When Does Overtime Start? The 40-Hour Rule and Daily Overtime by State
When overtime starts under the FLSA 40-hour rule, which states add daily overtime (California, Alaska, Nevada, Colorado), who is exempt, and pay examples.
Under federal law, overtime starts after 40 hours worked in a single workweek and is paid at 1.5 times the regular rate. There is no federal daily limit: a 14-hour day in a 38-hour week earns no overtime. Four states change that by adding a daily threshold, and California adds a double-time rate as well. This page sets out the federal rule, the state additions, who is exempt, and worked examples. To turn hours into dollars, use the overtime pay calculator.
The federal 40-hour rule
The Fair Labor Standards Act (29 U.S.C. § 207) requires that non-exempt employees receive at least one and a half times their regular rate for all hours worked over 40 in a workweek. Three details matter more than the headline number:
- The workweek is fixed. It is any regularly recurring block of 168 hours (7 × 24) the employer designates. Averaging across a biweekly or monthly pay period is not allowed.
- Only hours worked count. Paid holidays, sick days, PTO, and jury duty do not count toward the 40 unless a contract says otherwise. Paid rest breaks of 5 to 20 minutes do count, because they are hours worked.
- The regular rate is not always the base wage. Non-discretionary bonuses, commissions, and shift differentials are folded in before the 1.5 multiplier is applied. A $20 base plus a $2 night differential is a $22 regular rate and a $33 overtime rate.
Here is what the rule does to a paycheck at a $20 regular rate:
| Hours in the week | Regular hours | Overtime hours | Gross pay at $20/h | Effective hourly |
|---|---|---|---|---|
| 40 | 40 | 0 | $800.00 | $20.00 |
| 41 | 40 | 1 | $830.00 | $20.24 |
| 45 | 40 | 5 | $950.00 | $21.11 |
| 48 | 40 | 8 | $1,040.00 | $21.67 |
| 50 | 40 | 10 | $1,100.00 | $22.00 |
| 55 | 40 | 15 | $1,250.00 | $22.73 |
| 60 | 40 | 20 | $1,400.00 | $23.33 |
Each overtime hour is worth $30, so the formula is 40 × 20 + (hours − 40) × 30.
States that add daily overtime
Most states simply follow the federal weekly rule. These four add a daily threshold, and an employee gets whichever rule produces more pay:
| State | Daily overtime (1.5×) | Double time (2×) | Weekly | Notes |
|---|---|---|---|---|
| California | Over 8 hours in a workday; first 8 hours on the 7th consecutive day of the workweek | Over 12 hours in a workday; over 8 hours on the 7th consecutive day | Over 40 | Alternative workweek schedules (e.g. four 10s) can be adopted by employee vote to lift the daily threshold to 10. |
| Alaska | Over 8 hours in a workday | None | Over 40 | Applies to employers with 4 or more employees; voluntary flexible plans up to 10 hours a day are allowed with approval. |
| Nevada | Over 8 hours in any rolling 24-hour period | None | Over 40 | Daily rule applies only to employees paid less than 1.5 times the state minimum wage; agreed 4 × 10 schedules are exempt. |
| Colorado | Over 12 hours in a workday, or over 12 consecutive hours regardless of the day | None | Over 40 | Set by the COMPS Order; some industries have their own rules. |
| All other states | None | None | Over 40 | Kentucky adds 1.5× for the 7th consecutive day worked in a week; a few states have industry-specific rules. |
Figures verified 2026-09-16. Federal: 29 U.S.C. § 207 and 29 C.F.R. Part 541. State rules as published by the California Labor Commissioner, Alaska Department of Labor, Nevada Labor Commissioner, and Colorado Department of Labor and Employment on that date. Thresholds and exemptions change, and union agreements or industry orders can override them, so verify with your state labor office before relying on a figure.
