Overtime Pay Calculator 2025

Calculate overtime pay and tax implications with our comprehensive tool. Get accurate estimates for time-and-a-half, double-time, and annual overtime earnings including federal and state tax withholding.

Calculate Your Overtime Pay

💼 Basic Information

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⏰ Overtime Rules

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⚖️ Federal Overtime Laws

Under the Fair Labor Standards Act (FLSA), non-exempt employees must receive overtime pay at 1.5 times their regular rate for hours worked over 40 in a workweek.

  • Overtime applies to hours over 40 per week
  • Rate is 1.5x regular hourly rate
  • Applies to non-exempt employees only
  • Some states have daily overtime requirements

💼 Exempt vs Non-Exempt

Not all employees qualify for overtime pay. Understanding your classification is crucial for calculating overtime entitlement.

  • Exempt: Salaried, executive, professional, administrative
  • Must earn over $684/week ($35,568/year) in 2025
  • Non-exempt: Most hourly workers
  • Some salaried employees are non-exempt

🗺️ State-Specific Rules

Many states have overtime laws that exceed federal requirements, providing additional protections for workers.

  • California: Daily overtime after 8 hours
  • Alaska: Daily overtime after 8 hours
  • Nevada: Daily overtime after 8 hours
  • Some states have higher salary thresholds

💰 Tax Implications

Overtime pay is subject to the same tax rates as regular wages, but higher total earnings may affect your tax bracket.

  • Subject to federal income tax withholding
  • Social Security and Medicare taxes apply
  • State income tax withholding applies
  • Higher earnings may increase withholding rates

Frequently Asked Questions

How is overtime pay calculated in 2025?
Overtime pay is calculated at time-and-a-half (1.5x) your regular hourly rate for hours worked over 40 in a workweek. For example, if you earn $20/hour and work 50 hours, you'd receive $20 x 40 regular hours = $800, plus $30 x 10 overtime hours = $300, for a total of $1,100 gross pay.
Are overtime wages taxed differently?
No, overtime wages are taxed at the same rates as regular wages. However, higher total earnings may push you into higher tax brackets or increase your withholding rate, resulting in more tax being withheld from your paycheck.
What is the federal overtime rate for 2025?
The federal overtime rate is 1.5 times your regular hourly rate for all hours worked over 40 in a workweek. This applies to non-exempt employees under the Fair Labor Standards Act (FLSA).
Do all employees qualify for overtime pay?
No, exempt employees are not entitled to overtime pay. In 2025, employees must earn less than $684 per week ($35,568 annually) and perform non-exempt duties to qualify for overtime. Executive, administrative, and professional employees earning above this threshold are typically exempt.

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