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How to Calculate Split Shift Premiums

Calculating split shift premiums can be complex, especially when state-specific rules apply. This step-by-step guide will help you understand how to calculate your split shift pay, including any applicable premiums.

Step 1: Identify Your Shifts

First, identify all the shifts you worked in a single day:

Example:

  • Shift 1: 6:00 AM - 10:00 AM (4 hours)
  • Break: 10:00 AM - 2:00 PM (4-hour gap)
  • Shift 2: 2:00 PM - 6:00 PM (4 hours)

Total hours worked: 8 hours

Step 2: Calculate Total Hours Worked

Add up all shift hours:

Formula: Total Hours = Shift 1 Hours + Shift 2 Hours + Shift 3 Hours (if applicable)

Example: 4 hours + 4 hours = 8 total hours

Step 3: Calculate Regular Earnings

Multiply total hours by your hourly wage:

Formula: Regular Earnings = Total Hours × Hourly Wage

Example: 8 hours × $15/hour = $120

Step 4: Determine if Premium Applies (California)

In California, the split shift premium applies unless your total daily earnings exceed a threshold. The premium is 1 hour of minimum wage.

California Premium Calculation

Premium Amount: 1 hour of minimum wage

Threshold: Premium applies if Regular Earnings < (Total Hours + 1) × Minimum Wage

Example Calculation:

  • Total Hours: 8
  • Hourly Wage: $15/hour
  • Minimum Wage: $16/hour
  • Regular Earnings: 8 × $15 = $120
  • Threshold: (8 + 1) × $16 = $144
  • Since $120 < $144, premium applies
  • Premium: $16 (1 hour of minimum wage)
  • Total Pay: $120 + $16 = $136

Step 5: Calculate Total Pay

Add the premium (if applicable) to your regular earnings:

Formula: Total Pay = Regular Earnings + Premium (if applicable)

Example: $120 + $16 = $136

Step 6: Consider Overtime (Separate Calculation)

Overtime is calculated separately from split shift premiums. If you work more than 40 hours in a week (or 8 hours in a day in some states), you're entitled to overtime pay:

Important: Overtime is calculated on your regular hourly wage, not including the split shift premium.

For example, if you work 45 hours in a week with split shifts, you'd get:

  • 40 hours at regular rate
  • 5 hours at 1.5× regular rate (overtime)
  • Plus any split shift premiums for days with split shifts

Common Calculation Scenarios

Scenario 1: Premium Applies

  • Hours: 8 hours (4am-8am, 2pm-6pm)
  • Wage: $15/hour
  • Min Wage: $16/hour
  • Regular Pay: $120
  • Threshold: $144
  • Premium: $16 (applies because $120 < $144)
  • Total: $136

Scenario 2: Premium Doesn't Apply

  • Hours: 8 hours (4am-8am, 2pm-6pm)
  • Wage: $18/hour
  • Min Wage: $16/hour
  • Regular Pay: $144
  • Threshold: $144
  • Premium: $0 (doesn't apply because $144 ≥ $144)
  • Total: $144

Use Our Calculator

Don't want to calculate manually? Use our free split shift calculator to automatically calculate your pay, including any applicable premiums:

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