State Labor Law (e.g. CA Lab Code § 510)
Authoritative Statutory Source
Double Time Pay (2.0×)
Mandatory 200% pay rate required by certain state laws for work exceeding 12 hours in a day.
Detailed Definition & Statutory Context
Double Time Pay (2.0×) is governed by State Labor Law (e.g. CA Lab Code § 510) standards across corporate payroll administration, statutory tax withholding, and general ledger labor accounting. Rigorous compliance with Double Time Pay (2.0×) prevents IRS Form 941 deposit penalties and FLSA wage-and-hour litigation.
Statutory Formula & Equation
Double Time Hourly Rate = Regular Rate × 2.0
General Ledger / Payroll Journal Entry Standard
Debit: Gross Payroll Expense / Employer Tax Expense
Credit: FICA Taxes Payable / Federal Income Tax Payable / Net Pay Cash
Credit: FICA Taxes Payable / Federal Income Tax Payable / Net Pay Cash
Common Operational Pitfalls
- Excluding non-discretionary bonuses from FLSA overtime regular-rate calculations.
- Failing to cap Social Security tax withholding once employee earnings exceed the $168,600 wage base.
- Misclassifying non-exempt hourly employees as exempt salaried workers.