Your regular rate is what you actually earn for each hour you work. It’s based on your total pay, not just your base hourly pay, so bonuses and shift pay can raise it. Overtime is figured from this number.

Total pay for the week ÷ total hours worked = regular rate

Usually included: wages, shift differentials, commissions, and bonuses that were promised or tied to production or attendance.

Usually not included: overtime premium pay, true gifts, expense reimbursements, and pay for time not worked, like vacation.

Example: You earn $900 in a week, including a $100 attendance bonus, and work 45 hours. $900 ÷ 45 = a regular rate of $20 an hour.