Do bonuses or commissions change my overtime rate?

Yes—employers must include non-discretionary bonuses/commissions (tied to performance, production, attendance, etc.) in your “regular rate.” Typically, they allocate the bonus across the workweeks it covers, add it to straight-time earnings, and divide by total hours worked to get an adjusted regular rate; then they recalculate your OT premium (0.5x) on that higher rate.

I worked two different hourly rates this week. How is OT calculated?

Most employers must use a weighted-average regular rate. Add all earnings for the week, divide by total hours worked to get the blended regular rate, then pay overtime at 1.5× that blended rate (or add a 0.5× premium if the straight time for OT hours is already paid at each base rate).

I’m salaried but not exempt—do I still get overtime?

If you’re salaried non-exempt, you’re still entitled to OT. Convert your weekly salary to an hourly regular rate (usually salary ÷ 40). Pay straight time for all hours (your salary may already cover the first 40), then add the 0.5× premium for each hour over 40 (or daily OT if your state requires it).

Do shift differentials or hazard pay affect overtime?

Yes. Shift/role differentials, on-call stipends, and other nondiscretionary add-ons are part of the regular rate. Including them typically raises the OT rate, so make sure those amounts appear on your stub and in the regular-rate math.

Do holidays, PTO, or sick pay count toward the 40 hours for OT?

Generally no—OT is based on hours actually worked, not paid time off. Some employers offer holiday premium pay by policy or union contract, but that’s separate from statutory overtime rules.

My pay period spans two weeks. Is OT still weekly?

Yes. Overtime is usually determined per workweek (a fixed 7-day period), even if your paycheck covers two weeks. Hours shouldn’t be averaged; each week’s OT is calculated separately. Daily OT (in states like CA) is still based on each calendar day within that week.

Can my employer give “comp time” instead of paying overtime?

In the private sector, compensatory time off generally cannot replace required OT pay under federal law. Limited comp-time systems may exist for public-sector employees, and some states have specific rules. Check your state law and employer policy.

How to Calculate Overtime Pay Using Your Paystub

Last updated October 23, 2025

If you’re an hourly employee and work more than 40 hours in a week, you may qualify for overtime pay. Fortunately, your paystub provides all the information you need to calculate it yourself. Here’s how to do it step-by-step.

Table of Contents

1) Locate Regular and Overtime Hours

Start by identifying two things on your paystub:

Regular hours worked – typically listed as “Regular Hours” or “Base Hours.”
Overtime hours worked – often labeled “OT Hours,” “Overtime,” or something similar.

If overtime hours are missing or incorrect, reach out to your employer immediately.

2) Find Your Regular Pay Rate

Next, look for your hourly rate of pay—it usually appears alongside your regular hours. For example:

Regular Pay Rate: $20.00/hour

3) Identify the Overtime Rate

Employers typically pay overtime at 1.5 times your regular rate (also called “time and a half”), unless your state or employment agreement specifies otherwise.

Example: If your regular rate is $20.00/hour, your overtime rate would be:

$20.00 × 1.5 = $30.00/hour

Some paystubs display this in two ways:

Single Line: One amount showing OT hours × 1.5x rate.
Split Lines: One line for OT hours at regular rate (1.0x), and a second line showing the overtime premium (0.5x).

Example: 5 hours at $20 = $100 (regular rate) + $50 (premium) = $150 total overtime.

4) Calculate Your Total Overtime Pay

Now do the math:

Overtime Pay = Overtime Hours × Overtime Rate

Example: 6 OT hours × $30/hour = $180 in overtime pay

5) Verify in Gross Pay Section

Your gross pay includes both regular and overtime earnings (before taxes or deductions). Cross-check this total to make sure it reflects the calculated overtime amount.

Quick Tips:

Double-check your paystub every period for accurate hours and rates.

Discrepancies? Contact your payroll department right away.

Not seeing OT listed? Your employer may be violating labor laws—most jurisdictions require clear breakdowns on pay stubs.

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FAQs

Do bonuses or commissions change my overtime rate?
Yes—employers must include non-discretionary bonuses/commissions (tied to performance, production, attendance, etc.) in your “regular rate.” Typically, they allocate the bonus across the workweeks it covers, add it to straight-time earnings, and divide by total hours worked to get an adjusted regular rate; then they recalculate your OT premium (0.5x) on that higher rate.
I worked two different hourly rates this week. How is OT calculated?
Most employers must use a weighted-average regular rate. Add all earnings for the week, divide by total hours worked to get the blended regular rate, then pay overtime at 1.5× that blended rate (or add a 0.5× premium if the straight time for OT hours is already paid at each base rate).
I’m salaried but not exempt—do I still get overtime?
If you’re salaried non-exempt, you’re still entitled to OT. Convert your weekly salary to an hourly regular rate (usually salary ÷ 40). Pay straight time for all hours (your salary may already cover the first 40), then add the 0.5× premium for each hour over 40 (or daily OT if your state requires it).
Do shift differentials or hazard pay affect overtime?
Yes. Shift/role differentials, on-call stipends, and other nondiscretionary add-ons are part of the regular rate. Including them typically raises the OT rate, so make sure those amounts appear on your stub and in the regular-rate math.
Do holidays, PTO, or sick pay count toward the 40 hours for OT?
Generally no—OT is based on hours actually worked, not paid time off. Some employers offer holiday premium pay by policy or union contract, but that’s separate from statutory overtime rules.
My pay period spans two weeks. Is OT still weekly?
Yes. Overtime is usually determined per workweek (a fixed 7-day period), even if your paycheck covers two weeks. Hours shouldn’t be averaged; each week’s OT is calculated separately. Daily OT (in states like CA) is still based on each calendar day within that week.
Can my employer give “comp time” instead of paying overtime?
In the private sector, compensatory time off generally cannot replace required OT pay under federal law. Limited comp-time systems may exist for public-sector employees, and some states have specific rules. Check your state law and employer policy.