Calculate overtime pay at time-and-a-half or any other multiplier, and its share of total pay.
The premium rate is the base rate multiplied by the uplift, and total pay adds it to ordinary hours. Showing the premium as a share of total pay makes clear how much of the wage bill is discretionary. Overtime consistently above about 15% of the wage bill is usually cheaper to solve with another hire than to keep paying at a premium.
Overtime Pay
Overtime pay = base rate × multiplier × overtime hours
Overtime pay = base rate × multiplier × overtime hours The premium rate is the base rate multiplied by the uplift, and total pay adds it to ordinary hours. Showing the premium as a share of total pay makes clear how much of the wage bill is discretionary.
Overtime consistently above about 15% of the wage bill is usually cheaper to solve with another hire than to keep paying at a premium.
This calculator takes 4 inputs: Base hourly rate, Overtime hours worked, Pay multiplier, Normal hours in the period. The pre-filled defaults are a realistic starting point — replace them with figures from your own environment for a result you can act on.