Methodology & US FLSA Disclaimer

Why NetHourly exists

Most workers do not need another finance blog. They need to know what a $22/hour offer means on a bi-weekly check, why a 24-hour shift paid 13 hours instead of 24, or why a big overtime check looked heavily taxed. Those questions have concrete answers, and the answers should be visible.

NetHourly is an independent calculator and reference site for US hourly and shift workers. The goal is to make the math legible: show the formula, label the assumptions, and separate gross pay from take-home estimates. The site does not collect payroll data and does not replace a payroll department, a tax preparer, or a lawyer.

1. Gross pay and pay periods

Gross pay is pay before any tax withholding or deductions. For an hourly worker, the baseline is 40 hours per week for 52 weeks, or 2,080 hours per year. Weekly gross is the hourly rate × 40. Annual gross is weekly gross × 52.

Annual gross = hourly rate × 40 hours × 52 weeks

Pay frequency changes the size of each paycheck, not the annual total:

Weekly: annual gross ÷ 52 paychecks.
Bi-weekly: annual gross ÷ 26 paychecks — the most common US schedule.
Semi-monthly: annual gross ÷ 24 paychecks, usually paid on the 1st and 15th.
Monthly: annual gross ÷ 12 paychecks.

Bi-weekly and semi-monthly are not interchangeable. Twenty-six bi-weekly checks are smaller than twenty-four semi-monthly checks, even though annual gross is identical.

2. FLSA overtime

Under the federal Fair Labor Standards Act, most non-exempt employees earn 1.5× their regular rate for hours worked beyond 40 in a fixed 7-day workweek. Double time is 2× and is not required by federal law, but may apply under state law, a union contract, or employer policy.

Overtime pay = overtime hours × hourly rate × 1.5

Double-time pay = double-time hours × hourly rate × 2

Some states add daily overtime. California, for example, pays 1.5× after 8 hours in a workday and 2× after 12 hours. The 24-hour shift calculator supports both the federal weekly method and the California daily split.

3. 24-hour shifts, sleep, and meals

A 24-hour shift is not automatically 24 paid hours. FLSA rules allow employers to exclude up to 8 hours of sleep time only when the worker receives at least 5 hours of uninterrupted sleep. Up to 3 duty-free meal hours — typically one hour each for breakfast, lunch, and dinner — may also be excluded.

Payable hours = 24 − sleep deduction − meal deduction

With the full 8 sleep hours and 3 meal hours excluded, 13 of the 24 hours remain payable. If the worker must remain on duty, or sleep is interrupted below the 5-hour threshold, the time is generally compensable. Actual arrangements depend on the employment relationship and applicable state rules.

4. Estimated take-home pay

NetHourly does not prepare tax returns. The take-home toggle applies simplified, flat-rate estimates to gross pay:

FICA only: 7.65% — 6.2% Social Security plus 1.45% Medicare.
Standard single filer: about 18% — FICA plus roughly 10.35% effective federal income tax.
High-tax state: about 24% — adds state income tax for places such as California, New York, New Jersey, and Oregon.
No-income-tax state: about 15% — FICA plus federal tax only, for places such as Texas, Florida, Washington, and Nevada.

Real withholding depends on filing status, dependents, pre-tax deductions, credits, and state or local rules. Use the estimates to compare scenarios, not to calculate an exact paycheck.

5. Sources and further reading

These are the primary references behind the calculators. Rules change; check the current version before relying on a figure.

6. Methodology & US FLSA disclaimer

NetHourly is an independent educational calculator. It is not a payroll provider, law firm, or tax adviser, and it is not affiliated with the US Department of Labor or any state agency. Wage and hour law is fact-specific and changes over time. Overtime eligibility, sleep and meal exclusions, and state daily overtime rules depend on the worker's duties, employment agreement, and location.

Always confirm current rules with the US Department of Labor, your state labor office, or a qualified payroll or legal professional before relying on a figure for a paycheck, contract, or dispute.