California—The Golden State has a style all its own. That is certainly true when it comes to calculating overtime. As one of only four states that require daily overtime, it also requires employees to be paid double time on a daily and weekly basis. With arguably the greatest number of requirements to pay overtime on the books of any state, processing payroll and keeping in compliance with California overtime rules can be a complex situation.
In addition to laws that are strictly Californian, federal wage and hour laws may also apply. For example, California’s own definition of “regular rate of pay” or “workweek” is evolving with each court case but still follows the federal standard. So, the person processing payroll in the state must understand not only California’s overtime requirements but the federal ones as well.
