Budgeteer Payroll LabEmployer cost estimates

Tool · premium hours

Overtime Cost Calculator

Enter the regular hourly rate, regular hours, overtime hours, and the multiplier. The default multiplier is 1.5 and you can change it. Regular and overtime cash wages are shown separately. A checkbox applies the same burden percentage to overtime; it is on by default and described in the result.

Tax-year assumptions: 2026. This page does not decide whether a job is overtime-eligible under the Fair Labor Standards Act.

Hours in one period
1.5 is the common time-and-a-half figure. Change it if your policy uses another multiplier.
Used only to scale the period into an annual employer-cost estimate.

When the box is checked, the add-on rate built from annual wages, employer FICA, and the unemployment figures you enter is applied to both regular and overtime cash. When it is cleared, the split lines are cash wages only.

Unemployment and extras on the annual wage

Warehouse picker in a peak season: $18.50 an hour, 40 regular hours and 8 overtime hours at time and a half, 48 weeks of that pattern, 0.6% FUTA, 2.4% SUTA, and $4,800 employer health, with burden applied to overtime.

When this estimate fits

The estimate fits a weekly pattern you can type: forty regular hours and five overtime hours at time and a half, for example. It fits a question about what that pattern costs the business across a year, including employer FICA on the annual wage figure.

The estimate does not fit every FLSA exemption, a fluctuating workweek, or a union scale you have not entered. Changing the multiplier does not make the page a compliance review.

Pay-cycle language on this site is always a split of employer cost, never a take-home estimate.

40 regular hours and 5 overtime hours at 1.5

At $25.00 an hour, regular cash is $1,000.00 and overtime cash is $187.50. The period total is $1,187.50. Across 52 weeks the cash wages are $61,750.00.

Burden box on

With 0.6% FUTA and 2% SUTA, employer FICA on $61,750.00 is $4,723.88. The annual employer cost is $67,750.88 when extras are left at zero.

Zero overtime

Set overtime hours to 0. The overtime cash line is $0.00 and the remaining math is a regular-hour employer cost.

On this tool

Why is 1.5 editable?

Some workplaces use another multiplier. The field starts at 1.5 because that is a common pattern, not because every job is entitled to that rate.

Does overtime always carry FICA?

In this model, overtime cash is part of the annual wage figure used for employer Social Security and Medicare. That is a cost model, not a full payroll engine.

More questions?

See the home FAQ.