AI Overtime Pay & Timesheet Calculator
Calculate 1.5x, double time, shift differentials, net take-home pay, and generate clean employer pay stubs with zero website clutter.
| Category | Hours | Rate | Total |
|---|---|---|---|
| Regular Pay | 40.0h | $25.00 | $1,000.00 |
| Overtime (1.5x) | 10.0h | $37.50 | $375.00 |
| Double Time (2.0x) | 0.0h | $50.00 | $0.00 |
| Est. Tax Withholding | 18% | -$247.50 | |
| Net In-Hand Payout | $1,127.50 | ||
Understanding Overtime Pay Regulations (FLSA vs. California)
Overtime laws are designed to ensure fair compensation when working excessive hours. While the standard United States Fair Labor Standards Act (FLSA) sets a federal baseline, certain state laws provide significantly enhanced employee protections.
Frequently Asked Questions
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| Overtime Calculator |
Overtime Calculator India: Calculate Your OT Pay at 1.5x or 2x Rate Working beyond your fixed hours should show up in your salary. The difficulty is knowing how much extra you are owed. The answer depends on your hourly rate, the overtime multiplier and the number of extra hours.
This guide explains how overtime is calculated in India, which rate usually applies, and how to use the calculator to check your payslip.
Table of Contents
- What Is an Overtime Calculator?
- How to Use the Overtime Calculator
- Overtime Formula
- Overtime Rules in India
- Overtime Rate Comparison: 1.5x vs 2x
- Worked Example
- Which Salary Components Count
- Common Overtime Mistakes
- Frequently Asked Questions
What Is an Overtime Calculator?
An overtime calculator works out the extra pay you earn for hours worked beyond your normal schedule. You enter your salary, working days, daily hours, overtime hours and rate multiplier. The tool then gives your hourly rate, overtime pay and total earnings.
It helps employees verify their payslip, helps employers prepare payroll and helps freelancers or contract workers quote extra hours fairly.
How to Use the Overtime Calculator
- Enter your monthly basic salary.
- Add your Dearness Allowance (DA), if your pay structure includes one.
- Enter the number of working days in a month. Most employers use 26.
- Enter your daily working hours, usually 8.
- Enter the total overtime hours you worked in the month.
- Select the overtime multiplier: 2x for factory and most statutory cases, or 1.5x where your employer or state rule applies it.
- Click calculate to see your hourly rate, overtime pay and total monthly earnings.
If your payslip shows a different divisor, such as 30 days or the actual days in the month, enter that instead so the result matches.
Overtime Formula
The calculation has two steps. First find the hourly rate, then multiply it by overtime hours and the multiplier.
| Step | Formula |
|---|---|
| Hourly rate | (Monthly basic + DA) ÷ (Working days × Daily hours) |
| Overtime pay | Hourly rate × Overtime hours × Multiplier |
| Total earnings | Monthly salary + Overtime pay |
For a 26-day month with 8-hour shifts, the divisor is 208 hours.
Overtime Rules in India
Overtime in India is governed by the Factories Act, 1948, state Shops and Establishments Acts, and the Code on Wages, 2019, whose principal provisions came into force on November 21, 2025.
| Rule | Detail |
|---|---|
| Normal working hours (factories) | 9 hours per day, 48 hours per week |
| Overtime rate under Factories Act | Twice the ordinary rate of wages |
| Overtime rate under Code on Wages | Not less than twice the normal rate of wages (Section 14) |
| Coverage of Code on Wages | Applies across establishments, not only factories |
| Shops and Establishments Acts | Hours and overtime rules differ by state |
The older Minimum Wages Act, 1948 has been replaced by the Code on Wages, so the double-rate principle now applies more widely than before. Factory rules also place limits on total weekly hours and overtime per quarter, and these limits can differ by state. Check your state rules or your appointment letter for exact caps.
Overtime Rate Comparison: 1.5x vs 2x
Many people search for time and a half, but statutory overtime in India is double the normal rate. A 1.5x rate may still appear in company policy, but it should not fall below what the law requires for your category of work.
| Multiplier | Commonly seen in | Pay for 1 hour at ₹125 hourly rate |
|---|---|---|
| 1.5x | Some company policies and private arrangements | ₹187.50 |
| 2x | Factories Act and Code on Wages minimum | ₹250.00 |
If you are covered by the Factories Act or the Code on Wages, 2x is the figure to use.
Worked Example
Take an employee with a basic salary plus DA of ₹26,000 per month, working 26 days at 8 hours a day, with 10 overtime hours in the month.
| Step | Calculation | Result |
|---|---|---|
| Monthly working hours | 26 × 8 | 208 hours |
| Hourly rate | ₹26,000 ÷ 208 | ₹125 |
| Overtime pay at 2x | ₹125 × 10 × 2 | ₹2,500 |
| Overtime pay at 1.5x | ₹125 × 10 × 1.5 | ₹1,875 |
| Difference | ₹2,500 − ₹1,875 | ₹625 |
At the 2x rate, the employee earns ₹625 more for the same 10 hours of work. This is why checking the multiplier matters.
Which Salary Components Count
The hourly rate depends on what is included in your wages. Under the Factories Act, the ordinary rate of wages generally includes basic pay and dearness allowance, and excludes bonus and overtime itself.
| Component | Usually included in the hourly rate? |
|---|---|
| Basic salary | Yes |
| Dearness Allowance (DA) | Yes |
| HRA, conveyance and other allowances | Depends on employer policy and the applicable law |
| Bonus | No |
| Previous overtime pay | No |
The Code on Wages also includes a rule that if allowances and other excluded items exceed 50 percent of total remuneration, the excess is treated as wages. This can raise the base used for overtime for some employees.
Common Overtime Mistakes
- Using the wrong divisor. A 30-day divisor gives a lower hourly rate than a 26-day divisor.
- Applying 1.5x when the legal minimum for your work is 2x.
- Leaving out DA from the hourly rate calculation.
- Counting only full hours and ignoring part-hours your employer agreed to pay for.
- Forgetting that overtime pay is part of your income and is taxed along with your salary.
Frequently Asked Questions
1. How is overtime pay calculated in India?
Divide your monthly basic pay plus DA by your total monthly working hours to get the hourly rate. Multiply that rate by your overtime hours and by the multiplier, which is usually 2 for statutory overtime.
2. Is overtime paid at double rate in India?
Under the Factories Act and the Code on Wages, 2019, overtime must be paid at not less than twice the normal rate of wages. Some employers use a lower multiplier in company policy, so compare your payslip with the law that applies to your job.
3. How many hours count as overtime?
In factories, work beyond 9 hours a day or 48 hours a week counts as overtime. Other establishments follow their state Shops and Establishments Act, where daily limits are often 8 or 9 hours.
4. Is overtime pay taxable?
Yes. Overtime pay is treated as part of your salary income and is taxed according to your income tax slab.
Disclaimer: This calculator gives estimates for general information. Overtime rules vary by state and type of employment, so confirm with your employer or a labour law professional for your exact case.
