Colorado Overtime
Pay Calculator

Overtime pay in Colorado is governed by both the federal Fair Labor Standards Act (FLSA) and the Colorado Overtime and Minimum Pay Standards Order (COMPS). Under the FLSA, most non-exempt employees must receive overtime pay at a rate of 1.5 times their regular hourly rate for all hours worked beyond 40 in a workweek.

Colorado goes further than federal law by also requiring daily overtime — employees earn overtime pay for hours worked beyond 12 hours in a single workday, even if they do not exceed 40 hours in the week.

Colorado's minimum wage is $14.81 per hour as of 2026, which directly affects the overtime rate. An employee earning the state minimum wage would receive at least $22.21 per hour for overtime work.

Employers cannot average hours across multiple workweeks or use biweekly pay periods to avoid overtime obligations — each workweek must be evaluated independently under both federal and Colorado law.

Employers in Colorado are required to pay overtime based on the employee's "regular rate of pay," which includes not just the base hourly rate but also non-discretionary bonuses, shift differentials, commissions, and certain other forms of compensation. Failing to include these components when calculating the overtime rate is one of the most common wage-and-hour violations.

The regular rate must be recalculated each workweek if the employee's compensation varies.

Colorado's Division of Labor Standards & Statistics enforces the Colorado Overtime and Minimum Pay Standards Order (COMPS Order), which exceeds the FLSA in several ways. Colorado requires daily overtime after 12 hours (not 8 like California), plus overtime for the 12th hour through midnight on any workday exceeding 12 hours.

The exempt salary threshold is $61,043/year (2024), one of the highest in the nation after New York and Washington. Colorado mandates a 30-minute unpaid meal break and two 10-minute paid rest breaks per 8-hour shift.

The Division of Labor Standards & Statistics administers claims; common violators include oil and gas contractors (Weld County), hospitality, and warehousing near Denver. Denver District Court is the primary venue for COMPS violations.

The current minimum wage in Colorado is $14.81 per hour. This rate is set by Colorado state law and exceeds the federal minimum wage of $7.25 per hour.

When the state and federal rates differ, employers must pay the higher rate. The overtime rate is 1.5x regular rate, meaning employees earn at least $22.21 per overtime hour at the state minimum wage.

Tipped employees in Colorado may be paid a lower cash wage, but the total of the cash wage plus tips must equal or exceed the full minimum wage for every hour worked. If an employee works overtime, the overtime rate must be calculated based on the full minimum wage (or higher regular rate), not the reduced tipped wage.

This is a frequent area of employer error and employee wage theft claims.

Some Colorado municipalities have enacted local minimum wage ordinances that exceed the state rate. Employees working in those jurisdictions are entitled to the higher local rate, and their overtime pay must be calculated accordingly.

Employers operating across multiple locations in Colorado must ensure they are applying the correct rate for each employee's work location.

Colorado is one of only a handful of states that requires daily overtime in addition to weekly overtime. Employees in Colorado must be paid overtime (1.5x regular rate) for all hours worked beyond 12 hours in a single workday.

This daily overtime protection means employees can earn overtime even in weeks where they work fewer than 40 total hours. For example, an employee who works four 10-hour days (40 hours total) would still earn 8 hours of overtime pay under Colorado law.

The workweek under FLSA is defined as any fixed, recurring period of 168 consecutive hours (seven 24-hour periods). The employer can set the workweek to begin on any day and at any time, but once established, it generally cannot be changed to avoid overtime obligations.

In Colorado, the employer's designated workweek determines when the 40-hour clock resets. Employers must clearly communicate the workweek start day to employees and maintain consistent records.

Unlike a few states such as California that require double-time pay for very long workdays, Colorado does not have a double-time requirement. The overtime premium remains at 1.5x the regular rate regardless of how many hours are worked in a single day or week.

However, some collective bargaining agreements or employment contracts in Colorado may provide for double-time or other enhanced rates beyond what state law requires.

Not all workers in Colorado are entitled to overtime pay. Under the FLSA and Colorado law, employees classified as "exempt" are not eligible for overtime.

