How the time card is calculated
Regular = the first 40 hours of the week
Overtime = hours over 40
Gross pay = regular × rate + overtime × rate × 1.5
All the math is done in whole minutes, so totals don't drift from rounding. Hours are shown as hours:minutes and as decimals.
Worked example
Monday to Friday, 9:00 AM to 5:30 PM with a 30-minute unpaid lunch, is 8 hours a day and 40 hours a week. At $20 an hour that's $800.00.
Add a Saturday from 8:00 AM to 1:00 PM and the week is 45 hours: 40 regular hours (40 × $20 = $800) plus 5 overtime hours at $30 (5 × $30 = $150), for $950.00.
Federal overtime in short
- The Fair Labor Standards Act (FLSA) requires time and a half for hours over 40 in a workweek, for non-exempt employees.
- A workweek is any fixed, repeating 7-day period your employer sets. It doesn't have to start on Monday.
- Hours aren't averaged across weeks: 30 hours one week and 50 the next still means 10 overtime hours.
Limitations
- State daily overtime isn't included. California, for example, also requires overtime for hours over 8 in a day and double time over 12, plus rules for the seventh day in a row. Alaska and Nevada have daily rules too.
- Exempt employees (many salaried roles) don't get overtime under the FLSA.
- Gross pay is before taxes and deductions. Bonuses and shift differentials can change the overtime rate, because they're part of the "regular rate".
- Rounding. Some employers round punches to the nearest 5, 6 or 15 minutes. This calculator uses the exact minutes you enter.
Sources
- U.S. Department of Labor: Overtime pay (FLSA: time and a half over 40 hours a week)
- U.S. Department of Labor Fact Sheet #22: Hours worked (which breaks count as work time)
- 29 CFR § 785.48 (rounding time clock punches)
- California Labor Commissioner: Overtime FAQ (daily overtime rules)