Maryland Overtime Calculator

Overtime in Maryland is withheld on at your normal federal rate: there is no separate overtime tax rate. Federal law sets overtime at 1.5× your regular hourly rate past 40 hours in a workweek, and those hours face federal income tax, FICA of 7.65%, and Maryland's graduated income tax (2% to 6.5%) in 2026, though the federal premium is now deductible when you file.

Is overtime taxed in Maryland?

Yes, but not at a special rate: overtime in Maryland is withheld on in the same federal brackets as regular wages plus Maryland's graduated income tax (2% to 6.5%). For 2025-2028 the federal premium, the "half" of time-and-a-half, is also deductible when you file, up to $12,500 ($25,000 married filing jointly). Bigger checks can have more withheld up front because withholding is calculated per paycheck, but that evens out on your tax return. Against the 5 states Maryland borders, the same ten overtime hours a week is worth $14,242 here: Pennsylvania keeps $328 more ($14,570), West Virginia keeps $17 more ($14,259), Virginia leaves $195 less ($14,047), Delaware leaves $243 less ($13,999) and District of Columbia leaves $321 less ($13,921). Pennsylvania and West Virginia are the only borders worth crossing for the tax alone.

See what your overtime hours actually add

Estimated take-home

$55,946 /yr

$2,152 per paycheck · $4,662/moFor $25/hr, 40 + 10 overtime hrs a week · Maryland · local tax not included · single

Take-home 78%Taxes 22%

Calculation breakdown

  • Gross salary$71,500.00
  • Federal income tax−$6,900.00
  • FICA (Social Security & Medicare)−$5,469.75
  • State income tax (Maryland)−$3,184.63
  • Total take-home$55,945.62

Gross includes regular and overtime pay; see detailed inputs for per-paycheck splits.

Estimate based on 2026 federal and Maryland tax rules updated Oct 2026 How we calculate

Your details

Not included
More options Deductions & details · optional
Overtime adds $14,242/yr: you keep 73.04% of each overtime dollar.
No tax on overtime: $6,500 of this overtime is the deductible “half”. Claimed on your federal return, that's about $1,280 more back at tax time. See your refund →

What overtime hours are actually worth in Maryland

On top of full-time pay at $25 an hour ($52,000 a year) in Maryland, here is what each extra dollar survives federal tax, Maryland income tax and FICA in 2026:

Overtime workedGrossMaryland taxYou keepShare kept
5 OT hours a week$9,750$463$7,37175.6%
10 OT hours a week$19,500$926$14,24273.0%
15 OT hours a week$29,250$1,389$20,63870.6%

Maryland takes about 4.8% of that money on top of the 15% federal marginal rate and 7.65% FICA.

How Maryland ranks on overtime hours

Across all 50 states and DC, Maryland ranks 30th for what ten overtime hours a week leaves in 2026. That is $18 less than the median state ($14,260), and $897 more than Oregon, where the same ten overtime hours a week leaves $13,345.

The best outcome anywhere is $15,168 in Alaska and the other states with no wage income tax, $926 more than Maryland keeps.

Maryland overtime hours against the states next door

Crossing a state line changes what the same overtime hour is worth without changing what you are paid. Here is ten overtime hours a week in Maryland against the states it borders:

StateState income taxYou keepvs Maryland
Maryland$926$14,242—
Delaware$1,169$13,999$243 less
District of Columbia$1,247$13,921$321 less
Pennsylvania$599$14,570$328 more
Virginia$1,121$14,047$195 less
West Virginia$910$14,259$17 more

Local income tax on overtime hours in Maryland

24 jurisdictions in Maryland levy an income tax of their own on top of the state rate. The calculator above does not include them, so add this if you live or work in one:

JurisdictionResident rateCost on $71,500
Kent County3.30%$2,249
Dorchester County3.30%$2,249
Baltimore City3.20%$2,181
Montgomery County3.20%$2,181
Prince George's County3.20%$2,181
Baltimore County3.20%$2,181
Howard County3.20%$2,181
Calvert County3.20%$2,181

How overtime is taxed in Maryland

Short answer: no: Maryland does not tax overtime at a higher rate, and neither does the IRS. Overtime pay (1.5× your regular rate past 40 hours/week) is withheld on as ordinary income in the same federal and Maryland brackets as the rest of your wages. Big overtime checks can have more withheld up front because withholding is calculated per paycheck, but that evens out on your tax return. Here's the full picture.

