Overtime Pay vs Free Time Calculator
Enter your rate, overtime hours and how you value your time.
Annual overtime pay
β
Enter values above
Value of the time given up
β
Net gain
β
Effective hourly rate
β
Hours per year
β
Overtime rate per hour
β
Worked example
With the default inputs shown below, this calculator returns the following results:
| Input | Value |
|---|---|
| Hourly rate ($) | 25 |
| Overtime multiplier (x) | 1.5 |
| Overtime hours per week | 8 |
| Weeks per year | 48 |
| Value of your free time ($/hour) | 20 |
| Result | Value |
|---|---|
| Annual overtime pay | $14,400 |
| Value of the time given up | $7,680 |
| Net gain | $6,720 |
| Effective hourly rate | $17.50 |
| Hours per year | 384 |
| Overtime rate per hour | $37.50 |
Values shown are produced by this page in your browser; change any input to update them.
How to use the Overtime Pay vs Free Time Calculator
- Hourly rate ($) β default 25
- Overtime multiplier (x) β default 1.5
- Overtime hours per week β default 8
- Weeks per year β default 48
- Value of your free time ($/hour) β default 20
- Press Calculate to update the results instantly.
Frequently asked questions
Use what you would pay to buy an hour back β often less than your wage. A figure around your net hourly rate is a reasonable starting point, and higher if the hours affect health or family time.
Financially, usually yes when it is paid at 1.5x. The exception is when the extra hours cause burnout, health costs or childcare costs that exceed the pay.
Then set the multiplier to zero and the calculator will show a pure loss β which is the honest answer. Unpaid overtime is a pay cut in disguise.