Finance & Work · Verified formula
Overtime Calculator
Calculate overtime pay, gross pay and your effective hourly rate from hours worked.
Formula verified
3+ known-answer test cases
Last verified August 2026
Result
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How to use the Overtime Calculator
- Enter your regular hourly rate.
- Enter regular hours worked for the period.
- Enter overtime hours worked.
- Confirm your overtime multiplier — 1.5× (time and a half) is most common.
- Select Calculate to see gross pay and your effective hourly rate.
Formula
Overtime and gross pay
Overtime pay = overtime hours × hourly rate × multiplier Gross pay = regular pay + overtime pay
Assumptions: Overtime eligibility and multiplier rules vary by jurisdiction and employment agreement. Confirm your applicable rate before relying on this for payroll. This tool provides a general estimate, not professional, engineering, tax or legal advice.
Worked example
Verified example
QA passed
Rate: $20/hr Regular hours: 40, Overtime hours: 5, Multiplier: 1.5× Regular pay = 40 × $20 = $800 Overtime pay = 5 × $20 × 1.5 = $150 Gross pay = $800 + $150 = $950 Result: $950 gross pay
Why this matters: Overtime rules and multipliers vary by employer and jurisdiction, so checking your own gross pay math against a pay stub is a fast way to catch a payroll error early.
Common mistakes
- Applying the overtime multiplier to total gross pay instead of just the overtime hours.
- Using the wrong multiplier — 1.5× and 2× produce very different totals, and some employers use both depending on the hours worked.
- Confusing the overtime threshold (the hours after which overtime kicks in) with total hours worked.
Frequently asked questions
What does time and a half mean?
Time and a half is a 1.5× pay multiplier applied to overtime hours, so a $20/hour rate becomes $30/hour for those hours.
How is overtime usually triggered?
Rules vary by jurisdiction and employer, but overtime is commonly triggered after 40 hours worked in a single week. Check your local labor rules for your exact threshold.
How do I find my effective hourly rate?
Divide your total gross pay for the period by the total hours worked, including overtime hours.
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