California vs New York vs Texas Overtime Laws Compared
Ever worked 12 hours in a day and wondered why your paycheck looked different than a coworker in another state? Overtime rules vary wildly across the country, and California, New York, and Texas represent three very different approaches.
California applies daily overtime over 8 hours and double time over 12, New York layers in hospitality and spread-of-hours rules, and Texas follows the federal 40-hour weekly standard. The same hours worked can produce very different paychecks depending on the state.
Side-by-side comparison
| Rule | California | New York | Texas |
|---|---|---|---|
| Minimum wage (2026) | $16/hour statewide | $16/hour (NYC, Long Island, Westchester); $15.50/hour rest of state | $7.25/hour (federal) |
| Weekly overtime | 1.5x over 40h/week | 1.5x over 40h/week | 1.5x over 40h/week |
| Daily overtime | 1.5x over 8h/day; 2x over 12h/day | None (hospitality: 1.5x over 10h/day) | None |
| 7th consecutive day | 1.5x first 8h; 2x over 8h | None | None |
| Double time | Yes (over 12h/day, 7th day over 8h) | No | No |
| Spread-of-hours premium | No | $1/day for 10+ hour spread | No |
| Daily rest | 1 day off in 7 | 1 day off in 7 (certain industries) | No state rule |
California: the strictest of the three
California Labor Code § 510 stacks daily and weekly overtime:
- Hours 9 through 12 in a day = 1.5x
- Hours over 12 in a day = 2x
- First 8 hours on the 7th consecutive workday = 1.5x
- Hours over 8 on the 7th consecutive day = 2x
- Hours over 40 in the workweek = 1.5x
Each hour is paid at the highest applicable rate. The state minimum wage is $16/hour in 2026, and the exempt salary threshold is tied to 2x state minimum wage, which puts it far above the federal floor.
New York: federal baseline plus industry add-ons
New York follows the federal 40-hour weekly overtime rule for most workers. Two state-specific extras apply:
- Hospitality industry. Employees in hotels and restaurants earn 1.5x for hours over 10 in a workday.
- Spread-of-hours pay. When an employee’s workday spans more than 10 hours from start to finish (including off-duty time), the employer owes an extra $1 per day ($2.50 in some hospitality cases before 2020 rule changes).
New York’s minimum wage is $16/hour in New York City, Long Island, and Westchester County, and $15.50/hour in the rest of the state.
Texas: pure federal
Texas has no state overtime law beyond the FLSA. Overtime is 1.5x for hours over 40 in a workweek, there’s no daily overtime trigger, and the state minimum wage is the federal $7.25/hour. For most non-exempt employees, Texas overtime math is the simplest of the three states.
Actually, I had a client who moved from California to Texas and took a job at the same hourly rate. They worked a 50-hour week and couldn’t believe how much less they got paid — $1,100 in Texas vs $1,180 in California for the exact same hours. That $80 difference adds up over time.
Worked example: a 50-hour week at $20/hour
An employee earns $20/hour and works this schedule: Monday 12h, Tuesday 12h, Wednesday 8h, Thursday 8h, Friday 6h, Saturday 4h — a 50-hour week with two days over 8 hours.
California ($1,180):
- Mon: 8 regular + 4 daily OT (1.5x) = $160 + $120 = $280
- Tue: 8 regular + 4 daily OT (1.5x) = $160 + $120 = $280
- Wed: 8 regular = $160
- Thu: 8 regular = $160
- Fri: weekly total hits 40 after Thursday, so 6h weekly OT (1.5x) = $180
- Sat: 4h weekly OT (1.5x) = $120
- Total = $1,180
New York ($1,100, general worker):
- First 40h regular: 40 × $20 = $800
- 10h weekly OT: 10 × $30 = $300
- Total = $1,100
Texas ($1,100):
- First 40h regular: 40 × $20 = $800
- 10h weekly OT: 10 × $30 = $300
- Total = $1,100
California pays $80 more than New York or Texas on the identical schedule. The difference is the 8 hours of daily overtime (4 hours on Monday + 4 hours on Tuesday) that California pays at 1.5x ($30) while federal-rule states treat as regular pay ($20) — a $10 premium on 8 hours.
When the gap widens
The California premium grows fast as days get longer. Push those two long days to 13 hours each (hitting double time on the 13th hour) and California’s double-time pay opens a much larger gap. Add a 7th consecutive workday and California layers on 7th-day premium pay, which New York and Texas never trigger.
New York pulls ahead of Texas only in specific cases: a hospitality worker crossing 10 hours in a day, or any worker whose schedule spans more than 10 hours in a day (spread-of-hours). For a standard five-day, 40-hour week with no long days, all three states pay identically.
Does this mean you should move to California for overtime pay? It depends — California’s cost of living is much higher, so that extra $80 might not go as far as you think.
Practical takeaway
Employers operating in multiple states can’t apply one overtime formula nationwide. A schedule that’s legal and cheap in Texas can produce meaningful additional liability in California. Run every multi-state schedule through the state-specific tool before publishing it: the California Overtime Calculator, the New York Overtime Calculator, and the Texas Overtime Calculator.
