US Overtime Pay Rules
Federal FLSA + state daily and weekly overtime.
Federal default (FLSA)
Federal Fair Labor Standards Act (FLSA): non-exempt employees earn 1.5× regular rate for hours worked over 40 in a workweek.
States with extra overtime protections
- California
1.5× over 8 hrs/day OR 40 hrs/week. 2× over 12 hrs/day. 7th consecutive day: 1.5× first 8 hrs, then 2×.
- Alaska
1.5× over 8 hrs/day OR 40 hrs/week (whichever results in more hours).
- Nevada
1.5× over 8 hrs/day if employee earns <1.5× minimum wage, or over 40 hrs/week.
- Colorado
1.5× over 12 hrs/day, 40 hrs/week, or 12 consecutive hours regardless of start/end of day.
- Oregon
FLSA standard 1.5× over 40 hrs/week. Manufacturing has 10 hrs/day rule.
How US overtime pay works
The federal baseline comes from the Fair Labor Standards Act (FLSA): a non-exempt employee must earn 1.5 times their regular rate of pay for every hour worked beyond 40 in a workweek. The workweek is a fixed, recurring 168-hour period, so overtime is measured week by week - hours do not average across two weeks even on a biweekly paycheck.
Not everyone is covered. The FLSA carves out exempt categories - most often the executive, administrative, and professional exemptions - based on how a worker is paid, the salary level set by the Department of Labor, and their actual duties rather than their title. Because the salary thresholds are revised periodically, the current figure should be read from the DOL rather than assumed.
On top of the federal weekly rule, a handful of states add daily overtime. California is the best-known example: hours over 8 in a single day are paid at 1.5×, regardless of the weekly total. When federal and state rules both apply, the stricter one wins - whichever puts more money in the employee's pocket - which is why the state pages here flag the local thresholds alongside the federal default.
Overtime FAQ
- What is the federal overtime rate?
- Under the federal Fair Labor Standards Act (FLSA), non-exempt employees must be paid at least 1.5 times their regular rate of pay for every hour worked over 40 in a single workweek. The regular rate includes most forms of compensation, not just the base hourly wage, so commissions and certain bonuses can raise the rate used to calculate overtime.
- Who is exempt from overtime?
- The FLSA exempts certain workers - most commonly the executive, administrative, and professional ("white-collar") categories - from overtime. Exemption depends on how an employee is paid, the salary level, and the actual job duties, not the job title. Salary thresholds are set by the US Department of Labor and change over time, so check the current DOL figures rather than relying on an old number.
- Do all states require daily overtime?
- No. Most states follow only the federal weekly standard (over 40 hours). A minority add daily overtime: California, for example, requires 1.5× for hours over 8 in a day (and double time past 12), and Alaska, Nevada, Colorado, and Oregon have their own daily rules in specific circumstances. Where there is no state rule, the federal weekly standard applies.
- Does federal or state overtime law apply?
- When federal and state overtime laws both cover a worker, the stricter standard applies - the one that results in more pay to the employee. So a California worker who tops 8 hours in a day earns daily overtime under state law even though federal law alone would not require it until 40 hours in the week.
- How is overtime calculated for salaried non-exempt employees?
- Being paid a salary does not by itself make an employee exempt. A salaried non-exempt worker still earns overtime; the salary is converted to an equivalent regular hourly rate, and hours over the federal (or stricter state) threshold are paid at 1.5× that rate. Confirm classification with your state labor department.
Full data sources and formulas: /sources.
Not legal advice. Overtime rules apply to non-exempt employees only. Exempt (salaried professional, executive, etc.) status depends on duties, salary level (FLSA 2024+ tests), and state-specific tests. Check with your state labor department or an employment attorney for your specific situation.
Sources
Last reviewed: · Reviewed by R. Bennett, Editor · editorial policy