How to use the shift differential pay calculator
- Enter your base hourly rate.
- For each shift, enter a name, the hours worked, the type of differential (dollars per hour or percent of base) and its amount. The example rows show three shifts.
- Add rows for weekend or holiday hours if your pay policy lists them.
- Read the total pay, the pay from differentials and your average hourly rate.
Formula
Differential per hour = the dollar amount, or base rate x percent / 100
Pay for a shift = hours x base rate + hours x differential per hour, each rounded to the cent
Average hourly rate = total pay / total hours
The differentials in the form are examples. Use the amounts from your own pay policy or contract.
A week with three shifts
Base pay is $24.00 an hour. The worker has 24 hours on days with no differential, 8 hours on evenings with +$1.50 an hour and 8 hours on nights with +10 percent of base, which is $2.40 an hour. Base pay is 40 x $24.00 = $960.00.
The differentials add 8 x $1.50 = $12.00 and 8 x $2.40 = $19.20, so $31.20 in total. Total pay is $991.20, and the average hourly rate is $991.20 / 40 = $24.78.
What a shift differential is
A shift differential is extra pay added to the base rate for hours worked at less popular times, such as evenings, nights, weekends or holidays. It can be a fixed amount per hour, like $1.50, or a percent of the base rate, like 10 percent. Some employers pay both for different shifts. The differential applies to the hours worked in that shift only.
The calculator multiplies each shift's hours by the base rate and the differential, adds them up and shows the average hourly rate, so you can see what your mix of shifts is worth. It also shows the pay that comes only from differentials. Because different employers use different rules, the amounts in the form are examples you replace with your own.
What it leaves out
The calculator does not apply overtime. Whether a differential counts toward the rate used for overtime or other pay depends on your employer, your contract and the rules that apply to you, so check your pay policy. Taxes and deductions are not included. Hours are used as you enter them, so use the hours that are paid for each shift, and split a shift that crosses from evening into night into two rows.
For pay with overtime use the overtime calculator, for a full paycheck of earnings try the gross pay calculator, and to see how a raise changes your rate use the pay raise calculator. To turn an hourly figure into a yearly one, the hourly to salary calculator helps.
Checking a pay stub
Compare the table with your stub: each shift line should show the hours and a rate equal to the base plus the differential. If a line shows a different rate, ask payroll how it was calculated. Rounding to the cent happens for each line, so a total can differ by a cent from one that rounds only at the end.
Assumptions and limits
- The differential applies to every hour entered on its row, at the amount you give.
- Percent differentials are a percent of the base rate, not of the other differentials.
- Overtime is not applied, and the differential is not treated as part of any overtime rate.
- Taxes, deductions and other pay types are not included.
Frequently asked questions
How do I calculate shift differential pay?
Add the differential to your base rate for each hour worked on that shift, then multiply by the hours. A dollar differential is added directly, and a percent differential is the base rate times the percent.
Is a shift differential a percent or a dollar amount?
Employers use either. The calculator accepts both. Choose $ per hour or % of base for each shift and enter the amount from your policy.
Does the differential count toward overtime?
That depends on your employer, your contract and the rules that apply to you, and this calculator does not apply overtime. Check your pay policy.
What is my average hourly rate?
It is your total pay divided by your total hours. In the example, $991.20 over 40 hours is $24.78 an hour.