Who qualifies for no tax on overtime?
You qualify if your overtime is required by federal law and reported to you, you have a valid Social Security number, and you file jointly if married.
By the Sproutcalc team · Figures last checked · How we calculate
| Situation | Qualifies? | Why |
|---|---|---|
| Hourly worker paid time-and-a-half over 40 hours | Yes | The half-time premium is FLSA overtime |
| Nurse paid overtime under the FLSA | Yes | Same rule: the premium above the regular rate |
| Holiday or weekend premium in a 38-hour week | No | No hours over 40, so it isn't FLSA overtime |
| Double time under a union contract | Part | Only the FLSA-required half counts |
| Salaried exempt manager | No | Not entitled to FLSA overtime |
| Married, filing separately | No | Married couples must file jointly |
| Contractor paid overtime on a 1099 | Check | Possible if reported in Form 1099-NEC box 1d or 1099-MISC box 14 |
Not sure if you're FLSA non-exempt?
Ask your employer or HR. The IRS expects workers to make a reasonable effort to find out, which can include asking them.