OvertimeIQ

Salaried Overtime Calculator

Instantly convert your fixed salary into an hourly rate to estimate your time and a half premium pay for hours worked over 40.

A salary alone does not automatically make an employee exempt from overtime. Exemption usually depends on salary basis, salary level, and job duties. This calculator estimates overtime for salaried non-exempt employees and is not a legal classification tool.
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Estimated annual salary: $46,800. DOL's current standard salary level for the federal executive, administrative, and professional exemption is $684/week ($35,568/year), but passing the salary level alone does not prove exemption.

Estimated salaried overtime

Weekly salary:
$900.00
Regular rate:
$22.50/hr
Overtime pay:
$168.75
Bonus/commission included:
$0.00
Total gross pay:
$1068.75
Calculation mode:
1.5x OT

Calculation breakdown

Includable weekly pay: weekly salary + bonus/commission = $900.00
Regular rate: $900.00 / 40 hrs = $22.50/hr
Overtime pay: $22.50 × 1.5 × 5 hrs = $168.75
Total gross pay: $900.00 + $168.75 = $1,068.75

Salary covers the first 40 hours, so this estimates full 1.5x overtime pay for overtime hours.

Estimates only; not legal, tax, or payroll advice. Confirm final pay obligations with the official agency guidance or a qualified advisor.

Are salaried employees entitled to overtime?

Yes. Being paid a "salary" does not automatically mean you are exempt from overtime pay under the Fair Labor Standards Act (FLSA).

To be exempt from overtime, an employee must meet all three of the following tests:

  1. Salary Basis Test: You must be paid a predetermined, fixed salary that is not subject to reduction based on quality or quantity of work.
  2. Salary Level Test: You must earn at least the federal threshold (which DOL currently lists as $684/week ($35,568/year) for the standard EAP exemption).
  3. Duties Test: Your primary job duties must involve high-level executive, administrative, or professional tasks.

Salary overtime formula

Mode A: regular hourly rate = weekly salary / 40

Mode A: overtime pay = regular hourly rate \u00d7 1.5 \u00d7 overtime hours

Mode B: regular rate = weekly salary / total hours worked

Mode B: premium = regular rate \u00d7 0.5 \u00d7 overtime hours

If salary plus bonus or commission affects the regular rate, compare your result with the regular rate of pay calculator.

FAQs

Can salaried employees get overtime?

Yes. A salary alone does not automatically make an employee exempt from overtime.

What is the federal salary threshold?

DOL lists the current standard salary level for the EAP exemption as $684/week ($35,568/year).

Why are there two salary overtime formulas?

Some salary agreements cover only the first 40 hours, while others cover straight time for all hours worked. The overtime premium depends on that structure.

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Source review

Rule last reviewed: June 22, 2026Page last updated: July 8, 2026

Disclaimer and review policy

Estimates only; not legal, tax, or payroll advice. Confirm final pay obligations with the official agency guidance or a qualified advisor.