Worked examples: the same week in four states
Take five 10-hour days (50 hours) at $20. Federal, California, Alaska, and Colorado rules all pay the same $1,100 (40 regular + 10 overtime), because daily overtime hours are excluded when the weekly threshold is checked and nothing is counted twice. The rules diverge when the week is short but the days are long. Three 13-hour days (39 hours) at $20:
| Rule | Regular | 1.5× hours | 2× hours | Gross pay |
|---|---|---|---|---|
| Federal only | 39 | 0 | 0 | $780.00 |
| California | 24 | 12 (hours 8 to 12 each day) | 3 (hour 13 each day) | $960.00 |
| Alaska | 24 | 15 (5 per day) | 0 | $930.00 |
| Colorado | 36 | 3 (1 per day) | 0 | $810.00 |
California: 24 × 20 + 12 × 30 + 3 × 40 = 480 + 360 + 120 = $960. Alaska: 24 × 20 + 15 × 30 = $930. Colorado: 36 × 20 + 3 × 30 = $810. The time card calculator's "Daily OT after" setting models the 8- and 12-hour thresholds; double time has to be worked out separately.
Who is exempt from overtime
The FLSA exempts certain white-collar employees from overtime. Each exemption has a duties test, and most also have a salary test:
- Executive: primary duty is managing the business or a department, regularly directs two or more full-time employees, and has real input into hiring and firing.
- Administrative: office or non-manual work directly related to management or general business operations, involving discretion and independent judgment on significant matters.
- Professional: work requiring advanced knowledge in a field of science or learning (learned professional) or invention and originality in a recognized artistic field (creative professional). Doctors, lawyers, and teachers are exempt regardless of salary.
- Computer employees: systems analysts, programmers, and software engineers meeting a duties test, paid a qualifying salary or at least $27.63 an hour.
- Outside sales: primary duty is making sales away from the employer's place of business. No salary test.
The federal salary threshold for the executive, administrative, and professional exemptions is $684 per week ($35,568 per year) as of the verification date. A 2024 rule that would have raised it to $58,656 was struck down by a federal court in November 2024, which returned the threshold to $684. Several states set higher floors: California requires at least twice the state minimum wage for full-time work, and Washington, New York, and Colorado each publish their own annual figures. If your salary is below the applicable threshold, you are non-exempt no matter what your job title says.
Common overtime mistakes
- Averaging weeks. A 44-hour week and a 36-hour week are 4 overtime hours, not zero.
- Counting PTO as hours worked. 32 hours worked plus 8 hours of vacation is 40 hours paid but 0 hours of overtime.
- Ignoring hours worked off the clock. Pre-shift setup, post-shift cleanup, and short breaks are hours worked. The 12-hour shift guide covers which breaks can be deducted.
- Getting the hours wrong in the first place. Work the week through with how to calculate hours worked before arguing about the multiplier.
Frequently asked questions
Is overtime after 8 hours a day or 40 hours a week?
Under federal law it is only after 40 hours in a workweek; there is no federal daily limit. California, Alaska, Nevada, and Colorado add a daily threshold on top of the weekly one, so in those states a long day can earn overtime even in a short week.
Does overtime start after 40 hours or after 80 hours in a biweekly pay period?
After 40 in each individual workweek. The FLSA never lets an employer average two weeks. 45 hours followed by 35 hours is 5 overtime hours, even though the pay period totals 80.
What is the overtime rate?
At least 1.5 times the regular rate of pay for every hour over the threshold. The regular rate includes non-discretionary bonuses and shift differentials, not just the base hourly wage. California also has a double-time rate (2×) for hours over 12 in a day.
Do paid holidays and PTO count toward the 40 hours?
Not under federal law. Only hours actually worked count. A week with 8 hours of holiday pay and 36 hours worked has no overtime, because only 36 hours were worked. Some union contracts and employer policies are more generous.
Can my employer refuse to pay overtime I was not authorized to work?
No. If the employer knew or should have known the work was being done, the hours must be paid at the overtime rate. The employer can discipline you for breaking an approval policy, but it cannot withhold the pay.
Are salaried employees entitled to overtime?
Often, yes. Being paid a salary does not by itself make someone exempt. To be exempt the job must pass a duties test (executive, administrative, professional, outside sales, or certain computer roles) and, for most of those, a salary of at least $684 per week ($35,568 a year) as of the verification date. A salaried assistant earning $40,000 whose job is mostly routine tasks is usually owed overtime.
Does daily overtime count toward weekly overtime too?
No hour is counted twice. Hours already paid as daily overtime are excluded when checking the weekly 40-hour threshold. Five 10-hour days in California is 10 hours of daily overtime and 40 regular hours, not 10 daily plus 10 weekly.
Last updated 2026-09-16. Everything on this page runs in your browser. Nothing you type or upload leaves your device.