How do I calculate overtime for a pay stub? 

Overtime pay is the additional amount an employee earns for hours worked beyond their standard workweek, typically over 40 hours in the U.S. 

Step 1: Determine the employee’s regular hourly rate 

• For hourly employees, this is the standard hourly wage. 
• For salaried employees, divide the annual salary by the total number of regular work hours in a year to get an hourly rate. 

Step 2: Identify overtime hours 

• Count the total hours worked in the pay period. 
• Subtract regular hours (e.g., 40 hours per week) to find overtime hours. 

Step 3: Apply the overtime rate 

• Standard overtime pay is 1.5 times the regular hourly rate (time-and-a-half). 

Overtime Pay = Overtime Hours × Regular Hourly Rate × 1.5 

Step 4: Add overtime to gross pay 

• Gross Pay = Regular Pay + Overtime Pay + Any Bonuses or Additional Earnings 

Using SecurePayStubs 

When you enter total hours and the hourly rate in SecurePayStubs, you can add overtime hours in the Additional Earnings section. The system automatically calculates overtime pay and includes it in the gross pay on the pay stub.