FLSA 2026 COMPLIANT

US Overtime Pay Calculator 2026

Use this FLSA overtime calculator to estimate overtime pay fast and accurately. Enter your hourly rate and overtime hours to see time-and-a-half pay, total overtime earnings, and a clear breakdown of how overtime is calculated. This calculator is designed for workers, employers, and payroll checks, and it also helps explain how the current FLSA overtime rules and qualified overtime tax deduction may affect your pay.

Your regular hourly wage
$
Standard hours (usually 40)
Hours worked beyond regular schedule
1.5x = time and a half (federal minimum)
Your Overtime Pay Breakdown
Regular Pay
-
Overtime Pay
-
Total Gross Pay
-
OT Rate (per hr)
-
Effective Rate
-
Annual Gross
-
Example: At $20/hr with 8 overtime hours (1.5x), your overtime rate is $30/hr. Overtime pay = $240. Total weekly gross = $1,040.
Updated: April 2026  |  Source: U.S. Department of Labor WHD  |  Covers: All 50 States, FLSA 2026
Reviewed by a payroll compliance specialist | Sources: DOL, IRS, OPM | Updated for OBBBA 2025 overtime tax rules

What Is Overtime Pay?

Overtime pay is the additional compensation non-exempt employees receive for working beyond their standard scheduled hours. Under the Fair Labor Standards Act (FLSA), the federal law governing overtime in the United States, most non-exempt employees must be paid at least 1.5 times their regular hourly rate for every hour worked beyond 40 hours in a single workweek. This is commonly called time and a half.

The FLSA overtime rule has been in place since 1938 and applies to approximately 143 million workers in the United States. Whether you are an hourly employee, a salaried non-exempt worker, or a part-time employee who unexpectedly clocks extra hours, the overtime pay formula is the same: Overtime Pay = Regular Rate x 1.5 x Overtime Hours.

For 2026, the key federal overtime rules remain anchored to the 40-hour workweek threshold. The FLSA exemption salary threshold is $684 per week ($35,568 per year), meaning salaried workers earning less than this amount are automatically eligible for overtime regardless of their job title. One major development for 2026 is the OBBBA overtime tax deduction, introduced by the One Big Beautiful Bill Act (P.L. 119-21), which allows eligible workers to deduct the premium portion of their overtime pay from federal taxable income.

2026 Key Fact: For tax year 2026, employers are required to separately report qualified overtime compensation on W-2 forms (Box 14 or equivalent). This means tracking your overtime income for the new federal deduction is easier than ever. Source: IRS FS-2026-01.

Who Should Use This Overtime Pay Calculator for US?

This free US overtime pay calculator is built for anyone who needs to quickly and accurately calculate overtime wages under 2026 FLSA rules. You should use this calculator if you are:

  • Hourly employees who want to verify their paycheck includes the correct time and a half rate
  • Salaried non-exempt workers who need to calculate overtime based on their equivalent hourly rate
  • Employers and HR managers calculating correct weekly payroll for overtime-eligible staff
  • Freelancers and contractors working under overtime-eligible agreements
  • Payroll administrators reconciling weekly gross pay and FICA withholding estimates
  • Tax filers estimating their OBBBA qualified overtime premium deduction for 2026
  • Part-time workers who crossed the 40-hour threshold during a busy week
  • Employees in California, Colorado, and New York who need to cross-check pay against stricter state overtime rules

How to Use USA Overtime Pay Calculator

  1. Enter your hourly rate. Type your regular base hourly wage. This is your pay before any overtime premium is applied.
  2. Enter regular weekly hours. Most full-time FLSA non-exempt employees work 40 hours. Enter the standard hours for your workweek.
  3. Enter overtime hours worked. Enter the number of hours worked beyond your regular schedule this week. Even 0.5 hours counts.
  4. Select your overtime rate. Choose 1.5x for the federal standard time and a half, 2.0x for double time (required in some states), or a custom rate if your employer uses 1.25x or 1.75x.
  5. Choose your pay period. View your results weekly, bi-weekly, monthly, or annually for full payroll planning.
  6. Click Calculate Overtime Pay. Instantly see your regular pay, overtime pay, overtime rate per hour, total gross pay, blended effective hourly rate, and estimated annual earnings.
  7. Download your results. Export to CSV for payroll records or save as PDF to share with your employer or accountant.

FLSA Overtime Rates and Rules 2026

The table below summarises the key FLSA overtime rates and thresholds in effect for 2026, sourced directly from the U.S. Department of Labor Wage and Hour Division.

