Overtime to Hourly Rate Calculator
Reverse calculate your base pay from your overtime earnings
How to Calculate Your Hourly Rate from Overtime Rate
Understanding how your paycheck is constructed is vital for financial planning and verifying that you are being paid correctly. If you only know your overtime rate, you can easily find your base hourly rate using "reverse math."
Most employers pay a premium for hours worked beyond the standard 40-hour work week. This premium is typically a multiplier applied to your base pay. By dividing your overtime rate by that multiplier, you arrive back at your standard hourly wage.
The Reverse Overtime Formula
To calculate the base rate, use the following formula:
Common Multiplier Standards
| Type | Multiplier | When it's used |
|---|---|---|
| Time and a Half | 1.5x | Standard US OT (Hours over 40) |
| Double Time | 2.0x | Holidays or Sundays (depending on contract) |
| Triple Time | 3.0x | Rare; usually specific union high-hazard work |
Real-World Example
Imagine your pay stub shows an overtime rate of $52.50 per hour, and your company pays "time and a half" (1.5x) for any hours worked on Saturdays.
- Identify the Overtime Rate: $52.50
- Identify the Multiplier: 1.5
- Divide: $52.50 / 1.5 = $35.00
In this scenario, your regular base hourly pay is $35.00 per hour.
Why Calculate Backwards?
Workers often need to perform this calculation for several reasons:
- Verifying Payroll: Ensuring the payroll department hasn't made an error in your base rate calculation.
- Job Offers: If a recruiter mentions "You'll make $60/hr on overtime," you need to know the base pay to understand your 40-hour week earnings.
- Budgeting: Base pay is guaranteed, whereas overtime is often variable. Knowing the base rate helps in creating a stable budget.