Overtime Pay
Calculate overtime earnings beyond standard weekly hours.
The tool calculates hours above 45 as 50% premium overtime, and for contracts below 45 hours, the portion up to 45 hours as 25% premium extra time.
It also estimates the net payroll impact and employer cost of overtime for the selected payroll month.
For 2022 and later, minimum living allowance is not used, so family status and children are only used for historical AGI scenarios.
How is overtime calculated?
Work above 45 hours per week counts as overtime and is paid at 50% above the normal hourly wage. If the contract weekly hours are below 45, the portion above the contract up to 45 hours counts as extra-time work and is paid at 25% above the normal hourly wage. Durations below half an hour are rounded to half an hour, and durations above half an hour are rounded to a full hour.
Scope and assumptions
The tool calculates both gross overtime and the estimated net impact for the selected payroll month. Net results assume the same wage continues from the employment start month until the payroll month; bonuses, premiums, meal/transport benefits and company-specific payroll rules are not included. For contracts below 45 hours, the hourly wage divisor is estimated using the paid weekly rest approach seen in labor inspection examples, so workplace practice may differ.