Rule Federal Standard 2026 Source
Overtime threshold (workweek)40 hours per week29 U.S.C. § 207
Minimum overtime rate1.5x regular rate (time and a half)29 U.S.C. § 207(a)(1)
EAP salary exemption threshold$684/week ($35,568/year)29 CFR § 541 (2019 rule)
Highly compensated employee (HCE)$107,432/year29 CFR § 541.601
Computer professional hourly exemption$27.63/hour29 U.S.C. § 213(a)(17)
Federal minimum wage$7.25/hour29 U.S.C. § 206
OBBBA qualified OT deduction (single)Phases out above $150,000 AGIOBBBA P.L. 119-21, IRS Notice 2025-69
OBBBA qualified OT deduction (MFJ)Phases out above $300,000 AGIOBBBA P.L. 119-21
FICA Social Security rate (employee)6.2% up to $176,100 wage baseIRS Pub. 15 (2026)
FICA Medicare rate (employee)1.45% (+ 0.9% above $200k)IRS Pub. 15 (2026)

Overtime Pay Worked Examples

The following worked examples demonstrate how to calculate overtime pay using the FLSA time and a half formula across different wage levels and scenarios.

Example 1: Retail Worker (Standard OT)

Hourly rate: $15.00

Regular hours: 40 | Overtime hours: 10

Overtime rate: $15 x 1.5 = $22.50/hr

Regular pay: 40 x $15 = $600.00

Overtime pay: 10 x $22.50 = $225.00

Total Weekly Gross: $825.00

Example 2: Warehouse Worker (Heavy OT)

Hourly rate: $20.00

Regular hours: 40 | Overtime hours: 20

Overtime rate: $20 x 1.5 = $30.00/hr

Regular pay: 40 x $20 = $800.00

Overtime pay: 20 x $30 = $600.00

Total Weekly Gross: $1,400.00

Example 3: Nurse (Double Time CA Rule)

Hourly rate: $45.00

Regular hours: 40 | Overtime hours: 6 at 2.0x

Double time rate: $45 x 2.0 = $90.00/hr

Regular pay: 40 x $45 = $1,800.00

Overtime pay: 6 x $90 = $540.00

Total Weekly Gross: $2,340.00

Example 4: Part-Time Employee (Crossed 40-hr Threshold)

Hourly rate: $18.00

Regular hours: 35 | Overtime hours: 8

Overtime rate: $18 x 1.5 = $27.00/hr

Regular pay: 35 x $18 = $630.00

Overtime pay: 8 x $27 = $216.00

Total Weekly Gross: $846.00
Salaried Non-Exempt Example: A salaried non-exempt employee earns $700/week. Their regular hourly rate = $700 / 40 = $17.50/hr. If they work 5 overtime hours: overtime pay = 5 x ($17.50 x 1.5) = 5 x $26.25 = $131.25. Total weekly pay = $700 + $131.25 = $831.25.

FLSA Overtime Quick Reference Table 2026

Use this quick reference table to estimate time and a half overtime rates at common US wage levels.

Regular Hourly Rate Time and a Half (1.5x) Double Time (2.0x) Weekly OT Pay (10 hrs)
$7.25 (Fed. min.)$10.88$14.50$108.75
$10.00$15.00$20.00$150.00
$12.00$18.00$24.00$180.00
$15.00$22.50$30.00$225.00
$17.00$25.50$34.00$255.00
$18.00$27.00$36.00$270.00
$20.00$30.00$40.00$300.00
$22.00$33.00$44.00$330.00
$25.00$37.50$50.00$375.00
$28.00$42.00$56.00$420.00
$30.00$45.00$60.00$450.00
$35.00$52.50$70.00$525.00
$40.00$60.00$80.00$600.00
$45.00$67.50$90.00$675.00
$50.00$75.00$100.00$750.00
$60.00$90.00$120.00$900.00
$75.00$112.50$150.00$1,125.00
$100.00$150.00$200.00$1,500.00

Overtime Exemptions and Edge Cases 2026

Not every worker qualifies for FLSA overtime pay. Understanding the exemptions helps both employees and employers stay compliant with US labor law. Key exemptions for 2026 include:

