be exempt only if their job meets the duties tests and they earn at least $684 a week under federal law. Some states set a higher floor, such as $1,352 a week ($70,304 a year) in California in 2026. Nonexempt salaried workers get overtime based on their salary divided by the hours it covers.
How is overtime calculated with a bonus?
A promised, nondiscretionary bonus goes into the regular rate. Add the bonus to your straight-time pay, divide by all hours worked, and pay an extra half of that rate for each overtime hour. In the Labor Department example, $10 an hour for 43 hours plus a $50 bonus gives a $11.16 regular rate and $16.74 of overtime premium.
Is overtime taxed more than regular pay?
No. Overtime is taxed at the same rates as your other income, but a bigger paycheck can have more tax withheld because payroll systems treat each check as if you earned that much all year. Any extra withholding is settled when you file your return. From 2025 to 2028, part of overtime pay can also be deducted.
What is the no tax on overtime deduction?
It is a federal income tax deduction for 2025 through 2028 created by the One Big Beautiful Bill. You can deduct the extra half of time-and-a-half pay that federal law requires, up to $12,500 a year or $25,000 on a joint return, reduced above $150,000 of income ($300,000 joint). You claim it on Schedule 1-A, whether or not you itemize.
Does double time count for the overtime tax deduction?
Only the part federal law requires counts. In the IRS example, a $20-an-hour worker paid double time for 10 hours over 40 receives $400 of overtime, but only the $100 half-time premium the Fair Labor Standards Act requires is qualified. Daily overtime paid only because of state law or a union contract does not qualify.
Can my employer average my hours over two weeks?
No. Under federal law each workweek stands on its own, a fixed 168-hour period, and the Labor Department says averaging hours over two or more weeks is not allowed. Working 50 hours one week and 30 the next still earns 10 hours of overtime for the first week, even if you are paid every two weeks.
Sources
- US Department of Labor: Fact Sheet #23, overtime pay requirements of the FLSA, Fact Sheet #56C, bonuses, and its overtime fact sheets; 29 CFR 778.114, fluctuating workweek
- States: California Labor Commissioner overtime worksheet and 2026 minimum wage and exempt salary release (December 5, 2025); Alaska Wage and Hour Act summary; Colorado COMPS Order #40 poster, effective January 1, 2026; Nevada daily overtime bulletin, effective July 1, 2026
- IRS: FS-2026-13, FAQs on the qualified overtime compensation deduction (August 2026); 26 U.S.C. § 225; Stoel Rives summary, August 25, 2025
- Super Lawyers, overtime rules by state, updated March 5, 2026, and The Employer Handbook on the federal salary level, May 15, 2026
All sources checked November 7, 2026.