Methodology
How our calculators work, our data sources, and our commitment to accuracy
Our Calculators
Try our calculators to see our methodology in action:
Overview
Our calculators are built with accuracy and transparency in mind. We use current tax rates, labor laws, and official government data to ensure our calculations are reliable and up-to-date. This page explains our methodology, data sources, and how we maintain accuracy.
Calculator Formulas
Overtime Pay Calculator
Regular Pay: Hours ≤ 40 × Hourly Rate
Overtime Pay: Hours > 40 × Hourly Rate × 1.5
Daily Overtime (CA): Hours > 8 in a day × Hourly Rate × 1.5
Double Time (CA): Hours > 12 in a day × Hourly Rate × 2.0
Take-Home Pay Calculator
Federal Income Tax: Based on 2025 tax brackets and standard deduction ($14,600 single, $29,200 married)
Social Security: 6.2% on wages up to $168,600
Medicare: 1.45% on all wages (2.35% on wages > $200,000)
State Tax: Varies by state using current 2025 rates
Salary to Hourly Converter
Annual to Hourly: Annual Salary ÷ (Hours per Week × Weeks per Year)
Default Assumptions: 40 hours/week, 52 weeks/year = 2,080 hours
Monthly Rate: Annual Salary ÷ 12
Weekly Rate: Annual Salary ÷ 52
Data Sources
Federal Tax Data
- • IRS Publication 15-T (2025) - Federal Income Tax Withholding
- • Social Security Administration - Current wage base and rates
- • Medicare tax rates and thresholds
- • Standard deduction amounts for 2025
State Tax Data
- • State department of revenue websites
- • State tax withholding tables and rates
- • Local tax rates where applicable
- • State-specific deductions and exemptions
Labor Law Data
- • Department of Labor - Fair Labor Standards Act (FLSA)
- • State labor department websites
- • Minimum wage rates by state and locality
- • Overtime rules and exemptions
Update Cadence
Annual Updates
- • Federal tax brackets and standard deductions (January)
- • Social Security wage base and rates (January)
- • State tax rates and brackets (as published)
- • Minimum wage rates (as they change)
As Needed Updates
- • New state or local tax changes
- • Labor law updates and court decisions
- • Minimum wage increases
- • New overtime rules or exemptions
Accuracy & Limitations
Important Disclaimer
Our calculators provide estimates based on current tax rates and labor laws. These calculations should not be considered as professional tax or legal advice. For complex situations, unusual circumstances, or official tax filings, please consult with a qualified tax professional or attorney.
Our Calculators
Try our free calculators that use the methodologies described above:
Report Issues
Found an error or have a suggestion for improvement? We take accuracy seriously and appreciate your feedback to help us maintain the highest standards.
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