Overtime Pay Calculator
How to Use This Calculator
- 1
Enter Base Hourly Rate and Regular Hours Worked
Use the standard hourly wage and the number of hours paid at that rate during a typical week.
- 2
Enter Overtime Hours Worked and choose Weeks Per Year
Add the extra hours worked at the overtime rate and the number of weeks you expect to work this schedule.
- 3
Select the Pay Multiplier and review the results
Choose 1.5×, 2×, 2.5×, or 3×. The calculator shows weekly pay, overtime pay, effective hourly rate, and annual pay before taxes and deductions.
Example Calculation
An employee earns $24 per hour, works 40 regular hours and 10 overtime hours per week, and repeats that schedule for 52 weeks at 1.5×.
Base Hourly Rate ($)
24
Regular Hours Worked (hrs)
40
Overtime Hours Worked (hrs)
10
Weeks Per Year (wks)
52
Pay Multiplier
1.5x — Time and a Half
Results
Total Weekly Pay
$1,320.00
Overtime Pay
$360.00
Regular Pay
$960.00
Overtime Rate
$36.00/hr
Effective Hourly Rate
$26.40/hr
Estimated Annual Pay
$68,640
Tips
Five fewer overtime hours reduce annual pay by $9,360
Change Overtime Hours Worked from 10 to 5. At $36 per overtime hour for 52 weeks, the annual gross-pay estimate falls by 5 × $36 × 52 = $9,360.
Double time adds $120 in weekly premium at 10 overtime hours
Change Pay Multiplier from 1.5× to 2×. The overtime rate rises from $36 to $48, adding $12 for each of the 10 overtime hours.
Reduce Weeks Per Year to model unpaid time away
Change Weeks Per Year from 52 to 50 to exclude two weeks at this schedule. Weekly pay stays $1,320; annual pay falls by $2,640.
What this calculator estimates
Overtime pay is compensation for qualifying hours paid at a rate above the employee’s base hourly rate. This calculator adds regular and overtime wages to estimate weekly and annual gross pay, assuming the entered schedule repeats for the stated number of weeks.
How overtime pay is calculated
Overtime rate = Base hourly rate × Pay multiplier
Regular pay = Base hourly rate × Regular hours worked
Overtime pay = Overtime rate × Overtime hours worked
Total weekly pay = Regular pay + Overtime pay
Estimated annual pay = Total weekly pay × Weeks per year
Effective hourly rate = Total weekly pay ÷ (Regular hours + Overtime hours)
For the example, the overtime rate is $24 × 1.5 = $36 per hour. Regular pay is $24 × 40 = $960, and overtime pay is $36 × 10 = $360. Weekly pay is $960 + $360 = $1,320. Repeating that schedule for 52 weeks gives $1,320 × 52 = $68,640, and the blended rate is $1,320 ÷ 50 = $26.40 per hour.
How the multiplier changes pay
The pay multiplier determines the rate for each overtime hour. For a $24 base rate, 40 regular hours, and 10 overtime hours:
| Pay multiplier | Overtime rate | Overtime pay | Total weekly pay |
|---|---|---|---|
| 1.5× | $36/hr | $360 | $1,320 |
| 2× | $48/hr | $480 | $1,440 |
| 2.5× | $60/hr | $600 | $1,560 |
| 3× | $72/hr | $720 | $1,680 |
A higher multiplier raises overtime pay but does not change the number of hours worked. Check the applicable law, employment agreement, or company policy before treating a multiplier as the required rate.
Annual estimates depend on a repeated schedule
Weeks Per Year scales the weekly total; it does not predict which weeks will include overtime. If overtime occurs only during a busy season, enter the weeks that match that schedule or calculate the regular and peak periods separately. The estimate also excludes bonuses, benefits, taxes, and deductions.
For federal rules, covered, nonexempt employees generally receive at least 1.5 times their regular rate for hours over 40 in a workweek. The Department of Labor's overtime fact sheet explains that regular-rate calculations can include more than the stated base wage, so this calculator’s direct multiplier estimate is not a legal determination.
When to use a different calculator
- Find overtime hours from total hours worked and a threshold → Overtime Hours Calculator
- Estimate gross income with other pay sources → Gross Income Calculator with Overtime
- Price overtime hours billed to a client → Overtime Billing Calculator
- Compare overtime costs with hiring a new employee → Overtime Cost vs. Hiring Cost Comparison Calculator
Frequently Asked Questions
How do you calculate overtime pay?
Multiply the base hourly rate by the pay multiplier and overtime hours, then add regular pay. For example, at $24 per hour, 1.5×, and 10 overtime hours, overtime pay is $24 × 1.5 × 10 = $360.
What is an effective hourly rate?
Effective hourly rate is total weekly pay divided by all regular and overtime hours worked. It is an average across the week, not a replacement for the employee's base rate or legal regular rate.
Does federal law require time-and-a-half after 40 hours?
Federal law generally requires covered, nonexempt employees to receive at least 1.5 times their regular rate for hours worked over 40 in a workweek. The Department of Labor's overtime guidance explains who is covered and how the rule works.
Does this estimate include taxes or deductions?
No, the pay results are gross earnings before taxes, benefit deductions, or other withholdings. Use a [Gross Pay Calculator](/calculators/gross-pay-calculator/) for a broader gross-pay estimate or payroll tools for deductions.
Does every hour over 40 automatically qualify for overtime pay?
No, federal overtime coverage depends on factors such as employee classification and the work performed, and some state laws set different requirements. The Department of Labor's employee-hours fact sheet explains how hours worked are treated.