Double time pay is a pay rate equal to twice an employee’s regular hourly rate. Federal law does not require it. It applies only when a state law, a union contract, or an employer policy says so, usually for very long shifts, a seventh straight workday, or holidays. Only non-exempt employees qualify, and the rules differ by state.
Double time pay is two times the regular rate, while standard overtime pays 1.5 times. The federal Fair Labor Standards Act (FLSA) requires time and a half after 40 hours in a workweek and sets no extra pay for holidays, weekends, or long days. So any double time a worker earns comes from state law, a contract, or company policy.
Healthcare, manufacturing, and film production often use it because their teams work unusual hours. Double time raises gross pay before deductions reduce it to net pay.
It applies only when a law, contract, or policy triggers it. Common triggers include
California Labor Code section 510 sets both California triggers. California is the main state with a broad double time mandate, so check your own state labor department before assuming a rule carries over.
Double time pay = regular rate x 2 x double time hours
Use the regular rate, not just the base wage. Under the FLSA, the regular rate includes all pay for employment with limited exclusions, so many bonuses and commissions raise it.
Holiday shift. Lena earns $22 an hour, and her employer pays double time on Labor Day. Eight hours at $44 is $352, compared with $176 on a normal day.
Long day in California. Marcus earns $22 and works 14 hours. Hours one to eight pay $176. Hours nine to 12 pay overtime at $33, which is $132. Hours 13 and 14 pay $44 each, which is $88. His total is $396.
Seventh straight day in California. Ana earns $22 and works 10 hours on her seventh consecutive day. The first eight hours pay $33 each, which is $264. The last two pay $44 each, which is $88. Her total is $352.
| Overtime | Double time | |
|---|---|---|
| Rate | 1.5x regular rate | 2x regular rate |
| Required by federal law | Yes, after 40 hours in a workweek | No |
| Typical trigger | Weekly hours | Daily hours, seventh day, holidays |
| Where the rule comes from | FLSA and state law | State law, contracts, policy |
The two can stack in one shift, so payroll has to apply the right rate to the right hours.
California’s minimum wage rose to $16.90 an hour on January 1, so double time at the state floor is $33.80 an hour. California’s exempt salary minimum is now $70,304 a year, while the federal level is $684 a week.
The bigger change is tax. From 2025 through 2028, eligible workers can deduct up to $12,500 of qualified overtime compensation ($25,000 on joint returns), reduced above $150,000 of modified adjusted gross income ($300,000 joint). Only the premium the FLSA requires counts. In the IRS example, a worker earning $20 an hour is paid double time for 10 hours over 40 and receives $400, but only $100 qualifies. Starting with tax year 2026, employers report qualified overtime on Form W-2, box 12, code TT, so payroll teams should track it separately.