How to calculate overtime in California
In California, overtime calculations take into consideration both daily and weekly hours worked by an employee. Generally 40 hours is the maximum number of hours an organization can ask their hourly employees to work per week. Hourly employees who work more maybe entitled to overtime and doubletime pay.
Overtime rules
As per California Overtime Law for Hourly non-exempt employees, the employer must pay 1.5 times their regular rate of pay for:
- Hours worked over 8 in a workday
- More than 40 hours worked in a workweek
- For the first eight hours worked on the seventh workday of the week.
Double overtime (doubletime) rules
Double-time working hours refer to situations where the employer is required to pay double the regular pay rate of their employees.
- If an employee has worked for more than 12 hours in a single work day
- If an employee has been working for more than 8 hours on their seventh consecutive day
Calculations of overtime and doubletime
To demonstrate with a few examples, if an employee is earning $20 per hour as regular hourly rateThe overtime pay would be $30 per hour (calculated as $10 x 1.5). The double overtime would be $40 per hour (calculated as $10 x 2).
Example 1:
The employee worked 5 days a week and absent for few hours on Tuesday and worked longer on Thursday. On Thursday the employee worked more than 8 hours a day, hence 8 hours will be classified as regular hours and 4 hours as overtime at 1.5 times the regular rate of pay.
| Hours worked | Regular hours | Overtime hours | Doubletime hours | |
| Mon | 8 | 8 | ||
| Tue | 4 | 4 | ||
| Wed | 8 | 8 | ||
| Thurs | 12 | 8 | 4 | |
| Fri | 8 | 8 | ||
| Sat | ||||
| Sun |
Example 2:
The employee worked 8 hours a day, 7 days a week with the total of 56 hours. As the employee worked more than 40 hours a week (Total hours – 40 hours = 16 hours), hence 16 hours will be classified as Overtime hours at 1.5 the regular rate of pay.
| Hours worked | Regular hours | Overtime hours | Doubletime hours | |
| Mon | 8 | 8 | ||
| Tue | 8 | 8 | ||
| Wed | 8 | 8 | ||
| Thurs | 8 | 8 | ||
| Fri | 8 | 8 | ||
| Sat | 8 | 8 | ||
| Sun | 8 | 8 |
Example 3:
The employee worked 5 days a week and worked longer on Thursday. The employee worked 14 hours a day, hence 8 hours will be classified as regular hours and 4 hours as overtime at 1.5 times the regular rate of pay and 2 hours as Double time at 2 times the regular rate of pay.
| Hours worked | Regular hours | Overtime hours | Doubletime hours | |
| Mon | 8 | 8 | ||
| Tue | 8 | 8 | ||
| Wed | 8 | 8 | ||
| Thurs | 14 | 8 | 4 | 2 |
| Fri | 8 | 8 | ||
| Sat | ||||
| Sun |
Example 4:
The employee worked 7 days a week with a total of 58 hours. As the employee worked more than 40 hours a week, first 40 hours is calculated as regular hours, 16 hours an Overtime at 1.5 time of regular rate of pay and 2 hours at double time at 2 times of regular rate of pay.
| Hours worked | Regular hours | Overtime hours | Doubletime hours | |
| Mon | 8 | 8 | ||
| Tue | 8 | 8 | ||
| Wed | 8 | 8 | ||
| Thurs | 8 | 8 | ||
| Fri | 8 | 8 | ||
| Sat | 8 | 8 | ||
| Sun | 10 | 8 | 2 |