Overtime-Weighted Average (WAOT)

Weighted Average Overtime (WAOT) is a calculation method used in situations in which an employee works two different jobs at two different rates of pay.

Example of WAOT when computing overtime based on two different rates of pay:

 Joe works 30 hours at $10/hr and 20 hours at $12/hr for a total of 50 hours in the workweek.  10 hours of overtime are calculated.

30 hours x $10/per hour $300
20 hours x $12/per hour $240
Total Straight Time Pay $540

$540 divided by 50 hours (total time worked)= $10.80

$10.80 divided by 2 = $5.40 (Weighted Average Overtime)

$5.40 x 10 hours (Overtime) $54
$540.00 (Total Straight Time) + $54 (WAOT) = $594
Weighted Average Gross Pay $594


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