How is overtime pay calculated in 2026?

Under the Federal Fair Labor Standards Act (FLSA), non-exempt employees earn 1.5× their regular rate for every hour worked over 40 in a workweek. If you make $20/hour and work 50 hours, your overtime rate is $30/hour × 10 overtime hours = $300 in overtime pay, on top of $800 in regular pay. Total: $1,100 for the week gross.

What is double-time pay?

Double-time is 2× the regular hourly rate. It is not required by federal law but is common under union contracts and California state law. In California, double-time applies to hours worked beyond 12 in a single day and beyond 8 on the seventh consecutive day of a workweek.

Is overtime taxed at a higher rate?

No — overtime is taxed at your normal marginal rate, but it can push you temporarily into a higher tax bracket for that paycheck, so employers withhold more. The higher withholding evens out at year-end tax filing. FICA (Social Security 6.2% + Medicare 1.45%) is applied the same way as regular pay.

Who is eligible for overtime pay?

Most hourly (non-exempt) workers are eligible under the FLSA. Exempt workers — typically salaried employees in executive, administrative, professional, computer, or outside-sales roles earning above the federal salary threshold — are not entitled to overtime. Some states set higher salary thresholds than federal.

Does overtime apply to salaried employees?

Only if the salaried role is classified as non-exempt under the FLSA. Non-exempt salaried workers earn overtime at 1.5× their equivalent hourly rate (calculated by dividing weekly salary by hours worked). Exempt salaried workers do not receive overtime regardless of hours.

What is time-and-a-half at $15, $20, and $25 per hour?

At $15/hour, time-and-a-half is $22.50/hour. At $20/hour, it is $30/hour. At $25/hour, it is $37.50/hour. Use the calculator above with your own rate and hours to see gross and after-tax overtime pay for your paycheck.

Overtime Pay Calculator (2026)

Updated for 2026 tax rates Based on official IRS data Estimates for all 50 states + DC No signup required

Tax data last reviewed: August 16, 2026 · Maintained by The Snap Pay Team against IRS and state agency sources

The Overtime Pay Calculator figures your time-and-a-half and double-time earnings under the FLSA. Enter your hourly rate and hours below to see gross overtime pay and estimated take-home.

• Time-and-a-half: 1.5× regular rate for hours over 40/week
• Double-time: 2× regular rate (CA + union rules)
• Taxed at normal marginal rate, not higher

Hourly rate ($)

Regular hours

Overtime hours (1.5×)

Double-time hours (2×)

State

Filing status

Regular pay

$800.00

40h × $20.00

Overtime pay (1.5×)

$300.00

10h × $30.00

Double-time pay (2×)

$0.00

0h × $40.00

Gross pay this week

$1,100.00

Estimated take-home

$925.77

After federal withholding (IRS Pub 15-T), state tax and FICA — ≈15.8% of gross

FLSA overtime rules in plain English

The Fair Labor Standards Act requires non-exempt employees to receive at least 1.5× their regular rate for hours worked over 40 in a single workweek. A workweek is any fixed 168-hour period — it does not have to be Monday–Sunday. Averaging across two weeks is not allowed: 44 hours one week and 36 the next still triggers 4 hours of overtime.

States with extra overtime rules

State	Rule
California	1.5× over 8h/day, 2× over 12h/day; 2× on 7th consecutive day
Alaska	1.5× over 8h/day or 40h/week
Nevada	1.5× over 8h/day for workers earning under 1.5× state minimum wage
Colorado	1.5× over 12h/day, 12 consecutive hours, or 40h/week (whichever is greater)
All other states	Federal FLSA only — 1.5× over 40h/week

Overtime and taxes

Overtime is not taxed at a special higher rate. Because a heavier paycheck can bump you into higher federal withholding tables for that period, more tax comes out on payday — but the total for the year is reconciled when you file. If you consistently work overtime, adjust your W-4 withholding rather than losing the interest on that money.

Frequently Asked Questions

Sources & verification

All 2026 rates, brackets, and thresholds on this page come from the primary sources below. Snappaycalc's tax data team reviews these annually.

Rev. Proc. 2025-32 — 2026 inflation adjustments — Internal Revenue Service
2026 federal tax brackets and standard deduction
Publication 15-T — Federal income tax withholding methods — Internal Revenue Service
Employer withholding formulas used in this calculator
2026 Social Security wage base announcement — Social Security Administration
FICA / OASDI wage base and rates for 2026
Additional Medicare Tax — Topic no. 560 — Internal Revenue Service
0.9% surtax on wages above threshold

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Important Disclaimer

This calculator provides estimates only and should not be considered financial or tax advice. Actual amounts may vary based on your specific situation, employer policies, and current tax laws. For personalized advice, please consult a qualified tax professional or financial advisor.