At what rate must overtime be paid?

overtime paid rate
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At what rate must overtime be paid?

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Overtime must be paid at time and one-half the “regular hourly rate” for every hour over an employee works over 40 hours (or the applicable threshold) in a workweek. (For employees whose normal pay is not an “hourly” rate, their regular rate requires converting pay to an hourly equivalent.) Longevity pay, shift differentials, and similar nondiscretionary additional wages should generally be included in calculating the FLSA overtime rate.

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A. Overtime must be paid at time and one-half the regular rate for every hour an employee works over 40 hours in a workweek.

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Overtime must be paid at time and one-half the “regular hourly rate” for every hour an employee works over 40 hours (or the applicable threshold) in a workweek. (For employees whose normal pay is not an “hourly” rate, their regular rate requires converting pay to an hourly equivalent.) Longevity pay, shift differentials, and similar nondiscretionary additional wages should generally be included in calculating the FLSA overtime rate.

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