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California Overtime Pay Rules

Federal FLSA requires 1.5× the regular rate for hours over 40 in a workweek for non-exempt employees.

California has stricter daily-overtime rules than federal FLSA. Verify the specifics with the California Franchise Tax Board / EDD or the California state Department of Labor.

The tax myth

Overtime is paid at a higher rate but taxed at the same rate as regular wages. A single big paycheck may be over-withheld because payroll annualizes it; that comes back at filing time.

Authoritative source

US Department of Labor, Wage and Hour Division

PayslipIQ provides educational information and estimated calculations only. It does not provide tax, legal, financial, accounting, employment, benefits, or payroll advice. PayslipIQ is not a CPA firm, law firm, financial advisor, payroll provider, or tax authority. Always verify your paycheck, deductions, withholdings, and tax position with your employer's payroll department, a qualified CPA, the IRS, your state tax authority, or another appropriately qualified professional. Calculations are estimates; your actual paycheck may differ based on factors specific to your employer, location, benefits elections, and personal tax situation.

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