Classification comes first
Do not assume “salaried” means exempt. Duties and pay-level tests matter, and state standards may be stricter.
Salary overtime calculator
Turn an annual salary into a regular hourly rate, then estimate overtime for salaried workers who are owed it.
Worked example
| Part | Calculation | Amount |
|---|---|---|
| Weekly salary | $52,000 ÷ 52 | $1,000.00 |
| Regular rate | $1,000 ÷ 40 | $25.00/hr |
| Overtime pay | 5 × $25 × 1.5 | $187.50 |
| Weekly gross pay | $1,000 + $187.50 | $1,187.50 |
| Same salary for 37.5 hours, 45 worked | $1,000 + 2.5 × $26.67 + 5 × $40.00 | $1,266.67 |
Frequently asked questions
Can salaried employees receive overtime?
Yes. Salary alone does not make a worker exempt. Eligibility depends on the applicable law, pay level and job duties.
How is an annual salary converted to an hourly rate?
Divide the annual salary by 52 to get the weekly salary, then divide by the number of hours the salary is intended to cover. $52,000 for 40 hours a week is $1,000 a week and $25 an hour.
What if my salary covers 37.5 hours?
The regular rate is the weekly salary divided by 37.5. Hours from 37.5 up to 40 are paid at that straight-time rate, and hours over 40 at 1.5×, following the federal regulation’s own example.
What if my salary covers more than 40 hours?
Your salary already pays straight time for those hours, so each covered hour over 40 adds only the half-time premium. Hours beyond the covered hours are paid at the full 1.5× rate.
Does this work for a fluctuating workweek?
No. A fluctuating-workweek arrangement uses a different method and should be checked separately.
What this estimate includes
- The annual salary covers 52 full workweeks.
- The salary is straight-time pay for the entered covered hours and is not a fluctuating-workweek arrangement.
- The worker is owed overtime at the entered threshold and multiplier.
- No bonuses or other compensation change the regular rate.
What can change the result
Know how many hours your salary covers
The regular rate depends on the hours the salary is meant to pay for. An offer letter or pay policy usually states it.
Official sources · Reviewed September 21, 2026
- 29 CFR 778.113 and 778.325: salaried employees — US Code of Federal Regulations (Electronic CFR)
- Overtime Pay — US Department of Labor, Wage and Hour Division
- Fact Sheet #56A: Overview of the Regular Rate of Pay Under the FLSA — US Department of Labor, Wage and Hour Division
This is a gross-pay estimate, not legal advice.Every rule and formula we use.