Exemption Category 2026 Requirement Notes
Executive, Administrative, Professional (EAP)Salary of $684/week + duties testBoth salary AND duties test must be met
Highly Compensated Employee (HCE)Total annual pay of $107,432+Still requires a duties test component
Computer Professionals$27.63/hr or $684/week salaryMust perform qualified IT duties
Outside Sales EmployeesNo salary requirementPrimarily makes sales away from employer premises
Commissioned Retail/Service EmployeesEarn 1.5x minimum wage; 50%+ from commissionsSection 7(i) exemption
Agricultural Workers (small farms)Farms with fewer than 500 man-days in prior yearSpecific rules apply
Motor Carrier EmployeesVehicles over 10,000 lb GVWRSubject to DOT Hours-of-Service rules
Seasonal Recreational EstablishmentsOperating fewer than 7 months per yearApplies to camps, amusement parks
Important: A job title alone does not determine overtime exemption. The FLSA requires both the salary test AND the duties test to be satisfied. Misclassifying a non-exempt employee as exempt can result in back pay liability for up to 3 years plus liquidated damages.

State Overtime Rules vs Federal FLSA 2026

Several US states have overtime laws that are more generous than federal FLSA rules. When state law provides greater protection to employees, the state standard applies. Key state differences for 2026 include:

State OT Threshold Key Rule Exempt Salary Threshold 2026
CaliforniaDaily (8 hrs) + weekly (40 hrs)1.5x after 8 hrs/day; 2.0x after 12 hrs/day or 7th day$1,352/week
ColoradoDaily (12 hrs) + weekly (40 hrs)COMPS Order; 1.5x after 12 hrs/day$1,111.23/week
New York (NYC/Westchester/LI)Weekly (40 hrs)Same as FLSA; higher salary exemption$1,275/week
New York (Remainder of state)Weekly (40 hrs)Same as FLSA$1,199.10/week
WashingtonWeekly (40 hrs)Higher exempt salary; computer pros $59.96/hr$1,541.70/week
AlaskaDaily (8 hrs) + weekly (40 hrs)1.5x after 8 hrs/day$684/week (federal)
NevadaDaily (8 hrs) + weekly (40 hrs)1.5x after 8 hrs/day (if rate below 1.5x min wage)$684/week (federal)
All other statesWeekly (40 hrs)Follows federal FLSA$684/week (federal)

The New OBBBA Overtime Tax Deduction 2026

One of the most significant changes to overtime pay in 2026 is the federal tax deduction for qualified overtime compensation, introduced by the One Big Beautiful Bill Act (OBBBA), P.L. 119-21.

This deduction allows eligible workers to exclude the premium portion of their overtime pay from federal taxable income. The premium portion is the extra amount above the regular rate. For example, if you are paid $30/hr for overtime (1.5x your $20/hr regular rate), the premium is the extra $10/hr, not the full $30.

How the OBBBA Overtime Deduction Works:
Regular rate: $20/hr | Overtime rate: $30/hr (1.5x) | Premium: $10/hr
If you work 10 overtime hours per week, the deductible premium = $100/week = $5,200/year.
This amount may be deducted from federal taxable income, subject to the AGI phase-out.

Key rules for the OBBBA overtime deduction in 2026:

  • Only applies to overtime compensation required under FLSA Section 7 (not voluntary extra pay)
  • Only the premium portion (the 0.5x above regular rate) qualifies, not the full overtime wage
  • Phases out for modified AGI above $150,000 (single) or $300,000 (married filing jointly)
  • Married Filing Separately does not qualify
  • For 2026, employers are required to separately report qualified overtime on W-2 (Box 14 or online portal)
  • Overtime is still subject to FICA taxes (Social Security and Medicare) regardless of the income deduction

When and How Overtime Pay Must Be Paid

Understanding overtime pay deadlines and recordkeeping requirements helps employees protect their rights and helps employers avoid FLSA violations. Key rules include:

  • Overtime must be paid on the regular payday for the workweek in which it was earned
  • A workweek is a fixed, regularly recurring period of 168 hours (7 consecutive 24-hour periods) set by the employer
  • Employers cannot average hours over two weeks to avoid overtime liability; each workweek stands alone
  • Employees can recover unpaid overtime going back 2 years under FLSA (3 years for willful violations)
  • FLSA allows recovery of back pay plus liquidated (double) damages equal to the unpaid amount
  • Employers must retain payroll records for 3 years under FLSA
  • File a complaint with the DOL Wage and Hour Division at dol.gov/agencies/whd
Common Overtime Mistakes: Calculating overtime on bi-weekly hours rather than weekly hours is one of the most common FLSA violations. The 40-hour threshold applies per workweek, never averaged across two weeks or a pay period.

