Double Time and Holiday Pay: How to Calculate Them Under the FLSA
Federal law never requires double time or holiday pay. When they are paid anyway, here is how they interact with overtime, the regular rate and the 40-hour count.
Short answer: double time is 2 × the regular rate. The FLSA requires neither double time nor holiday pay; it requires only time and a half after 40 hours in a workweek. When an employer pays them anyway — by policy, contract or state law — the extra premium can usually be credited against the overtime owed, and paid time off on a holiday does not count toward the 40 hours.
What federal law requires — and what it doesn't
- Overtime: at least 1.5 × the regular rate for hours over 40 in a workweek (29 U.S.C. §207(a)(1)).
- Double time: not required by the FLSA.
- Holiday pay: not required. The FLSA "does not require payment for time not worked, such as vacations, sick leave or federal or other holidays" (DOL, Holiday Pay).
- Working on a holiday: treated like any other day under federal law unless the employer promises a premium.
How to calculate double time
Double time pay = hours × regular rate × 2. The regular rate is not always the base wage: it includes non-discretionary bonuses and shift differentials earned that week (29 CFR §778.108–§778.110).
Example (California, one day): $24/hour, 14 hours worked on a single workday.
| Hours | Rate | Pay |
|---|---|---|
| First 8 | 1.0 × $24 | $192 |
| Hours 9–12 (4) | 1.5 × $24 = $36 | $144 |
| Hours 13–14 (2) | 2.0 × $24 = $48 | $96 |
| Day total | $432 |
California requires double time after 12 hours in a workday and after 8 hours on the seventh consecutive day of the workweek (Labor Code §510). The California Overtime Calculator applies these day by day without double-counting.
Holiday pay for a day off
When an employee is paid for a holiday they do not work, that payment is not compensation for hours of employment. It is excluded from the regular rate and cannot be credited toward overtime (29 CFR §778.218(a)), and the paid-but-not-worked hours do not count toward the 40.
Example: 8 hours of holiday pay on Monday, then 40 hours actually worked Tuesday–Saturday at $20/hour.
- Hours worked = 40 → no FLSA overtime is owed.
- Pay = 40 × $20 + 8 hours holiday pay × $20 = $960.
A union contract or company policy can promise more (for example, counting holiday hours toward overtime). Then the policy controls, but it is a contractual promise, not an FLSA requirement.
Premium pay for working on a holiday
Many employers pay 1.5× or 2× for hours worked on a holiday. If that premium rate is at least 1.5 times the normal rate for like work, the extra amount is excluded from the regular rate and can be credited toward FLSA overtime owed for the same workweek (29 U.S.C. §207(e)(6) and §207(h)(2)).
Example: $20/hour. Monday is a holiday paid at 2× when worked. Employee works 8 hours Monday and 36 hours Tuesday–Saturday = 44 hours.
- FLSA overtime owed: 4 hours × $10 premium = $40.
- Holiday premium already paid: 8 hours × $20 extra (the part above straight time) = $160.
- Because the holiday premium is at least 1.5×, it can be credited against the $40 → no additional overtime is due.
Total pay = 44 × $20 + $160 = $1,040. If the holiday premium were only 1.25×, it would have to be added to the regular rate instead, and could not be credited.
Double time and the 2025–2028 overtime tax deduction
Only the premium the FLSA requires counts as qualified overtime compensation. For overtime paid at 2×, the deductible portion is still the half-time premium on the FLSA regular rate — not the full second "time" (IRS Fact Sheet 2026-13). The No Tax on Overtime Calculator has a double-time option that applies this.
Sources
- 29 U.S.C. §207 — overtime; exclusions (e)(6); creditable premiums (h)(2)
- 29 CFR §778.218 — pay for holidays and other idle time
- 29 CFR §778.203 — premium pay for Saturday, Sunday and holiday work
- U.S. DOL — Holiday Pay
- California Labor Code §510
- IRS — Fact Sheet 2026-13
Try our free calculators
Verify the numbers for your specific situation — built on the same DOL sources cited above.
Related reading
- California Overtime Rules vs. Federal FLSA: What Employers Need to KnowCalifornia requires daily overtime after 8 hours, double time after 12, and seventh-day premiums. How CA rules differ from the federal FLSA.
- Overtime on Biweekly and Semi-Monthly Payroll: The Workweek RuleOvertime is owed per 7-day workweek, not per pay period. How to calculate it on biweekly and semi-monthly payroll, with worked examples and the payment-timing rule.
- The Regular Rate of Pay: The Number Behind Every Overtime CalculationThe regular rate is the foundation of FLSA overtime — and it's rarely just the hourly wage. What must be included, what can be excluded, and how to compute it (29 CFR §778).
Not legal advice. This article is for informational purposes only. Compliance obligations depend on employer-specific facts, collective bargaining agreements, and applicable jurisdictions. Consult qualified counsel before acting on any information here.