Free Overtime Wage Calculator (2026 FLSA Rules)
Verify your paycheck accuracy instantly. Our wage calculator with overtime logic helps you determine if you are owed back pay under federal law.
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How to Calculate Overtime Wages: The Basics
Under the Fair Labor Standards Act (FLSA), “overtime” is defined as any time worked beyond 40 hours in a single workweek. The federal standard for overtime pay is known as “Time and a Half.” This means you earn your regular rate plus an additional 50% for every extra hour.
Using a manual hourly wage calculator with overtime can be confusing if you have variable hours. Our tool simplifies this process. Here is the step-by-step math:
- Step 1: Determine your Regular Rate of Pay (e.g., $20/hour).
- Step 2: Multiply that rate by 1.5 to find your “Overtime Rate” ($20 x 1.5 = $30/hour).
- Step 3: Multiply your first 40 hours by the regular rate ($20 x 40 = $800).
- Step 4: Multiply hours worked over 40 by the overtime rate (e.g., 10 hours x $30 = $300).
- Step 5: Add both totals ($800 + $300 = $1,100).
Who is Eligible for Overtime?
Many employees assume that if they are paid a salary, they are not entitled to overtime. This is a common myth. To be “Exempt” from overtime (meaning your boss doesn’t have to pay you extra), you must meet specific criteria regarding your job duties (Executive, Administrative, or Professional) AND earn a minimum salary threshold.
If you make less than the FLSA salary threshold, or if your job involves manual labor or repetitive tasks, you are likely “Non-Exempt” and should use this wage and overtime calculator to check your paycheck.
Is Your Employer Stealing Your Wages?
Wage theft is a multi-billion dollar problem in the United States. Unscrupulous employers use various tactics to avoid paying time-and-a-half. If your paycheck is lower than what our hourly wage with overtime calculator shows, investigate these common schemes:
- Averaging Hours: It is illegal to average hours over two weeks. For example, if you work 30 hours one week and 50 hours the next, you are owed 10 hours of overtime for the second week. Your boss cannot say you worked “80 hours in two weeks” to avoid paying overtime.
- Off-the-Clock Work: Being asked to prepare the worksite, put on safety gear, or clean up before clocking in or after clocking out is illegal.
- Misclassification: Labeling you as an “Independent Contractor” (1099) when you have a set schedule and report to a boss is a common way to avoid paying overtime benefits.
How to Calculate Prevailing Wage Overtime
If you work on government-funded construction projects (like highways or schools), you are likely paid a “Prevailing Wage” under the Davis-Bacon Act. Calculating overtime here is tricky and is a frequent source of errors.
The Rule: When determining how to calculate prevailing wage overtime, the 1.5 multiplier applies ONLY to the base hourly rate, not the “fringe benefit” rate.
Example: If your base rate is $30/hr and your fringe benefit is $15/hr (Total Package $45/hr), your overtime rate is ($30 x 1.5) + $15 = $60/hr. Many employers wrongly calculate it as ($45 x 1.5), or they try to pay less. Always check your pay stubs carefully on government jobs.
State Specific Rules: California, Alaska, Nevada
While federal law only looks at the 40-hour weekly limit, some states have more generous “Daily Overtime” rules. This overtime wage calculator uses the federal standard, but you should be aware of these exceptions:
- California: You earn overtime (1.5x) for any hours worked over 8 in a single day, and Double Time (2.0x) for hours worked over 12 in a single day.
- Alaska: Similar to California, overtime kicks in after 8 hours in a day.
- Nevada: Daily overtime applies if you earn less than 1.5x the minimum wage.
- Colorado: Has specific daily overtime rules (over 12 hours).
Gross Pay vs. Net Pay (After Tax)
Please note that this tool functions as a “Gross Pay” estimator. When you ask “how much taxes deducted from paycheck,” the answer depends on your W-4 withholdings, state income tax, and FICA (Social Security/Medicare).
Typically, overtime wages are taxed at the same rate as regular wages, but because your paycheck is larger, the withholding algorithm might withhold a higher percentage for that specific week. This is often corrected when you file your annual tax return.
Frequently Asked Questions
How to calculate hourly rate from annual salary?
To find your hourly rate for overtime purposes, take your annual salary and divide it by 2,080 (which is 40 hours x 52 weeks). For example, a $50,000 salary equals approximately $24.04 per hour.
What is “Double Time” pay?
Double time (2x your regular rate) is not required by federal law, even for holidays or weekends. It is usually a company perk or required by a union contract. However, in California, you get double time after 12 hours of work in one day.
Can I get overtime if I am paid a day rate?
Yes! Day-rate workers are often entitled to overtime. To calculate it, divide your total weekly earnings by the total hours worked to find your “regular rate,” then you are owed an extra 0.5x that rate for every hour over 40.
How far back can I sue for unpaid overtime?
Under the FLSA, the statute of limitations is 2 years. However, if you can prove your employer “willfully” violated the law (knew they were cheating you), you can go back 3 years.
Disclaimer: This wage and overtime calculator is for educational purposes only. It estimates gross pay based on federal FLSA standards. State laws, tax withholdings, and specific employment contracts may affect your actual take-home pay. Consult an employment attorney for legal claims.