How it works
Each day's hours = end time − start time − break. If the end is earlier than the start, the shift counts through midnight. Hours over the weekly overtime limit (40 under US federal law) are paid at 1.5 times the rate.
Payroll usually wants decimal hours: 7 hours 45 minutes is 7.75 hours.
Worked example
Five days of 9:00 AM to 5:30 PM with a 30-minute break = 8 hours a day, 40 hours a week. At $20 an hour that's $800.00. A sixth day of 4 hours adds 4 overtime hours at $30, for $920.00.
Frequently asked questions
How do I calculate hours worked?
Subtract the start time from the end time, then subtract unpaid breaks. Do this for each day and add them up.
How do I convert minutes to decimal hours?
Divide by 60. 15 minutes = 0.25, 30 = 0.5, 45 = 0.75.
How is overtime calculated?
Under US federal law, hours over 40 in a workweek are paid at 1.5 times the regular rate. Some states also have daily overtime.
Does it handle night shifts?
Yes. If the end time is before the start, it counts through midnight.