Overtime
How Overtime Pay Works in the United States
Last updated September 2026 · Workly USA editorial team
Overtime is extra pay for qualifying hours worked beyond the standard workweek. The calculation sounds simple, but the details depend on your classification, regular rate, workweek, and state law.
The federal baseline
The Fair Labor Standards Act generally requires covered, nonexempt employees to receive at least one-and-a-half times their regular rate for hours over 40 in a fixed seven-day workweek. Overtime is measured by workweek, not by the date your paycheck arrives.
For example, if your regular rate is $20 and you work 46 hours, 40 hours are paid at $20 and 6 overtime hours are paid at $30. The gross total is $980 before deductions.
Why your regular rate matters
Your regular rate can include more than your base hourly wage. Nondiscretionary bonuses, shift premiums, and some commissions may need to be included. Discretionary gifts and genuine expense reimbursements are treated differently.
Some salaried workers are exempt from overtime, but salary alone does not decide exemption. Duties, salary basis, and applicable rules all matter. Ask payroll or your state labor department when your classification is unclear.
State rules can add protection
States may require daily overtime, seventh-day premiums, meal and rest breaks, or a higher minimum wage. California, for example, has daily overtime rules that differ from the federal 40-hour framework. Verify current rules with your state labor department.
Frequently asked questions
Is overtime based on a pay period?
Usually no. Federal overtime is generally calculated for each fixed workweek, even when the paycheck covers two weeks.
Do weekends automatically count as overtime?
No. Saturday and Sunday are not automatically overtime days. The total qualifying hours in your employer's workweek and state rules control.
Can an employer average two weeks?
Not for ordinary FLSA overtime. A 50-hour week and a 30-hour week generally still includes 10 overtime hours in the first week.
Put this into practice
Use our free browser-based calculator to explore your own numbers. Results are estimates for planning.
Open the Overtime Calculator →This article is general educational information for American workers, not tax, legal, payroll, or financial advice. Rules vary by state and employer. Verify current requirements with your state labor department or a qualified professional.