Overtime Calculator
Calculate your overtime pay from your basic salary and the hours you've worked beyond your standard schedule.
Overtime Pay
for 10 hours at 2× rate
How Overtime Pay Is Calculated
Overtime pay starts with your effective hourly rate, derived from your Basic + DA divided by your standard monthly working hours (typically 26 days × 8 hours = 208 hours). That hourly rate is then multiplied by your applicable overtime rate — usually 1.5x or 2x depending on your employer's policy and whether you're covered under factory-specific labor laws — and finally by the number of overtime hours actually worked.
Frequently Asked Questions
What is the standard overtime rate in India?
The Factories Act, 1948 mandates double the ordinary wage rate for overtime for workers it covers. Many private-sector salaried employees not covered by the Factories Act are instead paid 1.5x by company policy, which is why this calculator offers both options plus a custom rate.
What counts as the base wage for overtime calculation?
Typically Basic salary + Dearness Allowance (DA), not your full CTC or gross salary. This calculator uses Basic + DA as the wage base, divided by your standard monthly working hours to get an hourly rate.
Is overtime pay taxable?
Yes, overtime pay is treated as regular salary income and taxed at your applicable slab rate — there's no special tax exemption for overtime earnings.
Are salaried (non-hourly) employees entitled to overtime?
This varies by company policy and by whether you're classified as a 'workman' under applicable labor laws. Many salaried managerial/supervisory roles aren't legally entitled to overtime pay, even if the company chooses to pay it as a goodwill gesture.