To qualify as exempt, an employee must generally meet three tests: (1) they must be paid on a salary basis, (2) they must earn at least $61,043 per year (the current federal threshold ($684/week; note: the 2024 DOL rule that raised this to $58,656 was vacated by federal court in November 2024, reverting to the $35,568/year baseline)), and (3) their job duties must fall into one of the recognized exempt categories — executive, administrative, professional, computer employee, or outside sales.

Misclassification of employees as exempt is one of the most common and costly overtime violations in Colorado. Employers sometimes assign managerial titles or salary pay to workers who primarily perform non-exempt duties (such as manual labor, routine clerical work, or customer service) in an attempt to avoid overtime obligations.

The job title alone does not determine exempt status — it is the actual day-to-day duties that control the classification. An employee labeled "manager" who spends 80% of their time performing non-exempt work is likely entitled to overtime.

Independent contractors are not covered by overtime laws, but misclassification of employees as independent contractors is another widespread issue in Colorado. The IRS, Department of Labor, and Colorado state agencies each apply their own tests to determine whether a worker is genuinely an independent contractor or an employee entitled to overtime and other labor protections.

Key factors include the degree of control the employer exercises, the worker's investment in their own equipment, and whether the work is integral to the employer's business. Workers who believe they have been misclassified can file complaints with the Colorado labor department or the federal DOL.

Colorado requires employers to provide meal breaks to employees. Generally, employees who work a shift of 6 or more hours must be given an unpaid meal break of at least 30 minutes.

During an unpaid meal break, the employee must be completely relieved of all duties. If the employer requires the employee to remain on-site, on-call, or to perform any work during the meal period, the break must be counted as paid time worked — and those hours count toward the daily and weekly overtime thresholds.

In addition to meal breaks, Colorado requires paid rest breaks. Employees are generally entitled to a paid 10-minute rest break for every 4 hours worked (or major fraction thereof).

These rest breaks must be counted as hours worked and cannot be deducted from the employee's pay. Failure to provide required rest breaks may entitle the employee to one additional hour of pay at their regular rate for each workday a rest break was not provided.

These penalty premiums can also affect the overtime calculation.

Break violations are a major source of overtime claims in Colorado. When meal or rest periods are missed, shortened, or interrupted — and that time is not recorded and paid — the unpaid time accumulates and may push the employee over the daily or weekly overtime threshold.

Employers who use automatic time-clock deductions for meal breaks are particularly at risk, because the system may deduct break time even when the employee worked through the break. Colorado employees should keep personal records of their actual break times as evidence in the event of a dispute.

• The most common overtime violations in Colorado include: failure to pay overtime at the correct rate (using base pay instead of the regular rate that includes bonuses)
• misclassifying non-exempt employees as exempt
• requiring off-the-clock work (such as pre-shift setup, post-shift cleanup, or answering emails from home)
• and improper use of comp time in lieu of overtime pay. Private-sector employers generally cannot offer compensatory time off instead of overtime pay under the FLSA.

Colorado employees who believe their employer has violated overtime laws can file a complaint with the U.S. Department of Labor's Wage and Hour Division or with the Colorado state labor department.

Under the FLSA, employees can recover up to two years of unpaid overtime (three years if the violation was willful), plus an equal amount in liquidated damages (effectively doubling the recovery). Colorado state law may provide additional remedies, including attorney's fees.

Class action and collective action lawsuits are common in overtime cases, allowing groups of similarly-situated employees to sue together.

Employers in Colorado are required to maintain accurate time and pay records for all non-exempt employees for at least three years. These records must show the hours worked each day, total hours worked each workweek, the regular rate of pay, and total overtime compensation.

Failure to maintain proper records can shift the burden of proof to the employer — if the employer cannot produce records, the employee's reasonable estimate of hours worked may be accepted by the court.

Overtime violations often coincide with other employment law claims. The Colorado Wrongful Termination Damages Calculator estimates remedies if you were fired for complaining about wage violations.

The Colorado Unemployment Benefits Calculator helps you understand benefit amounts if your employment ended. For discrimination or retaliation tied to overtime disputes, the Colorado Employment Discrimination Damages Calculator covers federal and state remedies.

To discuss your specific wage-and-hour situation, find a Colorado employment attorney.