Overtime Calculation for Employees Working at Multiple Rates

Do you really know how to calculate overtime pay? For most employers, the overtime calculation is very straightforward – employees receive one-and-a-half times their regular rate of pay for all hours worked over 40. But what if your employees work various jobs at different rates? For example, you own a hair salon and your employees perform a variety of duties at the following rates: cut/style hair at $20 per hour, wash hair at $15 per hour, and schedule appointments at $10 per hour. When your employees work over 40 hours in a week, how do you calculate their overtime rate?

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