Overtime Pay (OT) — Payroll Definition

Overtime Pay (OT) paystub meaning: Pay at 1.5x your regular rate for hours worked beyond 40 per week (FLSA requirement). Codes: OT / OVT.

Pay at 1.5x your regular rate for hours worked beyond 40 per week (FLSA requirement).

Under the Fair Labor Standards Act (FLSA), non-exempt employees must be paid at least 1.5 times their regular hourly rate for every hour worked beyond 40 in a workweek. For example, if your regular rate is $20/hr, your overtime rate is $30/hr. California additionally requires time-and-a-half after 8 hours in a single day and double-time after 12 hours. Some employers voluntarily pay double-time for holidays.

Earnings lines should identify the applicable rate, hours or units, current amount, and year-to-date total. Reconcile them with time records, the pay period, the employment agreement, and the employer-issued statement.

When this term appears on a statement, read its label, current amount, year-to-date amount, pay-period context, and any adjacent rate or hours together. Resolve a mismatch with the original issuer or the cited authority rather than changing a record to force a preferred result.