What is the difference between overtime hours and double time?

Overtime hours and double time refer to the amount of money a worker earning an hourly wage should receive for the hours that they work. In Maryland, overtime pay is required by federal and state laws for any hour worked over forty in a single workweek. Overtime pay is defined as one and a half times the employee’s regular pay rate, or “time-and-a-half”. In other words, an employee earning $10 per hour would receive $15 for all hours worked over forty in a single week. Double time, on the other hand, is when the employee’s regular rate of pay is multiplied by two. So in the same example, the employee earning $10 per hour would receive $20 for any hours worked over forty in a single workweek. Double time is not commonly required in Maryland, but certain industries such as hotels or restaurants may require it. Additionally, some employers may choose to offer double time as a benefit to their employees. The main difference between overtime hours and double time is the payment rate. Overtime hours are paid at one and a half times the regular rate, while double time is paid at two times the regular rate. Both overtime and double time are intended to compensate employees for working additional hours, but double time often provides employees with greater incentive for working extra hours.

Related FAQs

What is the difference between wages and benefits?
What are the differences between independent contractors and employees?
What is the overtime rate for hourly employees?
What workers are not entitled to overtime pay?
What is the difference between salaried and non-salaried employees?
How should employers handle employees who work remotely?
What is the difference between an employee and an independent contractor?
What is the difference between compensatory time and overtime pay?
What are the differences between regular pay and overtime pay?
What is the difference between a minimum wage and a living wage?

Related Blog Posts

What is Wage and Hour Law and How Does it Affect Your Business? - July 31, 2023
What Employers Need to Know About Wage and Hour Law - August 7, 2023
The Basics of Payroll Law and Compliance - August 14, 2023
Compensating Your Employees - Tips for Wage and Hour Law Compliance - August 21, 2023
Understanding Overtime Rules Under Wage and Hour Law - August 28, 2023