Overtime Pay Calculator
Calculate your overtime earnings at time-and-a-half (1.5x) rate, with optional tax impact estimate.
📅 Tax Year:
Calculate Overtime
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How It Works
Under the Fair Labor Standards Act (FLSA), non-exempt employees must receive overtime pay at 1.5x their regular rate for hours worked over 40 per week.
Overtime Formula
Overtime Pay = Hourly Rate × 1.5 × Overtime Hours
Tax Impact
Overtime is taxed the same as regular income—it's added to your wages and taxed at your marginal rate. This calculator estimates taxes based on your approximate annual income.
Examples
Example: $30/hour, 10 OT hours
OT Rate: $30 × 1.5 = $45/hour
Gross OT: $45 × 10 = $450
Frequently Asked Questions
Is overtime taxed at a higher rate?
No. Overtime is taxed at your marginal rate, just like regular
wages. It may seem higher because withholding is calculated per paycheck, but it evens out
at tax time.
Who is eligible for overtime?
Non-exempt employees under FLSA. Generally, hourly workers and some
salaried workers below certain thresholds. Exempt employees (many salaried professionals)
typically don't qualify.
When is double-time required?
Federal law only requires time-and-a-half. Double-time is sometimes
required by state law (like California for 12+ hours) or by union contracts.
Do I pay FICA on overtime?
Yes, overtime wages are subject to the same 7.65% FICA taxes (Social
Security + Medicare) as regular wages.
How is my overtime rate calculated?
Your regular hourly rate times 1.5 (or 2 for double-time). If you're
salaried (non-exempt), divide weekly salary by hours per week to get hourly rate.
Can my employer avoid paying overtime?
Covered employers must pay overtime to non-exempt employees. Some
try to misclassify workers as exempt or independent contractors. Know your rights under
FLSA.
Use Cases
- Estimate your gross and net overtime pay before accepting extra shifts or weekend work.
- Compare time-and-a-half versus double-time earnings to understand which opportunities are most valuable.
- Budget for tax withholding on overtime so you are not surprised by a smaller-than-expected paycheck.
- Verify your pay stub by checking that your employer calculated overtime at the correct 1.5x or 2x rate.
Assumptions & Limitations
- This calculator assumes the standard FLSA overtime multiplier of 1.5x; double-time (2x) is also available as an option.
- Tax estimates use a simplified marginal federal tax rate based on annualized regular income filed as Single. Actual taxes depend on your full filing situation.
- FICA is estimated at 7.65% (6.2% Social Security + 1.45% Medicare). Additional Medicare Tax on high earners is not included.
- State and local income taxes are not factored into the net pay estimate.
- The calculator does not determine FLSA exemption status. Not all workers are eligible for overtime under federal or state law.
- This tool provides estimates for informational purposes only and is not a substitute for professional tax or legal advice.
Sources & References
- IRS Publication 15 (Circular E) – Employer's Tax Guide
- U.S. Department of Labor – Overtime Pay
- Fair Labor Standards Act (FLSA) – Overview
- DOL Fact Sheet #23 – Overtime Pay Requirements of the FLSA
- IRS Topic No. 751 – Social Security and Medicare Withholding Rates
- 29 U.S. Code § 207 – Maximum Hours (FLSA Overtime Provision)
Disclaimer: This calculator is for informational purposes only. Overtime rules vary by state and employer. Always consult the Department of Labor or a qualified professional for your specific situation.