Fair Work Overtime Rates Calculator
Enter your standard hourly pay before penalties.
Usually the first 2 or 3 hours of overtime.
Usually after the initial overtime period or Sundays.
Work performed on designated public holidays.
Understanding Overtime Rates and Calculations
Calculating overtime pay accurately is essential for ensuring you are remunerated correctly under Fair Work standards. Overtime rates are penalty rates paid to employees when they work outside their ordinary hours of duty. These rates are designed to compensate employees for working unsociable hours, weekends, or excessive hours in a single shift.
How Overtime Multipliers Work
Most Awards and Enterprise Agreements structure overtime payments based on multipliers of your base hourly rate. The standard logic typically follows these tiers:
- Time and a Half (150%): This is calculated as your Base Rate × 1.5. It typically applies to the first 2 or 3 hours of overtime worked in a day or on a Saturday.
- Double Time (200%): This is calculated as your Base Rate × 2.0. It usually applies after the initial "time and a half" period is exceeded, or for all work performed on Sundays.
- Public Holiday Rates (250%): Often calculated as Base Rate × 2.5, this applies when work is required on a gazetted public holiday.
Example Calculation
Consider an employee named Sarah who has a Base Hourly Rate of $32.00.
During a busy week, Sarah works an extra shift consisting of:
- 2 hours at Time and a Half (1.5x)
- 1 hour at Double Time (2.0x)
The math would look like this:
- 1.5x Rate: $32.00 × 1.5 = $48.00 per hour.
- 2.0x Rate: $32.00 × 2.0 = $64.00 per hour.
- Total Pay: ($48.00 × 2 hours) + ($64.00 × 1 hour) = $96.00 + $64.00 = $160.00.
When Does Overtime Apply?
Under the Fair Work Act and modern awards, overtime generally applies when an employee works:
- Beyond their ordinary weekly hours (e.g., 38 hours).
- Outside the spread of ordinary hours (e.g., 7am to 7pm).
- More than the maximum ordinary hours allowed per day (e.g., more than 10 hours in a shift).
Casual Employees and Overtime
For casual employees, the calculation can vary. In some awards, overtime is calculated on the base rate excluding the casual loading. In others, the casual loading is included in the compounding rate. This calculator assumes you are entering the specific base rate upon which your multiplier is applied. Always check your specific Award or Enterprise Agreement for the exact clause regarding casual overtime calculations.
Overtime Pay Breakdown
'; if (h15 > 0) { htmlContent += '150% (Time & Half) – ' + h15 + ' hrs @ $' + payRate150.toFixed(2) + '/hr: $' + total150.toFixed(2) + '
';
}
if (h20 > 0) {
htmlContent += '200% (Double Time) – ' + h20 + ' hrs @ $' + payRate200.toFixed(2) + '/hr: $' + total200.toFixed(2) + '
';
}
if (h25 > 0) {
htmlContent += '250% (Public Hol) – ' + h25 + ' hrs @ $' + payRate250.toFixed(2) + '/hr: $' + total250.toFixed(2) + '
';
}
if (totalHours === 0) {
htmlContent += 'No overtime hours entered. $0.00
';
} else {
htmlContent += 'TOTAL OVERTIME PAY: $' + grandTotal.toFixed(2) + '
';
}
resultDiv.style.display = 'block';
resultDiv.innerHTML = htmlContent;
}