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Compliance & Labor Laws

Overtime Laws by State: What to Know (2026)

September 3, 2026

Flat vector illustration of a US map with a clock overlaid and state markers

Overtime laws vary by state, and that's what makes overtime compliance tricky. The federal FLSA sets a floor — 1.5× for hours over 40 in a workweek — but many states add their own rules on top, some far more generous to workers. Where an employee works determines which rules apply. This is a general overview for 2026, not legal advice; always confirm the current rules for each state.

The federal floor

Everywhere in the US, the FLSA requires non-exempt employees to earn at least 1.5× their regular rate for hours over 40 in a workweek. There's no federal daily overtime. States can't go below this floor — but they can, and many do, go above it.

States with daily overtime

Some states require overtime based on hours in a single day, not just the week. The best-known example is California, which requires:

  • 1.5× for hours over 8 in a workday
  • 2× (double time) for hours over 12 in a workday
  • 1.5× for the first 8 hours on the seventh consecutive workday, and 2× beyond that

Alaska, Nevada, and Colorado also have forms of daily overtime, each with their own thresholds and conditions. Because the details differ, check each state specifically.

How state and federal rules interact

When both apply, the employee gets whichever rule is more favorable to them. So in a daily-overtime state, an employee can earn overtime for a long day even if their weekly total is under 40. You can't average away a state daily-overtime obligation with a light week.

Other state variations

Beyond daily overtime, states differ on:

  • The "regular rate" and what must be included in it.
  • Overtime for the seventh consecutive day worked.
  • Meal and rest break penalties that interact with pay.
  • Which employees are exempt, since some states have their own exemption tests and higher salary thresholds than federal.

Why multi-state teams need to be careful

If you employ people in more than one state — common with remote work — you may be applying different overtime rules for different employees. The rule that governs is the one where the work is performed, so a distributed team can mean several rulebooks at once.

Apply the right rules automatically

Tracking hours by workweek and by day, and applying the correct state rule per employee, is where manual payroll breaks down. Timesheet Maker totals hours by workweek and day and can apply daily-overtime and double-time rules where they're required, so overtime is calculated correctly for each employee's location — and documented if it's ever reviewed.

Frequently asked questions

Do overtime laws vary by state? Yes. The FLSA sets a federal minimum (1.5× over 40 hours a week), but states can add stricter rules, like daily overtime and double time. The state where work is performed governs.

Which states have daily overtime? California is the most notable, with overtime over 8 hours a day and double time over 12. Alaska, Nevada, and Colorado also have daily-overtime provisions with their own thresholds. Confirm current rules per state.

What happens when state and federal overtime rules both apply? The employee receives whichever is more favorable. A state daily-overtime rule can apply even when the weekly total is under 40 hours.

How do overtime rules work for remote teams across states? Generally the rules of the state where the employee performs the work apply, so a multi-state team may involve several different overtime rulebooks.

Get multi-state overtime right

Know the federal floor, check each state's daily and double-time rules, and apply the more favorable one. To automate it by location, try Timesheet Maker free.

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