Vermont Overtime Calculator — 2026

Frequently Asked Questions

• What is Vermont's overtime threshold in 2026?

  Vermont requires overtime pay for hours worked over 40 in a single workweek (21 V.S.A. § 384). This mirrors the federal FLSA weekly threshold. There is no daily overtime trigger in Vermont — unlike California, Vermont does not require overtime after 8 hours in a day.

• What overtime rate does Vermont require?

  Vermont requires overtime pay at 1.5 times (time-and-a-half) the employee's regular rate of pay for all hours exceeding 40 in a workweek. Vermont does not have a double-time (2×) requirement at any threshold.

• Can a Vermont employer offer comp time instead of overtime pay?

  No. Vermont law has no provision allowing private employers to substitute compensatory time off for cash overtime payments. Employees in Vermont must receive overtime wages in cash at the 1.5× rate. (Only certain public-sector arrangements may differ.)

• Does Vermont have a daily overtime rule?

  No. Vermont overtime is calculated on a weekly basis only. An employee working 10 hours in a single day but only 38 hours in the full workweek owes no overtime. Daily overtime rules (like California's 8-hour daily trigger) do not apply in Vermont.

• What is Vermont's minimum wage in 2026, and how does it affect overtime?

  Vermont's minimum wage is $14.42 per hour effective January 1, 2026. For a minimum-wage worker, the overtime rate would be at least $21.63 per hour (1.5 × $14.42). Tipped employees' regular rate must also factor in the $14.42/hr minimum for overtime calculations.

• Who is exempt from Vermont overtime rules?

  Vermont's overtime exemptions mirror federal FLSA categories: executive, administrative, professional, outside sales, and certain computer employees may be exempt if they meet salary and duties tests. Vermont statute 21 V.S.A. § 384 also exempts some retail or service establishment workers. When in doubt, apply the standard that provides greater protection to the employee.

• How is the regular rate calculated for salaried non-exempt employees in Vermont?

  For a non-exempt salaried employee, the regular rate is the weekly salary divided by 40 hours. Overtime premium is 0.5× the regular rate for each hour over 40 (the salary already covers straight-time for all hours). Total pay = salary + (OT hours × regular rate × 0.5).

• Does Vermont's overtime law apply to part-time workers?

  Yes. Vermont's overtime requirement applies to any employee (full-time or part-time) who exceeds 40 hours in a workweek and is not otherwise exempt. There is no minimum hours-per-week threshold for coverage — if a part-time worker crosses 40 hours, those additional hours must be paid at 1.5×.

• What happens if a Vermont employer fails to pay overtime?

  Under Vermont law, an employer who fails to pay overtime wages owes the unpaid amount plus a penalty of twice the unpaid wages, plus attorney's fees and costs (21 V.S.A. § 342). The Vermont Department of Labor's Wage & Hour Program can investigate complaints and order remediation.

• Does Vermont follow federal FLSA overtime rules or have stricter rules?

  Vermont's overtime rule follows the federal FLSA 40-hour weekly standard for private employers. Vermont law (21 V.S.A. § 384) specifies that where state and federal rules differ, the law providing greater protection to employees governs. One Vermont-specific rule: no compensatory time in lieu of overtime pay in private employment.