Working late feels bad enough — doing it without knowing what you're owed is worse. Many employees grind through overtime but have no idea how their overtime pay is (or should be) calculated. Here's the full picture: which scenarios get 1.5×, 2×, and 3×, how the base is set, and how to stop quietly working for free.
The Three Overtime Multipliers — Don't Confuse Them
Under most labor laws, overtime falls into three situations with very different multipliers:
| Overtime scenario | Multiplier | Explanation |
|---|---|---|
| Extra hours on a regular workday | 1.5× | Hours beyond the standard daily workday |
| Weekend work | 2× | When no compensatory time off is granted |
| Public holiday work | 3× | National/statutory holidays — can't be swapped for time off |
Note the key point: public holiday overtime cannot be replaced by comp time — you must be paid 3×. Weekend overtime, by contrast, may be compensated with time off in lieu where the law permits.
The Overtime Pay Formula
It comes down to one core equation:
Overtime pay = hourly base rate × overtime hours × multiplier
- Hourly rate = monthly/annual base salary ÷ standard working hours in the period (many jurisdictions use ~4.33 weeks/month or 21.67 working days/month)
- Daily rate = base salary ÷ standard working days in the month
Example: a monthly salary of $3,000 with ~21.7 working days gives a daily rate ≈ $138 and an hourly rate ≈ $17. Work 8 hours on a public holiday: 17 × 8 × 3 = $408. Work 2 extra hours on a weekday: 17 × 1.5 × 2 = $51.
How the Overtime Base Rate Is Set
The base isn't arbitrary. It is normally determined in this order:
- Contract terms: if your employment contract defines the base, that standard applies (but never below the statutory minimum wage)
- No contract term: the base is the salary you normally earn for your regular work
- Never below minimum wage: that is the hard floor
Some companies try to calculate on a "basic salary" that excludes performance bonuses. Whether that's lawful depends on the contract and local rules. The base typically excludes overtime pay itself and special allowances. Use the salary calculator to test what different multipliers produce on your actual pay.
Three Common Scenarios, Calculated
Using the figures above (hourly rate ≈ $17):
| Scenario | Calculation | Overtime pay |
|---|---|---|
| 2 extra hours on a weekday | 17 × 1.5 × 2 | $51 |
| 8 hours on a weekend (no comp time) | 17 × 2 × 8 | $272 |
| 8 hours on a public holiday | 17 × 3 × 8 | $408 |
For chronic "crunch" schedules, accumulated overtime adds up to a very real number. Use the percentage calculator to see what your overtime is worth as a share of your monthly salary — it keeps the stakes visible.
Common Overtime Mistakes
- "Comp time covers everything" is wrong: only weekend overtime can generally be swapped for time off; public holiday overtime must be paid at 3×
- "Low performance, no overtime pay" doesn't hold: overtime pay is a statutory right, independent of performance
- "No overtime during probation" is a myth: probation workers are covered by the same overtime rules
- Keep the evidence: attendance records, approval forms, and work emails are the key proof if you ever need to enforce your rights
Know what you're owed before you work the hours, and know how to claim it after. Run your numbers through the salary calculator any time — the money you're due shouldn't stay unclaimed.