Time and a Half Calculations, With Examples

Tags

Top Highlights

• Selene worked the standard 40 hours, which at an hourly rate of $10.50, totals $420.   420 + 252 = 672, so Selene is owed $672 for this workweek.     For salaried employees:  Q4 is coming to an end, and Trey is pulling some serious overtime to close out tax needs in an accounting firm. Trey has worked 68 hours this workweek. His standard salary is $35,000 yearly.    35,000 / 52 = 673, so Trey’s standard weekly salary is $673.  673 / 40 = 16.83, so Trey’s standard hourly rate is $16.83.  16.83 x 1.5 = 25.24, so Trey’s overtime rate is $25.24.  Now, to calculate how much overtime Trey is owed for this workweek.   68 - 40 = 28, so Trey worked 28 hours overtime.  25.24 x 28 = 706.72, bringing Trey’s overtime total for the workweek to $706.72.  Trey worked the standard 40 hours, which at an hourly rate of $16.83, totals $673.  673 + 706.72 = 1,379.72, so Trey is owed $1,379.72 for this workweek.     Calculating time and a half, or overtime pay in general, if you award more than the standard, ensures your workforce is fairly compensated for extra hours worked. If you’re concerned about calculating overtime correctly, especially as your organization grows, consider using payroll software to do the work for you.  BerniePortal’s Payroll feature uses our native time and attendance feature to tally overtime, withdraw taxes, and deliver your employees an accurate and timely direct deposit every pay period. Calculating payroll is time-consuming, and the risk of error rides the potential of not paying your employees—losing you valuable talent or causing legal issues. BerniePortal relieves your payroll headache so you can run payroll the right way—every time.       Additional Resources You can stay informed, educated, and up to date with important HR topics using BerniePortal’s comprehensive resources: BernieU—free online HR courses, approved for SHRM and HRCI recertification credit BerniePortal Blog—a one-stop shop for HR industry news HR Glossary—featuring the most common HR terms, acronyms, and compliance Resource Library—essential guides covering a comprehensive list of HR topics HR Party of One—our popular YouTube series and podcast, covering emerging HR trends and enduring HR topics  Rose asked, "What's the best way to introduce your new hire to the team?" Answer with your thoughts here!