Under federal law, overtime is owed only for hours over 40 in a workweek. Several states go further and also require overtime for long days. To calculate pay correctly, apply the daily rule first, count the remaining regular hours toward the weekly 40, then pay whichever result is higher for the employee. In California, for example, a $24-an-hour employee who works 10, 9, 13, 8, 8 and 6 hours in a week earns $1,476 with daily overtime and double time, versus $1,464 under the federal weekly rule alone.
Federal baseline vs. state rules
The Fair Labor Standards Act (FLSA), enforced by the Department of Labor’s Wage and Hour Division, requires 1.5 times the regular rate for hours over 40 in a workweek. It sets no daily limit and no double time. States can add protections, and when they do, the more generous rule wins.
| Jurisdiction | Daily overtime (1.5×) | Double time (2×) | Weekly overtime |
|---|---|---|---|
| Federal (FLSA) | None | None | Over 40 |
| California | Over 8 hours in a workday | Over 12 hours in a workday; over 8 on the 7th consecutive day | Over 40 regular hours |
| Alaska | Over 8 hours (employers with 4+ employees) | None | Over 40 |
| Colorado | Over 12 hours in a workday or 12 consecutive hours | None | Over 40 |
| Nevada | Over 8 hours in a 24-hour period, for employees earning under 1.5× the state minimum wage | None | Over 40 |
| Puerto Rico | Over 8 hours in a day | None | Over 40 |
Most other states follow the 40-hour weekly rule. A few set weekly thresholds for employers the FLSA does not cover, such as 46 hours in Kansas and 48 in Minnesota, but those rarely apply because most employers are FLSA-covered. Rules have exemptions and exceptions by industry, so check your state labor department for your job.
The calculation method
where R is the regular rate of pay. For state daily rules, sort each day’s hours into buckets first:
- Each day: split hours into regular (up to the daily threshold), overtime and double time.
- The week: add up the regular hours in day order. Any regular hours beyond 40 become weekly overtime.
- Seventh day (California): if all seven days were worked, the 7th day’s first 8 hours are overtime and the rest double time.
- Compare: compute pay under the FLSA weekly rule as well, and pay the larger result. With California’s rules, the state result is never lower.
Worked example: a California week
A non-exempt employee earns $24 an hour (overtime $36, double time $48) and works six days:
| Day | Hours | Regular | Overtime (1.5×) | Double time (2×) |
|---|---|---|---|---|
| Mon | 10 | 8 | 2 | 0 |
| Tue | 9 | 8 | 1 | 0 |
| Wed | 13 | 8 | 4 | 1 |
| Thu | 8 | 8 | 0 | 0 |
| Fri | 8 | 8 | 0 | 0 |
| Sat | 6 | 0 | 6 | 0 |
| Total | 54 | 40 | 13 | 1 |
Saturday’s 6 hours are under 8 for the day, but by Friday the employee already had 40 regular hours, so all of Saturday is weekly overtime.
- Regular: 40 × $24 = $960
- Overtime: 13 × $36 = $468
- Double time: 1 × $48 = $48
- Total: $1,476
Under the FLSA alone: 40 × $24 + 14 × $36 = $1,464. The California result is $12 higher because the 13th hour on Wednesday is double time. The overtime calculator applies the federal, daily-8 or California rules to a whole week.
Adding a seventh day
If the same employee also works 9 hours on Sunday, completing seven consecutive days in the workweek, the first 8 Sunday hours are overtime and the 9th is double time: 8 × $36 + 1 × $48 = $336 more, for a weekly total of $1,812.
Example: a 4-day, 10-hour schedule
Four 10-hour shifts total exactly 40 hours. At $24 an hour:
| Rule | Overtime hours | Weekly pay |
|---|---|---|
| FLSA (weekly 40) | 0 | $960 |
| Colorado (12-hour day) | 0 | $960 |
| California (8-hour day, no alternative workweek) | 8 | $1,056 |
| Alaska (8-hour day, no flexible work hour plan) | 8 | $1,056 |
In California, employees can vote by secret ballot for an alternative workweek schedule that allows up to 10 hours a day at straight time; Alaska allows a similar flexible work hour plan filed with the state. Nevada permits 4×10 schedules by mutual agreement. Without those arrangements, daily overtime applies.
Example: Colorado’s 12-hour rule
A Colorado nurse’s aide works three shifts of 13 hours (39 hours total) at $22 an hour. Federal law owes no overtime, but each shift has 1 hour over 12, so 3 hours are paid at $33: 36 × $22 + 3 × $33 = $891, versus $858 at straight time.
Regular rate: more than the hourly wage
Overtime multiplies the regular rate, which under 29 CFR Part 778 includes nondiscretionary bonuses, shift differentials and commissions earned in the workweek, divided by all hours worked. A $50 attendance bonus in a 50-hour week raises the regular rate by $1.00 and each overtime hour by $1.50. See how to calculate shift differential pay and the FLSA overtime rules explained for how bonuses fold in.
Common mistakes
- Averaging across two weeks. Each workweek stands alone; 30 hours one week and 50 the next owes 10 overtime hours.
- Counting daily OT twice. Daily overtime hours do not also count toward the weekly 40.
- Using pay period instead of workweek. A semimonthly payroll still has to test each seven-day workweek.
- Ignoring rounding rules. Time clock rounding must be neutral over time; see time clock rounding rules.
- Assuming salaried means exempt. State salary thresholds for exemption are often higher than the federal $684 a week; in California, exempt employees must earn at least twice the state minimum wage for full-time work.
Tracking hours to get this right
Daily rules depend on accurate start and end times for every shift, including shifts that cross midnight; the guide on calculating hours worked overnight covers that. A time card calculator can total a week’s punches, and the payroll calculator carries the gross pay through taxes.
This guide summarizes common state overtime rules for general information. It is not legal advice; exemptions, industry wage orders and local rules vary. Confirm with your state labor department or the U.S. Department of Labor's Wage and Hour Division.
Frequently asked questions
Which states require daily overtime?
California (over 8 hours, double time over 12), Alaska (over 8 hours for employers with 4 or more employees), Colorado (over 12 hours in a workday or 12 consecutive hours) and Nevada (over 8 hours in a 24-hour period for employees earning less than 1.5 times the state minimum wage). Puerto Rico also has a daily 8-hour rule.
Do daily overtime hours also count toward the 40-hour weekly limit?
Not twice. In California, hours already paid as daily overtime are not counted again toward the 40 regular hours for the week, so the same hour is never paid at a premium twice. The weekly test applies to regular, non-overtime hours.
If state and federal rules differ, which one applies?
Whichever gives the employee more. The Fair Labor Standards Act sets a floor, and 29 U.S.C. § 218 preserves state laws that are more protective. Employers must calculate both ways and pay the higher amount.
Does a 4-day, 10-hour schedule create overtime?
Not under federal law, because the week totals 40 hours. In California and Alaska it can create 2 hours of daily overtime per shift unless the employer has adopted a qualifying alternative workweek or flexible work hour plan. Colorado's 12-hour daily threshold is not triggered.
What is the California seventh-day rule?
If an employee works all seven days of a workweek, the first 8 hours on the seventh day are paid at 1.5 times the regular rate and any hours beyond 8 that day at double time.