  • Overtime rate is 1.5× your regular pay: Federal law requires at least 1.5 times your regular hourly rate for hours worked beyond 40 in a workweek. Some states and employers offer higher rates.
  • Withheld as ordinary income: There is no special tax rate for overtime pay. It's added to your regular wages and withheld on through the same federal brackets plus Maryland's graduated income tax (2% to 6.5%).
  • The premium is deductible federally (2025-2028): When you file, the extra half of time-and-a-half the FLSA requires comes off your federal taxable income: up to $12,500, or $25,000 married filing jointly, phasing out above $150,000 of income. Social Security and Medicare still apply.
  • Higher income can mean higher withholding: Because overtime increases your total paycheck, your employer annualizes the higher amount when calculating withholding, which can result in a higher rate on the overtime portion.
  • You always take home more by working overtime: Even in a high tax bracket, you keep more than 50% of each overtime dollar. Higher taxes on overtime never mean you'd be better off working fewer hours.

Enter your hourly rate and overtime hours below to see your exact Maryland take-home pay after all taxes.

Frequently Asked Questions

On your paycheck, overtime in Maryland is ordinary wages: there is no special overtime tax rate. It's withheld on through Maryland's graduated income tax (2% to 6.5%) along with the rest of your wages, and because overtime raises the pay period's total, a larger percentage of each overtime dollar may be withheld. The federal overtime deduction you claim at filing doesn't change Maryland's withholding, which still applies to every overtime dollar.

Not fully. For 2025-2028 the federal premium, the "half" of time-and-a-half, is also deductible when you file, up to $12,500 ($25,000 married filing jointly). It's claimed on Schedule 1-A, phases out above $150,000 of income ($300,000 joint), and doesn't reduce Social Security or Medicare. It's a federal deduction, so don't assume Maryland income tax follows it. Your employer still withholds on overtime unless you claim the deduction on a new W-4, so for most people it shows up as a bigger refund.

Overtime can push your annualized income into a higher bracket, but only the dollars above the threshold are taxed at the higher rate: you always take home more by working the hours. Priced for Maryland: five overtime hours a week is worth $7,371 a year after tax, ten overtime hours a week is worth $14,242 a year after tax, fifteen overtime hours a week is worth $20,638 a year after tax, against $19,500 gross on the middle figure.

Under the Fair Labor Standards Act, non-exempt employees must be paid at least 1.5× their regular rate beyond 40 hours in a workweek. Maryland adds no daily-overtime rule on top of that federal floor. The calculator uses the standard 1.5× multiplier.

Maryland follows the federal FLSA standard: at least 1.5× your regular rate for hours beyond 40 in a workweek, with no additional daily-overtime requirement. If you believe you're owed overtime, the Maryland Department of Labor is the place to check. Our calculator uses the standard 1.5× multiplier.

Add regular earnings (rate × regular hours) to overtime earnings (rate × 1.5 × overtime hours), then subtract federal tax, Maryland income tax and FICA. In Maryland that leaves about 73.0% of each overtime dollar: $14,242 of the $19,500 that ten overtime hours a week adds over a year.

Against the 5 states Maryland borders, the same ten overtime hours a week is worth $14,242 here: Pennsylvania keeps $328 more ($14,570), West Virginia keeps $17 more ($14,259), Virginia leaves $195 less ($14,047), Delaware leaves $243 less ($13,999) and District of Columbia leaves $321 less ($13,921). Pennsylvania and West Virginia are the only borders worth crossing for the tax alone.

Maryland's progressive brackets are so compressed at the bottom (first three brackets cover only $1,000-$3,000) that virtually all taxpayers earning above $5,000-$10,000 pay the 4.75%-5.75% rates on almost all their income. A $100,000 earner pays 4.75%-5.75% on approximately $97,000+ of their income, making their effective rate around 4.7%-5.7%: essentially a flat-like 5% rate for most taxpayers. The 'progressive' label is technically accurate but practically irrelevant for most earners.

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