The basic rule, and where it gets complicated
Federal law generally requires overtime pay for non-exempt employees working past 40 hours in a workweek. That part is simple. What trips up movers is everything layered on top: some states require daily overtime past a certain number of hours in a single day, regardless of the weekly total — which matters a lot when a single job runs 12+ hours.
Where owners get it wrong
- Averaging hours across jobs or weeks — Overtime is calculated per workweek, not averaged over a pay period.
- Not counting drive time and load-in as work hours — Time spent driving the truck or loading equipment before a job officially "starts" is usually still compensable work time.
- Ignoring state daily overtime rules — A handful of states require overtime after a set number of hours in a single day, which can apply even if the weekly total stays under 40.
- Treating flat-rate pay as overtime-exempt — Flat-rate jobs don't automatically avoid overtime obligations; the effective hourly rate still needs to account for it.
Bottom line
If a job runs long, assume overtime applies until you've confirmed otherwise for your specific state and pay structure.
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FAQ
Does overtime apply to flat-rate moving jobs?
It can. Flat-rate pay doesn't automatically exempt a job from overtime requirements — the effective hourly rate still needs to satisfy applicable overtime rules.
Do I have to pay overtime for drive time to a job?
Generally, yes, if the employee is driving a company vehicle or otherwise working under your direction — this time is usually compensable.
Is overtime based on the day or the week?
Federal overtime is based on the workweek (over 40 hours), but some states also have daily overtime rules that apply regardless of the weekly total.