How to Calculate Overtime Pay
A complete step-by-step guide to calculating overtime pay under FLSA rules and state-specific laws. Covers hourly workers, salaried employees, and blended-rate scenarios.
✓ FLSA formula explained simply
✓ Works for hourly & salaried workers
✓ Try the calculator →
Overtime pay calculator
Regular pay
40.00 hrs × $20.00
Overtime pay
5.00 hrs × $30.00 (1.5×)
Total gross pay
45.00 hrs total · $21.11/hr effective
Federal (FLSA) — most states
Overtime = hours over 40 in a workweek. Pay at 1.5× the regular rate.
The Overtime Pay Formula
Overtime Pay = OT Hours × (Hourly Rate × 1.5)
Step 1: Find Your Regular Hourly Rate
If you're paid hourly, your rate is straightforward. If salaried, divide your annual salary by 2,080 (52 weeks × 40 hours). Example: $52,000 ÷ 2,080 = $25/hour.
Step 2: Count Your Overtime Hours
Under FLSA, count all hours worked beyond 40 in a workweek. In California, Alaska, or Nevada, also check daily thresholds (typically 8 hours per day).
Step 3: Calculate Overtime Pay
Multiply overtime hours by 1.5× your hourly rate. Example: 5 OT hours at $25/hr = 5 × $37.50 = $187.50 in overtime pay.
Step 4: Add It All Up
Total = Regular Pay + Overtime Pay. For the example above: (40 × $25) + $187.50 = $1,187.50 gross pay for the week.
Blended Rate Overtime
If you work two jobs for the same employer at different rates, overtime is calculated using a weighted average (blended rate). Add total regular earnings for the week, divide by total hours, then multiply the resulting rate by 1.5 for OT hours.