How to Calculate Overtime Claim?

There is a FORMULA to calculate Overtime claim if you work after office hours. What is your office hours? The working might be vary for every organization. Let's take a standard office hours:-

Working hours from 8.30am to 5.30pm.

Lunch Hour per day = 45 minutes (= 0.75 hrs)

Working days per week = 5

Working months per year = 12

Overtime rate = 1.5

Working hours per week = 41.25

Working week per year = 52

Overtime = 12 months x basic salary

---------------------------- x 1.5

52 weeks x 41.25 hours

1. Let's say basic salary per month = $2100

Overtime = (12 x 2100)/(52 x 41.25) x 1.5
= $17.62/hr

2. Let's say Basic Salary per month = $2500

Overtime = (12 x 2500)/(52 x 41.25) x 1.5

= $20.98/hr