Overtime Pay Calculator

Overtime is work performed outside the 'ordinary hours' defined in an Australian employee's award or agreement. It's designed to compensate employees for working extra hours or at unsociable times. For many workers, it's a vital part of their income, but it's governed by strict rules.

The calculator applies a multiplier to your base hourly rate. Under most Australian awards, the standard overtime rate is 150% ('time and a half') for the first two or three hours, and 200% ('double time') thereafter. Weekend and public holiday work commands even higher penalty rates. The formula is: (Base Hourly Rate × Overtime Multiplier) × Overtime Hours Worked.

• An employer can only request that an employee works 'reasonable' overtime. What's reasonable is a balancing act between the employer's needs, the employee's personal circumstances, and health and safety considerations.
• Many salaried employees are on 'all-inclusive' salaries intended to cover reasonable overtime. However, if a salaried employee is consistently working excessive hours, their effective hourly rate could fall below the minimum award rate, which is unlawful.
• 'Time off in lieu' (TOIL) is a common alternative to paid overtime. An employee can agree to take time off at a later date instead of being paid penalty rates. This must be a formal agreement and tracked carefully.

• Know your Award. This is the single most important thing. The Fair Work Ombudsman website has a tool to help you find your specific award and its overtime rules.
• Keep meticulous records of your hours. Use a diary or a phone app to log your start, finish, and break times. This is your best evidence in case of a dispute.
• Check your payslip every single pay period. Make sure your overtime hours are listed and that the correct penalty rates have been applied. Mistakes are common, so it pays to be vigilant.