Frequently Asked Questions About Overtime Pay 2026

How is overtime pay calculated under FLSA 2026?
Under the Fair Labor Standards Act, overtime pay is calculated at 1.5 times the employee's regular hourly rate for all hours worked beyond 40 in a workweek. The formula is: Overtime Pay = Hourly Rate x 1.5 x Overtime Hours. Total weekly gross = (Regular Rate x 40) + (Regular Rate x 1.5 x Overtime Hours).
What is the FLSA overtime salary exemption threshold in 2026?
The federal FLSA overtime exemption salary threshold in 2026 is $684 per week ($35,568 per year). This is the 2019 rule that remains in effect after a federal court vacated the 2024 DOL rule that would have raised it to $1,128/week. Salaried employees earning below $684/week are entitled to overtime regardless of job title or duties.
Is overtime pay tax-free in 2026?
Not entirely, but the OBBBA (One Big Beautiful Bill Act) introduced a federal tax deduction for the premium portion of qualified overtime compensation starting in 2025. Only the extra portion above your regular rate qualifies. The deduction phases out above $150,000 AGI for single filers and $300,000 for joint filers. Overtime remains subject to FICA (Social Security and Medicare) taxes.
What is time and a half and how do I calculate it?
Time and a half means your overtime rate is 1.5 times your regular hourly wage. To calculate: Overtime Rate = Hourly Rate x 1.5. Example: $20/hr x 1.5 = $30/hr overtime rate. Multiply the overtime rate by the number of overtime hours: 10 hours x $30 = $300 in overtime pay.
Does California have different overtime rules?
Yes. California requires daily overtime at 1.5x for hours worked beyond 8 in a single day, double time (2.0x) after 12 hours in a day, and double time on the 7th consecutive day worked in a workweek. California's 2026 minimum wage is $16.50/hr and the EAP salary exemption is $1,352/week, far exceeding the federal level.
How do salaried employees calculate overtime pay?
Salaried non-exempt employees who earn below $684/week are eligible for overtime. To calculate: divide the weekly salary by 40 to get the regular hourly rate, then multiply by 1.5 for each overtime hour worked beyond 40 in the workweek. Example: $600 weekly salary / 40 = $15/hr regular rate. Overtime rate = $22.50/hr. Five overtime hours = $112.50 in overtime pay.
What is double time and when is it required?
Double time is 2.0 times the regular hourly rate. Federal law does not mandate double time pay, but California requires it for hours worked beyond 12 in a day and for the 7th consecutive workday. Some collective bargaining agreements and employer policies also provide double time for holidays or other special circumstances.
Can my employer avoid paying overtime by averaging my hours?
No. Under the FLSA, overtime is calculated on a per-workweek basis. Employers cannot average hours across a two-week pay period to avoid overtime liability. If you work 50 hours one week and 30 hours the next, you are owed 10 hours of overtime for week one, regardless of the biweekly total.
What is the OBBBA overtime deduction and who qualifies?
The OBBBA (One Big Beautiful Bill Act, P.L. 119-21) created a new federal tax deduction for qualified overtime compensation. To qualify: you must be a W-2 employee whose overtime is required under FLSA Section 7, your employer must report it on your W-2 (starting 2026), and your modified AGI must be below $150,000 (single) or $300,000 (MFJ). Only the premium portion of overtime (not the full overtime wage) is deductible.
What should I do if my employer is not paying overtime?
If you believe your employer has not paid required overtime, you can: (1) file a complaint with the U.S. Department of Labor Wage and Hour Division at dol.gov/agencies/whd; (2) consult an employment attorney about filing a private FLSA lawsuit; or (3) contact your state labor department. Under FLSA, you can recover unpaid wages for up to 2 years (3 years for willful violations) plus equal liquidated damages and attorney fees.

Related Calculators

Disclaimer: This US overtime pay calculator is provided for informational and estimation purposes only. Results are based on federal FLSA rules and should not be taken as legal or tax advice. Overtime laws vary by state and individual employment situation. Consult a qualified employment attorney, payroll professional, or tax adviser for guidance specific to your circumstances. Federal and state overtime regulations are subject to change; always verify current rules with the U.S. Department of Labor (dol.gov) and the IRS (irs.gov).

Calculation methodology sourced from official government publications. See our Editorial Policy for how we build and maintain our calculators.