Colorado Overtime Pay Laws & Calculator

The rules

Source: COMPS Order #40, 7 CCR 1103-1

• Overtime applies after 40 hours in a single workweek, paid at 1.5x your regular hourly rate.
• Daily overtime also applies: 1.5x pay for hours worked beyond 12 in a single workday.

Worked example

Take a non-exempt hourly employee in Colorado earning $20.00/hour who works 45 hours in one workweek (nine hours a day, Monday through Friday). Applying Colorado's rules above:

Use the full calculator to plug in your own rate, hours, and pay period — including estimated federal and Colorado tax withholding.

Is overtime taxed differently in Colorado?

No -- overtime pay isn't taxed at a different rate than your regular wages. It's simply added to your gross pay for that period and withheld the same way as any other pay. Colorado has a flat 4.4% state income tax on wages (Tax Foundation, 2026 State Individual Income Tax Rates and Brackets), so overtime pay is withheld at the same rate as regular pay.

Who this applies to

• Overtime (1.5x) applies to hours over 40/week or over 12/workday, whichever is greater for a given hour -- not both added together.
• Colorado's rule also covers 12 consecutive hours worked regardless of calendar-day boundary (e.g. an overnight shift) -- this calculator only looks at hours entered per day, so a shift crossing midnight may not be captured correctly.
• This estimate assumes a non-exempt hourly employee. Executive, administrative, professional, and certain other roles may be exempt from overtime entirely under state and federal law.

This is an estimate for general informational purposes only, not legal, tax, or payroll advice. For your specific situation, consult your employer's payroll department, a licensed tax professional, or Colorado's labor department.