Overtime Pay Calculator: How to Determine What You're Owed

Have you ever wondered whether you're being fairly compensated for your hard work, especially when you're clocking in extra hours? 

Every year, millions of American workers miss out on the overtime pay they’re legally entitled to, simply because they don’t understand the rules or how to calculate what they’re owed.

At Morgan & Morgan, we believe that hard work deserves honest pay. That’s why we’ve created this comprehensive guide to help you understand overtime pay laws, how to calculate your earnings, and what to do if your employer isn’t paying you what you're due.

If you find out you’re missing compensation you’re rightfully owed, contact us today for a free case evaluation to learn more about your legal options and how to fight to get what you deserve.

What Is Overtime Pay?

Overtime pay is the additional compensation non-exempt employees are legally entitled to receive when they work more than 40 hours in a workweek. Under the Fair Labor Standards Act (FLSA), the standard overtime pay rate is 1.5 times your regular hourly rate.

For example:

• If you earn $20/hour and work 45 hours in a week,
• You’d be owed 5 hours at time-and-a-half ($30/hour),
• Meaning $150 in overtime pay in addition to your regular $800 for the first 40 hours.
   

It’s straightforward. At least, it should be.

Who Is Eligible for Overtime Pay?

Not all workers qualify for overtime. The FLSA divides employees into two primary categories:

Non-Exempt Employees

These workers are eligible for overtime pay. They are typically hourly workers, but in some cases, salaried workers earning below a certain threshold can also qualify.

Exempt Employees

These workers are not entitled to overtime. Exemptions are typically granted to:

• Executive, administrative, and professional employees (often salaried),
• Outside sales employees,
• Certain computer-related occupations.

However, just because you’re salaried or your employer labels you as “exempt” doesn’t mean you actually are. Misclassification is a common problem, and it could be costing you money.

How to Use an Overtime Pay Calculator

An overtime pay calculator is a simple tool to estimate how much extra money you should be getting for working more than 40 hours a week.

Here’s a step-by-step breakdown of how to use one:

Step 1: Determine Your Regular Rate

For hourly workers, this is your hourly wage. If you make $18/hour, that’s your regular rate.

For salaried workers, divide your weekly salary by 40 hours. For example:

$1,000/week salary ÷ 40 = $25/hour regular rate

 

Step 2: Count Your Overtime Hours

Only count the number of hours worked over 40 in a week. If you worked 47 hours, your overtime hours are 7.

Step 3: Multiply Overtime Hours by 1.5 Times the Regular Rate

If your regular rate is $20/hour:

Overtime rate = $20 × 1.5 = $30/hour

7 overtime hours = 7 × $30 = $210 in overtime pay

 

Step 4: Add to Your Base Pay

If your base pay for 40 hours is $800 and your overtime is $210, your total weekly earnings should be $1,010.

Common Mistakes That Can Affect Overtime Pay

Many employees are shortchanged on overtime pay because of the following:

Misclassification

Employers may wrongly classify workers as “exempt” to avoid paying overtime. If you’re salaried and still perform non-exempt duties (like manual labor, data entry, customer service), you may still be entitled to overtime.

Off-the-Clock Work

You deserve to be paid for every hour you work. If your employer asks you to check emails after hours, attend pre-shift meetings, or finish tasks "off the clock," those hours may count toward overtime.

Averaging Hours Across Weeks

Overtime is calculated weekly, not biweekly or monthly. If you work 60 hours one week and 20 the next, you still should be paid 20 hours of overtime for the 60-hour week.

Bonus and Commission Miscalculations

If you earn nondiscretionary bonuses or commissions, your regular rate (and therefore your overtime rate) should include those amounts. Failing to do so results in underpaid overtime.

Salaried Employees and Overtime: What You Need to Know

Many salaried workers are surprised to learn they’re entitled to overtime pay. Here’s what matters.

If you earn less than $684/week (as of 2024), you’re likely eligible for overtime, even if you're salaried.

Job duties also matter. Your title alone (like “manager”) doesn’t automatically make you exempt.

If you suspect your employer has misclassified your role, you may be entitled to back pay for unpaid overtime, and in some cases, double that amount in damages.

State-Specific Overtime Laws

While the FLSA sets the federal minimum for overtime, many states have their own rules that offer even greater protection. For example, California requires time-and-a-half after 8 hours in a day and double time after 12. New York also has specific rules based on industry and region.

If your state law provides more generous terms than the federal law, your employer must follow the stricter standard.

What to Do if You're Not Being Paid Fairly

If you suspect that you're not receiving the overtime pay you’re entitled to, don’t ignore it. Here’s what you can do:

1. Document Everything

Start tracking your hours, pay stubs, and job duties. Keep a personal record of:

• Clock-in and clock-out times
• Overtime hours worked
• Pay received
  
   

2. Talk to Your Employer

Sometimes a payroll error is just that—an error. Raise the issue with your HR department or supervisor.

3. Contact Morgan & Morgan

If your employer won’t make it right or if you're being retaliated against for speaking up, you may have a case, and a lawyer can help.

How Morgan & Morgan Can Help

At Morgan & Morgan, we’ve fought and won millions of dollars in unpaid wage and overtime lawsuits. We’re here to help if:

• You’ve been misclassified as exempt,
• You’re not being paid for all hours worked,
• Your overtime rate is being undercalculated,
• You’re facing retaliation for speaking up.

We understand that challenging your employer can feel intimidating. But with us, you’re not alone. Our employment law team knows how to build a strong case, secure the compensation you’re owed, and stand up for your rights.

Worried about the cost of a lawyer? We work on a contingency basis, and that means you don’t pay us unless we win. That’s right. The Fee Is Free®, and you don’t need to pay a dime to get started.

If your employer violates overtime laws, you can file a lawsuit and may be entitled to back pay, liquidated damages (often double your unpaid wages), and attorney’s fees. Under federal law, you can generally go back 2 years' worth of pay, or 3 years if the violation was “willful.”

Overtime laws exist for a reason: to protect workers from being overworked and underpaid. Unfortunately, many employers bend or break those rules. Whether it's due to misclassification, underreporting hours, or simply refusing to pay time-and-a-half, wage theft is illegal.

If you suspect something’s wrong with your paycheck, trust your instincts and trust the legal team that fights For the People.

At Morgan & Morgan, we’ve helped thousands of workers recover millions in unpaid wages. We may be able to help you, too.

Contact us today for a free, confidential case evaluation and take the first step toward getting what you’ve earned.