Regular hours are the hours paid at your normal rate. Overtime hours are hours past a limit, paid at a higher rate, usually time and a half. Under federal law, the limit is 40 hours worked in a workweek, and it applies to nonexempt employees.
The federal rule
- Regular hours: the first 40 hours worked in a workweek.
- Overtime hours: hours worked over 40 in that workweek, paid at least 1.5 times the regular rate.
A workweek is a fixed, recurring period of 168 hours, seven consecutive 24-hour days. Your employer sets when it starts. Each workweek stands alone: hours are not averaged across two weeks, even when you are paid every two weeks.
Example: one workweek
Monday to Friday, 9 hours a day, at $22 an hour:
- Hours worked: 5 × 9 = 45.
- Regular hours: 40. Overtime hours: 5.
- Pay: 40 × $22.00 + 5 × $33.00 = $880.00 + $165.00 = $1,045.00.
Under the federal rule, overtime goes to the hours after the 40th hour in the week. A single 12-hour day is not overtime if the week stays at 40 hours or less.
Example: a two-week pay period
Week 1: 45 hours. Week 2: 35 hours. The pay period totals 80 hours, but week 1 still has 5 overtime hours. The 35-hour week does not cancel it out. See what is a workweek.
What counts as hours worked
Overtime is based on hours actually worked, not hours paid. The Department of Labor’s guidance on hours worked includes, for example:
- Short rest breaks, usually 5 to 20 minutes.
- Time you are required to be on duty or on the premises, even if you are waiting for work.
- Work you are allowed to do before or after your shift, if your employer knows about it.
Hours that are paid but not worked, such as a paid holiday, vacation, or sick day, generally do not have to be counted toward the 40. So a week with an 8-hour paid holiday and 36 hours of work can have no overtime under federal law, even though you are paid for 44 hours. Some employers and contracts count them anyway.
Daily overtime in some states
A few states also have daily overtime. In California, for example, hours over 8 in a workday are overtime, and hours over 12 in a workday are double time, even if the week is under 40 hours (with exceptions such as approved alternative workweek schedules). Check your state labor department for the rules where you work.
When both daily and weekly rules apply, an hour is counted as overtime once. Daily overtime hours are not counted again toward the weekly limit.
Who is not owed overtime
Employees who are exempt, such as many salaried executive, administrative, and professional employees who meet the legal tests, are not owed federal overtime. Being paid a salary alone does not make someone exempt.
Tools
- Time card calculator: split a week of clock times into regular and overtime hours, with weekly or daily-and-weekly rules.
- Overtime calculator: price regular, overtime, and double-time hours.
- Time and a half calculator: find your overtime rate, including with a bonus.
Sources
- U.S. Department of Labor, Fact Sheet #23: Overtime Pay Requirements of the FLSA
- U.S. Department of Labor, Fact Sheet #22: Hours Worked Under the FLSA
- California Labor Commissioner, Overtime FAQ (example of a state rule)
About this guide. Written for US employees as general information, not legal or tax advice. Rules can differ by state, employer, and contract. See our methodology and disclaimer.