In general, follow these steps to calculate the amount of overtime pay owed to an employee:
- Determine whether the individual is eligible for overtime.
- Determine the hourly rate of pay, which is the total amount paid in the period divided by the number of hours worked.
- Multiply the hourly rate of pay by 1.5x.
Is overtime after 8 hours or 40 hours?
Overtime: Employers must also pay all non-exempt employees a rate of time-and-one-half the regular rate of pay for each hour of overtime worked. Nursing care facilities may pay employees overtime after 40 hours in a 7 day workweek or alternatively, use the “8 and 80” system.
How much is the overtime pay?
According to the Fair Labor Standard Act (FLSA ) the overtime pay rate for eligible employees is one and one-half (1.5) times their regular working hour rate of pay. For example: if you earn $20 per hour your overtime pay rate, if you are eligible, must be at least $30 per hour: $20 per hour x 1.5 = $30 per hour.
Is it illegal to not pay overtime in California?
A day rate pay scheme is not illegal under wage and overtime laws in California, but it does not relieve an employer from its obligation to pay overtime to non-exempt employees.
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