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# If you have 2 different rates one for driving and one for on

If you have 2 different rates one for driving and one for on sight work when you get into an overtime situation what would the overtime rate be based off
Hello,

That would be based off the 'regular rate of pay.' That is calculated by coming up with the number of hours spent doing normal work compared to traveling during a week and averaging that out to determine what the average rate of pay is.

So, hypothetical:

let's say that there's an hour of travel time each day five days a week and 35 hours of 'normal work.'

The rate for travel time is 8 dollars an hour and the rate for 'normal time' is 10 dollars an hour. The formula for determining the regular rate of pay is:

(5 hours x 8 dollars travel rate an hour plus 35 hours x 10 dollars an hour normal rate)/40

Which comes out to 390/40 or \$9.75 an hour, instead of the normal \$10 an hour.

So overtime would be paid at 1.5 times 9.75 or \$14.63 (comes out to \$14.625, so round up).

Does that make sense?

This would need to be done on a weekly basis, and is one of the reasons why implementing two levels of pay creates some additional work and complications for payroll.

As before, I hope this information is helpful, and please ask me any clarifying questions you have.