Colorado Overtime Pay Calculator

Colorado uses one of the more employee-favorable overtime formulas in the country. Under Colorado Overtime and Minimum Pay Standards (COMPS) Order #40, issued by the Colorado Department of Labor and Employment (7 CCR 1103-1), a non-exempt employee earns 1.5x their regular rate whenever any of three separate thresholds is crossed: more than 40 hours in a workweek, more than 12 hours in a single workday, or more than 12 consecutive hours worked regardless of when the workday officially starts or ends. Whichever of the three calculations produces the greater amount of overtime for that period is the one that applies.

The 12-consecutive-hour rule is unusual and catches many employers off guard: it can apply even across a shift that spans two calendar workdays, such as a shift starting at 8pm and running past 8am, because the trigger is about continuous hours worked rather than the calendar date. Industries with irregular or rotating shifts — hospitals, ski resorts, warehouses, and restaurants around Denver and the mountain resort towns — see this rule come into play often.

Colorado's 2026 minimum wage of $15.16/hour makes the minimum overtime rate $22.74/hour, and Denver's own local minimum wage runs even higher, which raises the practical overtime floor for workers employed within city limits.

COMPS Order #40 sets its own state salary threshold for the executive, administrative, and professional exemptions, adjusted annually and generally set above the federal FLSA figure, meaning some workers classified as exempt under federal rules may still be entitled to overtime under Colorado's higher bar. Employers who apply only the federal threshold are a common source of underpayment in the state.

Colorado also has specific carve-outs for certain agricultural, ranch, and range livestock workers, and different rules for resident property managers and certain live-in employees, each with its own limited exemption language in the COMPS Order rather than a blanket exclusion. The ski and hospitality industry's heavy reliance on seasonal and tipped staff also creates recurring tip-credit errors: Colorado allows a tip credit against its state minimum wage, but overtime must still be calculated on the full minimum wage before subtracting that credit, not on the reduced tipped cash wage.

The Colorado Department of Labor and Employment, Division of Labor Standards and Statistics, accepts wage complaints, including unpaid overtime, and can order back pay plus penalties. Workers may also sue privately in state court. Colorado's wage claim statute generally allows 2 years to sue, extended to 3 years for willful violations, matching the federal FLSA structure for most claims, though certain wage theft claims processed administratively can reach further back.

Because COMPS Order #40's three-part test is more generous than federal law, Colorado workers should specifically request their daily start and stop times when gathering evidence, not just weekly totals, since a violation of the 12-hour daily or 12-consecutive-hour rule can exist even in a week that never crosses 40 total hours.