The Key Rule: Same Employer, All Hours Combined

Under FLSA, all hours worked for the same employer in a workweek are combined for overtime purposes — regardless of job title, department, or pay rate. If you work 25 hours as a cashier at $16/hr and 20 hours as a stocker at $18/hr for the same store: total = 45 hours, requiring 5 hours of overtime pay.

Different Employers vs. Same Employer

When are hours combined for overtime purposes?

SituationHours Combined for OT?Overtime Owed?
Two jobs, same employer (same EIN)Yes — all hours combinedIf combined hours > 40, yes
Two jobs, different employers (different EINs)No — tracked separatelyOnly if 40+ hours at one employer
Temp agency and client companyDepends on who controls workComplex — consult employment attorney
Parent company and subsidiaryMay be combined if joint employerFact-specific analysis

The Weighted Average Rate Calculation

When working at multiple rates for the same employer: regular rate = (total earnings at all rates) ÷ (total hours worked). Then: overtime premium = regular rate × 0.5 × overtime hours. Example: 25 hours × $16 = $400 + 20 hours × $18 = $360. Total straight-time: $760. Regular rate: $760 ÷ 45 hours = $16.89/hr. OT premium: $16.89 × 0.5 × 5 = $42.22. Total gross: $760 + $42.22 = $802.22.

💡Rate in Effect Method: An Alternative

An alternative to the weighted average: overtime is paid at 1.5× the rate in effect at the time overtime hours were worked. This requires clear documentation of which hours were at which rate. If your 5th-hour-over-40 happened to be in the $18/hr stocking role: OT rate = $27/hr for those hours. Whichever method the employer chooses must be consistently applied.

Multiple Roles at the Same Company: Documentation

If you work multiple roles for the same employer: keep records of which hours were worked under which role and pay rate. This documentation is critical if overtime calculation is disputed. Your employer should be tracking this, but your independent records ensure accurate calculation and provide evidence if a dispute arises.

Calculate Weighted Average Overtime for Multiple Rates

Enter total straight-time earnings and total hours to find your regular rate and overtime premium.

Open Overtime Pay Calculator →