Inn-Flow Labor and Payroll applies California's overtime rules, which go beyond the federal 40-hour weekly standard to include daily overtime, daily double time, and 7th-consecutive-day requirements. Inn-Flow calculates every applicable scenario through a state-specific OT engine and automatically applies the outcome that is most favorable to the employee.
This applies only to clients with the new Labor Calculation Engine enabled, toggled on at the enterprise level. Contact your Implementation Manager or CSM for more information on enablement. |
California Overtime Rules
Daily overtime (OT): more than 8 hours in a single workday is paid at 1.5x the regular rate, regardless of weekly total hours.
Daily double time (DT): more than 12 hours in a single workday is paid at 2x the regular rate.
Weekly overtime: more than 40 hours in a workweek is paid at 1.5x. Weekly OT is not added on top of daily OT – the employee receives whichever outcome pays more.
7th consecutive day: if an employee works 7 consecutive days in the employer-defined workweek, the first 8 hours on the 7th day are paid at 1.5x and hours above 8 are paid at 2x. If the 7th consecutive day falls into a new workweek, the rule does not apply.
The following hours do not count toward daily or weekly overtime: PTO, paid holidays, and paid leave categories that do not qualify as "hours worked" under California law.
Blended / Weighted-Average Rate
When an employee works multiple rates in a workweek, a weighted-average rate is required. The blended regular rate is calculated as Total Straight-Time Earnings divided by Total Hours Worked. Multipliers are 1.5x for daily OT, weekly OT, or 7th-day OT, and 2x for daily double time or 7th-day double time.
California requires the system to pay whichever produces the higher outcome – the blended rate times the multiplier, or the "rate in effect" (the rate being worked when the OT or DT is triggered). Inn-Flow automatically selects the higher value.
Daily Overtime Classification
On days 1 through 6, Inn-Flow categorizes hours as follows:
Hours Worked | Classification | Multiplier |
0-8 | Regular | 1.0x |
Over 8 to 12 | OT | 1.5x |
Over 12 | DOT | 2.0x |
On the 7th consecutive day:
Hours Worked | Classification | Multiplier |
0-8 | OT | 1.5x |
Over 8 | DOT | 2.0x |
OT and DOT hours do not count toward the weekly 40-hour total.
Weekly Overtime
Weekly overtime applies only to regular hours beyond 40 and is paid at the blended rate times 1.5. OT and DOT hours never contribute toward the 40-hour threshold.
Worked Examples
Example 1 -- 13-hour day (day 5). RTU is the regular rate used.
Segment | Hours | Classification | Pay |
0-8 | 8 | Regular | 8 x Base Rate |
8-12 | 4 | OT | 4 x (RTU x 1.5) |
12-13 | 1 | DOT | 1 x (RTU x 2) |
Example 2 -- 7th consecutive day (9 hours).
Segment | Hours | Classification | Pay |
0-8 | 8 | OT | 8 x (RTU x 1.5) |
8-9 | 1 | DOT | 1 x (RTU x 2) |
Example 3 -- Standard weekly overtime. The employee works 45 regular hours with no daily OT or DOT. The first 40 hours are regular; the remaining 5 hours are OT at the blended rate times 1.5.
Example 4 -- Mixed California week.
Day | Total Hours | Breakdown |
Mon | 10 | 8 Regular, 2 OT |
Tue | 13 | 8 Regular, 4 OT, 1 DOT |
Wed-Fri | 8 each | Regular |
Sat | 7 | Regular (39 cumulative) |
Sun | 9 | 8 OT, 1 DOT |
Regular hours total 39, which is below 40, so there is no weekly OT. Daily OT and DOT are paid per the day-level rules.
All calculations use the local hotel time zone. Daily boundaries follow the employer's configured workday start, and weekly boundaries follow the entity-defined workweek start.