Question 1

Why is the default 40 hours per week?

Accepted Answer

40 hours per week is the standard full-time work week in the United States. This is the threshold at which overtime pay typically begins for non-exempt employees under the Fair Labor Standards Act (FLSA).

Question 2

Why is the default 52 weeks per year?

Accepted Answer

52 weeks per year represents a full year of work without accounting for vacation or holidays. If you take unpaid time off, you can adjust this number to reflect your actual working weeks. For example, if you take 2 weeks of unpaid vacation, you would use 50 weeks.

Question 3

What is overtime pay?

Accepted Answer

Overtime pay is additional compensation for hours worked beyond the standard work week (typically 40 hours). In the United States, non-exempt employees are generally entitled to overtime pay at a rate of 1.5 times their regular hourly rate (time and a half) for hours worked over 40 in a workweek.

Question 4

What is double-time?

Accepted Answer

Double-time is pay at twice the regular hourly rate. Some employers or union contracts may offer double-time for working on holidays, weekends, or after a certain number of overtime hours. Double-time is not required by federal law but may be offered by employers or required by state law or employment contracts.

Question 5

How is annual salary calculated from hourly pay?

Accepted Answer

Annual salary is calculated by multiplying the hourly rate by the number of hours worked per week, then multiplying by the number of weeks worked per year. For example: $25/hour × 40 hours/week × 52 weeks/year = $52,000/year.

Question 6

What is the typical overtime multiplier?

Accepted Answer

The standard overtime multiplier in the United States is 1.5× (time and a half) for hours worked over 40 in a workweek, as required by the Fair Labor Standards Act. Some employers or contracts may offer higher multipliers, and double-time (2×) is sometimes offered for holidays or extended overtime.

Question 7

Do overtime rules vary by state?

Accepted Answer

Yes, overtime rules can vary by state. Some states have more generous overtime requirements than federal law. For example, California requires daily overtime (1.5×) for hours worked over 8 in a day, and double-time (2×) for hours worked over 12 in a day. Always check your state's labor laws and your employment contract for specific rules.

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