Source: https://clockwage44.com/tools/overtime-calculator/ ClockWage44 is a free hours and pay tracker app for iOS and Android: log shifts across every job and see take-home pay after federal tax, state tax, FICA, overtime and deductions. Get the ClockWage44 app: [App Store](https://apps.apple.com/us/app/hours-tracker-time-pay/id6762208276?pt=120576754&ct=clockwage44.md&mt=8) · [Google Play](https://play.google.com/store/apps/details?id=com.ehmtech.clock&referrer=utm_source%3Dclockwage44.md) # Overtime Pay Calculator Plug in your hourly rate and hours worked. See your regular pay, overtime pay, total gross, plus weekly, monthly, and annual projections. _Interactive tool: open [the web page](https://clockwage44.com/tools/overtime-calculator/) to use it. This Markdown copy has the text only._ Estimates only, not tax or legal advice. Gross pay before taxes. Download the app to see your actual take-home pay. ## How Overtime Pay Works ### The Basics: FLSA and the 40-Hour Standard Under the Fair Labor Standards Act (FLSA), non-exempt employees in the U.S. earn overtime for any hours past 40 in a workweek. The standard rate is 1.5 times your normal hourly pay — what most people call "time and a half." ### How Overtime Pay Is Calculated The math is simple: take your hourly rate, multiply by the overtime multiplier (usually 1.5x), and multiply by overtime hours. If you make $25/hr and work 50 hours in a week, those 10 extra hours pay $37.50/hr. That's $1,000 in regular pay plus $375 in overtime — $1,375 gross for the week. ### Different Thresholds and Multipliers 40 hours is the federal line, but some states and employers draw it earlier. California triggers overtime after 8 hours in a single day, and certain union contracts kick in at 35 or 37.5 hours. Double-time (2x) is less common but does come up — California mandates it after 12 hours in a day, and some employers offer it on holidays. ### Overtime and Your Taxes Overtime is taxed the same as regular income — there's no special "overtime tax rate." That said, the extra earnings can push part of your income into a higher marginal bracket. Your effective rate might tick up a bit during heavy overtime weeks, but only the dollars above the bracket threshold get taxed at the higher rate, not your entire paycheck. ### The One Big Beautiful Bill Act and Overtime The One Big Beautiful Bill Act (P.L. 119-21), signed in 2025, did not make overtime tax-free. Section 70202 gives FLSA-covered employees a federal income tax deduction for _qualified overtime compensation_, and that means only the FLSA-required premium: the extra 0.5x above your regular rate, not the full overtime wage. On a $25/hr rate, an overtime hour pays $37.50 and the deductible slice is the $12.50 premium — the base $25 stays fully taxable. The deduction is capped at $12,500/year for single or head-of-household filers and $25,000 for joint filers, shrinking by $100 for every full $1,000 of MAGI above $150,000 ($300,000 joint). Married filing separately is excluded. It covers tax years 2025 through 2028 only, and Social Security and Medicare still come out of every overtime dollar. ### Who Qualifies for Overtime? Not everyone gets overtime. Salaried workers classified as "exempt" — think executive, administrative, or professional roles — generally don't qualify. The Department of Labor sets a salary floor for these exemptions. If you're non-exempt or paid hourly, you're almost certainly owed overtime once you pass the weekly threshold. ## Frequently Asked Questions Common questions about overtime pay calculator ### What counts as overtime? Under the FLSA, overtime is any time a non-exempt employee works past 40 hours in a workweek. A workweek is a fixed 168-hour period — seven consecutive days. Some states also have daily overtime rules; California, for example, counts overtime after 8 hours in a single day. ### How is overtime pay calculated? Take your hourly rate, multiply by the overtime multiplier (typically 1.5x), then multiply by overtime hours worked. At $20/hr with 5 overtime hours, that's $20 × 1.5 × 5 = $150 in overtime pay. ### Does my employer have to pay overtime? Yes, if you're non-exempt under the FLSA. Your employer must pay overtime for every hour past 40 in a workweek. Exempt employees — typically salaried workers in executive, administrative, or professional roles — are not covered. ### Can my overtime threshold be different from 40 hours? Yes. The federal standard is 40 hours, but some states set their own thresholds, and union contracts or employers can go lower. Some contracts, for instance, trigger overtime at 35 or 37.5 hours per week. ### Is overtime taxed differently? Overtime is taxed like any other income. But the One Big Beautiful Bill Act (P.L. 119-21) added a deduction for tax years 2025–2028, claimed on Schedule 1-A whether or not you itemize, that can lower your federal tax bill. It only reaches the FLSA overtime premium — the extra 0.5x you earn above your regular rate — not the full overtime wage. If you make $25/hr and earn $37.50 for an overtime hour, the deductible piece is $12.50, not $37.50. ### What is double-time pay? Double-time means you get paid 2x your normal hourly rate. Federal law doesn't require it, but some states do — California mandates double-time after 12 hours in a day. Some employers also pay it on holidays or for extreme hours, depending on company policy or union agreements. ### What does the One Big Beautiful Bill Act mean for overtime? P.L. 119-21 added a federal income tax deduction for qualified overtime, covering tax years 2025–2028. Only the FLSA-required premium qualifies — the half-time slice above your regular rate, not the whole overtime check — and the deduction is capped at $12,500 per year ($25,000 if married filing jointly). Married filing separately is excluded, and Social Security and Medicare taxes on overtime are not affected. ## Related Tools - [1099 vs W-2 Calculator](https://clockwage44.com/tools/1099-vs-w2-calculator/): Compare a W-2 salary offer with a 1099 contract at 2026 federal rates, then get the equivalent 1099 rate: the gross revenue that leaves you with the same take-home. - [12 Hour Shift Pay Calculator](https://clockwage44.com/tools/12-hour-shift-pay-calculator/): Calculate 12 hour shift pay for 2-2-3, DuPont, and 4-on-4-off rotations. Get true per-week overtime, gross pay, and an estimated take-home figure. - [401(k) Paycheck Impact Calculator](https://clockwage44.com/tools/401k-paycheck-impact-calculator/): See how a traditional 401(k) contribution changes your take-home pay after pre-tax savings and employer match. - [Back Pay Calculator](https://clockwage44.com/tools/back-pay-calculator/): Add up unpaid hours, missed overtime, and rate shortfalls across pay periods to see the gross back pay you are owed and your estimated take-home.