Overtime Calculator
Calculate your effective hourly rate after tax for overtime work
Calculate Your Overtime
Common Overtime Rates
| Day/Time | Typical Rate |
|---|---|
| Weekday (first 2-3 hours) | 1.5x |
| Weekday (after 3 hours) | 2x |
| Saturday | 1.5x |
| Sunday | 2x |
| Public Holiday | 2.5x |
Frequently Asked Questions
How is overtime taxed in Australia?
Overtime is taxed as regular income at your marginal tax rate. There is no special overtime tax rate. If overtime pushes your income into a higher bracket, only the portion above the threshold is taxed at the higher rate.
What is time and a half?
Time and a half (1.5x) means you earn 150% of your normal hourly rate. For example, if your base rate is $40/hour, time and a half is $60/hour. This is common for weekday overtime and Saturday work.
What is double time?
Double time (2x) means you earn 200% of your normal hourly rate. For example, if your base rate is $40/hour, double time is $80/hour. This is common for Sunday work and public holidays.
Does overtime affect my HECS repayments?
Yes, overtime increases your total income, which may push you into a higher HECS repayment bracket. Repayment rates range from 1-6% of your total income depending on how much you earn.
Why does overtime seem so heavily taxed?
Overtime is taxed at your marginal rate, which is typically higher than your average tax rate. For example, if you earn $90k base, overtime is taxed at 30% + 2% Medicare = 32%, even though your average rate is only ~23%.
Is all overtime paid at penalty rates?
Not always. Penalty rates depend on your award, enterprise agreement, or employment contract. Some roles have overtime built into their salary (e.g., "reasonable additional hours"). Check your employment terms.
Should I take overtime or time in lieu?
It depends. Cash overtime is taxed at your marginal rate. Time in lieu gives you paid time off later at your normal rate. If you're in a high tax bracket, time in lieu may be more valuable. Consider your work-life balance too.
How do I calculate my base hourly rate?
Divide your annual salary by your total annual hours. For standard full-time (38 hours/week): Annual salary ÷ 1,976 hours = hourly rate. For example, $80,000 ÷ 1,976 = $40.49/hour.
Related Guides
See Your Full Salary Breakdown
Calculate your complete take-home pay including tax, Medicare, super, and HECS.
Open Salary CalculatorThis calculator uses 2025-26 ATO tax rates and is for informational purposes only. Overtime rates vary by award, enterprise agreement, or contract. Check your employment terms.
Last updated: February 2026