2026 overtime withholding
Overtime Tax Calculator
See how much of your overtime pay you actually keep after federal, state, and FICA taxes. Enter your hourly rate, regular hours, and overtime hours — we compute total annual income and run it through the same engine as our state paycheck calculators.
Frequently Asked Questions
Is overtime taxed more than regular pay?
No. Overtime is taxed at your marginal rate, not a higher special rate. The confusion arises because overtime pushes total income higher, potentially into a higher bracket.
How much of my overtime pay will I keep?
Use this calculator — varies by state and filing status. Enter your hourly rate, regular hours, overtime hours, and state to see your estimated annual and biweekly take-home pay.
How is overtime calculated?
Under the Fair Labor Standards Act (FLSA), non-exempt employees must receive 1.5× their regular hourly rate for hours worked over 40 in a workweek.
Does overtime affect my tax bracket?
Yes — additional income from overtime can push you into a higher federal income tax bracket. Only the dollars above each bracket threshold are taxed at the higher rate, not your entire paycheck.
Data Sources & Methodology
ExactTakeHome tax data is sourced from official government publications and verified against primary sources. Last verified: .
- Federal withholding: IRS Publication 15-T — Federal Income Tax Withholding Methods
- Social Security wage base: SSA 2026 Social Security Wage Base
- Medicare rates: IRS Topic No. 751 — Social Security and Medicare Withholding Rates
- State income tax: California Franchise Tax Board — 2026 California Employer's Withholding Schedules
How overtime taxes work
Overtime pay is ordinary W-2 income. Your employer adds overtime wages to your regular pay and withholds federal income tax, state income tax (where applicable), and FICA using the same withholding tables as the rest of your paycheck. There is no special "overtime tax rate" — only your marginal bracket applies to each additional dollar earned.