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Municipal Technical Advisory Service (MTAS)

How to calculate overtime rates for shift differentials

Topic: 
PERSONNEL--COMPENSATION
Author: 
Society for Human Resource Management.
Publisher/Date: 
Alexandria, Va. : SHRM, 2013
Series: 
SHRM how-to guides
Note: 
9/6/2013
Summary: 
The FLSA regulations require that all nonexempt employees be paid at least minimum wage and overtime at time and a half of their regular rate for all hours worked over 40 in a workweek. Employers must be sure to calculate overtime properly for nonexempt employees when the employee receives shift differentials in addition to the normal hourly base pay rate.