timeandahalf

Time and a half, or time-and-a-half, refers to a wage rate equal to 1.5 times an employee’s regular hourly rate, paid for overtime work beyond standard hours. The term is most commonly associated with overtime compensation in the United States but is used in other jurisdictions as well.

In the United States, overtime pay at 1.5 times the regular rate is required for most covered, non-exempt employees for hours worked beyond 40 in a workweek under the Fair Labor Standards Act. Some employees may be exempt from overtime requirements, such as certain executives, professionals, and administrative workers, depending on duties and compensation. Some states also impose daily overtime rules or different thresholds in addition to federal rules.

Calculation involves two steps. The regular rate is the employee’s average earnings per hour in the workweek, including wages and some types of incentive pay, divided by hours worked. The overtime rate is the regular rate multiplied by 1.5. Overtime pay equals the overtime rate times the number of overtime hours. Certain bonuses and compensation components may be treated differently under regular-rate rules, depending on jurisdiction and policy.

Example: if the regular rate is $12 per hour and an employee works 5 overtime hours, the overtime pay is 5 × ($12 × 1.5) = $90, making total gross pay for those overtime hours $90, in addition to regular earnings.

Internationally, overtime rules and multipliers vary by country and, in some cases, by region or contract. Employers and employees should consult local labor standards to determine exact entitlements.