Hours worked = clock-out time − clock-in time − unpaid break time. If clock-out is on the next day, add 24 hours before subtracting. Keep the math in minutes, then convert the final total to hours.
01The four-step method
- Put both punches on one timeline.Convert each clock time to minutes after midnight.
- Handle midnight.If the end is earlier than the start, add 1,440 minutes to the end.
- Subtract unpaid time.Deduct only breaks that are correctly treated as noncompensable.
- Total before converting.Add exact daily minutes, then divide by 60 for decimal hours.
02Three worked examples
| Scenario | Punches | Unpaid breaks | Worked | Decimal |
|---|---|---|---|---|
| Day shift | 8:00 AM–5:00 PM | 30 min | 8:30 | 8.50 |
| Two breaks | 7:45 AM–4:30 PM | 30 + 15 min | 8:00 | 8.00 |
| Overnight | 10:00 PM–6:00 AM | 30 min | 7:30 | 7.50 |
10:00 PM to 6:00 AM with a 30-minute unpaid break
- 6:00 AM next day1,800 minutes
- 10:00 PM1,320 minutes
- 1,800 − 1,320 − 30450 minutes
- 450 ÷ 607.50 hours
03Paid and unpaid breaks
A paid break remains inside hours worked, so it should not be deducted. A properly unpaid meal period is deducted. Under federal rules, short rest periods from about 5 to 20 minutes must generally count as hours worked, while a bona fide meal period is ordinarily 30 minutes or more and requires the employee to be completely relieved from duty. Read the practical comparison of paid and unpaid breaks before labeling a deduction.
04What may count as work time?
Federal hours-worked rules can cover more than scheduled production time. Waiting, on-call, training, travel and work performed before or after a scheduled shift depend on the facts. Time an employer permits an employee to work cannot simply be omitted because it was not scheduled.
Covered employers must keep accurate daily and weekly hour records. The Department of Labor does not require one particular time clock, form or software product.
Use exact punches and separate breaks
The weekly calculator handles multiple paid or unpaid breaks and overnight shifts.
Common questions
How do I calculate an overnight shift?
Treat the clock-out as the following day by adding 24 hours, then subtract the start and any unpaid break.
Do I subtract a paid 15-minute break?
No. Paid break time remains in the worked total. Federal rules generally treat short employer-provided rest periods as compensable.
When should I convert to decimal hours?
After totaling exact minutes. Divide the total minutes by 60 and round only the displayed or final payroll value as required.