Federal Overtime Rules & Legal Guidelines
Under the federal Fair Labor Standards Act (FLSA), covered non-exempt employees must receive overtime pay for all hours worked in excess of 40 in a standard 7-day workweek. The statutory overtime rate cannot be less than one and one-half times (1.5x) the employee's regular rate of pay.
§ Federal FLSA Standard (40 Hours)
Federal law uses a weekly threshold. It does not require overtime pay for work on weekends, holidays, or regular days of rest unless the total hours for that workweek exceed 40 hours.
- Hours 1 to 40: Standard Regular Rate (1.0x)
- Hours 41+: Time-and-a-Half (1.5x)
★ California Daily Overtime Laws
California enforces the nation's strictest daily overtime protections (Labor Code Section 510):
- Hours 8 to 12 in a single day: 1.5x regular pay
- Hours beyond 12 in a single day: 2.0x (Double Time)
- First 8 hours on 7th consecutive day: 1.5x pay
- Hours over 8 on 7th consecutive day: 2.0x pay
Exempt vs. Non-Exempt Classifications
Not all employees are entitled to overtime. Under FLSA regulations, employees are exempt only if they meet both a salary basis test (paid a predetermined, fixed salary) and a duties test (executive, administrative, professional, or outside sales responsibilities). If an employee earns hourly wages, they are almost universally classified as non-exempt and protected by overtime rules.