California Overtime Laws

• Daily overtime: For non-exempt employees, hours worked over 8 in a single day must be paid at 1.5× the regular rate; hours over 12 in a day must be paid at 2×.
• Weekly overtime: Hours worked over 40 in a workweek must be paid at 1.5×, after accounting for daily overtime and double-time already paid.
• Seventh consecutive day: If an employee works 7 consecutive days in a workweek, the first 8 hours on that seventh day are paid at 1.5× and any hours over 8 that day are paid at 2×. The “seventh day” depends on the employer’s designated workweek start day.

These are statutory principles issued by California’s Department of Industrial Relations and are the basis for every correct overtime calculation.

How this calculator works

This tool converts the hours you enter for each day of a workweek into three buckets regular, overtime (1.5×) and double time (2×) using California’s rules for daily overtime, weekly overtime, and the 7th-consecutive-day rule. It also computes pay totals when you supply an hourly rate. The calculator treats decimal hours (e.g., 8.5) and time format (e.g., 8:30) and respects the workweek start day you select.

Who is (and isn’t) covered

Most hourly and many non-hourly workers are entitled to overtime, but exempt categories exist: typical exemptions include executive, administrative, and professional employees (who meet duties and salary tests), outside sales, some union-covered workers under bargained agreements, and genuine independent contractors. Whether someone is exempt depends on both duties and compensation tests, not merely job title. If you’re unsure about classification, consult counsel or the DIR.

How this calculator handles tricky situations

• Daily OT vs weekly OT: The calculator first computes daily OT/DT (over 8 / over 12). It then looks at total weekly hours; any remaining hours above 40 (after removing daily OT/DT already assigned) receive weekly OT. This order prevents double-counting and follows the standard method used in payroll calculations.
• 7th consecutive day: You choose the workweek start day; the calculator then checks for seven consecutive days worked and applies the 7th-day multipliers as required.
• Split shifts, meal and rest breaks: This calculator expects hours worked excluding unpaid meal breaks. Paid breaks are counted as time worked. For legal compliance surrounding breaks and premium pay for missed breaks, refer to DIR guidance this calculator does not automatically compute meal/rest break penalties.
• Salaried or commission pay / blended rates: If an employee is paid a salary or commissions, their “regular rate” may need to be calculated differently (hourly equivalent or weighted average) before this calculator’s multipliers can be applied. Use payroll or legal advice for blended-rate scenarios; this calculator assumes a single base hourly rate unless you compute an equivalent rate first.

Examples

1. Daily OT example: If an employee works 10 hours on Wednesday at $20/hr:
   • First 8 hours = 8 × $20 = $160
   • Next 2 hours = 2 × ($20 × 1.5) = $60
   • Total pay for Wednesday = $220.
2. Weekly OT example with daily OT present: Hours by day = Mon 8, Tue 9, Wed 9, Thu 8, Fri 6, Sat 0, Sun 0; base pay $15/hr.
   • Daily OT: Tue 1 hr OT, Wed 1 hr OT → 2 OT hrs.
   • Total week hours = 40 (so no weekly OT).
   • Regular hours = 38, OT hours = 2.
   • Apply rates accordingly.
     These examples mirror the logic the tool uses and produce identical results when you enter the same inputs.

Practical tips to avoid common mistakes

• Enter only paid hours. Exclude unpaid meal periods. If your employer paid you for a meal or break, include that time.
• Set the correct workweek start day it changes which day can be treated as the seventh consecutive working day.
• If you’re paid a salary, convert to an hourly equivalent before using the calculator or consult payroll (miscalculating regular rate leads to incorrect OT).
• For split shifts (two shifts in a day with a long unpaid break between), enter the total paid hours for the day; the calculator determines OT based on the sum. Keep precise records to reconcile later.

What the calculator does not do

• It does not compute meal/rest break premium penalties (those are separate legal remedies under California rules).
• It does not automatically re-compute the pay when wages include complex commissions, piece rates, or bonuses those require calculating a proper regular rate first.
• It does not determine whether someone is exempt; classification assessments require facts about duties and pay. If you suspect misclassification, get legal advice.

Recordkeeping & compliance

• Employers should maintain accurate daily and weekly records of hours worked and wages paid. Good payroll systems reduce the risk of underpayment and penalties. When in doubt, keep original timecards or electronic logs.
• Employees should track their time and keep pay stubs. If you believe overtime was mispaid or withheld, the DIR provides complaint options and guidance.

FAQs

Q1. Does overtime apply to part-time employees?
A: Yes, overtime is based on hours worked, not on full-time/part-time status. Any non-exempt worker who exceeds the daily or weekly thresholds is entitled to overtime.

Q2. Can an employer “bank” overtime and give comp time instead?
A: California generally does not allow comp time in lieu of overtime for private sector employees overtime must be paid. Bargained public-sector comp time is a different matter.

Q3. What if my paystub lists hours but I disagree with totals?

A: Keep records (timecards, emails, shift schedules) and raise the issue with payroll or HR; if unresolved, the DIR offers guidance and complaint procedures.

Sources: Based on official guidance from the California Department of Industrial Relations (DIR) and relevant provisions of the California Labor Code §510 and Industrial Welfare Commission (IWC) Wage Orders, which establish the state’s daily, weekly, and seventh-day overtime rules.