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Why is the calculation of the Premium Portion of Overtime pay not simply 1 times the Straight Time rate?

April 26, 2017calculation overtime pay portion Premium straight time times

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Why is the calculation of the Premium Portion of Overtime pay not simply 1 times the Straight Time rate?

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State laws differ in their treatment of the Premium Portion of Overtime and Double Time pay. In most states, the Premium Portion in not included in the base used to calculate Workers’ Compensation insurance premiums. Most states but not all. Your calculation of Labor Billing rates should be correct. With BILLINGXTRAS they will be.