Determine the employee’s regular hourly rate
Multiply the regular hourly rate by 1.5 to get the overtime rate
Identify the number of overtime hours worked
Multiply the overtime rate by the overtime hours to get gross overtime pay
Add overtime pay to regular pay to get total gross wages
Apply federal income tax withholding to the total gross wages
Apply Social Security tax to the total gross wages up to the wage base limit
Apply Medicare tax to the total gross wages
Apply any additional Medicare tax if applicable
Apply state and local income taxes if required
Subtract all applicable taxes from gross wages to get net pay
Use the employer’s payroll method or tax tables to calculate exact withholding amounts