Arizona has no overtime law of its own, so federal FLSA rules decide your pay: 1.5x after 40 hours a week, no daily overtime. Enter your rate and hours for an Arizona estimate. The 2026 minimum wage is $15.15 an hour, higher in Flagstaff and Tucson.
Rules verified November 2026 · Sources: U.S. Department of Labor, Industrial Commission of Arizona
By Mudassir Khan
Federal FLSA rules, Arizona framing. Each workweek stands alone.
Arizona overtime claims go to the U.S. DOL Wage and Hour Division; the state ICA wage claim form cannot include overtime wages. Estimates only. Not tax, legal, or payroll advice. Confirm with your employer or a qualified professional.
Arizona never passed its own overtime statute, so the Fair Labor Standards Act applies directly: nonexempt employees earn at least 1.5 times the regular rate for hours over 40 in a workweek.
Proposition 206 indexes the minimum wage to inflation every January 1. For 2026 the rate is $15.15 an hour, with a $3.00 tip credit making the tipped cash wage $12.15. Flagstaff pays $18.35 and Tucson $15.45.
The Industrial Commission of Arizona handles unpaid wage claims, but its form expressly excludes overtime wages. Overtime claims go to the U.S. Department of Labor Wage and Hour Division or to court.
Gross = (40 × rate) + (hours over 40 × rate × 1.5)
| Rule | Arizona |
|---|---|
| Overtime rule | Federal FLSA only: 1.5 times pay after 40 hours in a workweek; no daily overtime |
| Minimum wage 2026 | $15.15 an hour; tipped cash wage $12.15; Flagstaff $18.35, Tucson $15.45 |
| State income tax | 2.5% flat rate |
| Claim agency | U.S. DOL Wage and Hour Division for overtime; ICA Labor Department for other wage claims |
| Claim deadline | 2 years under the FLSA, 3 if willful; 1 year for ICA wage claims |
| Worker | Math | Gross |
|---|---|---|
| $20/hr, 45 hours | $800 + 5 × $30 | $950.00 |
| $15.15/hr, 40 hours | 40 × $15.15 | $606.00 |
| $22/hr, 52 hours | $880 + 12 × $33 | $1,276.00 |
| $18.35/hr Flagstaff, 40 hours | 40 × $18.35 | $734.00 |
Example 4 uses the Flagstaff local rate of $18.35, which beats the state floor. Always check city rates first: the statewide $15.15 is only the minimum.
Unpaid wages can triple. Arizona law lets an employee who sues over wages due recover three times the unpaid wages, plus attorney fees. That penalty sits on top of any overtime owed, which makes prompt payment the cheap option for employers.
The ICA claim has limits. The Industrial Commission accepts unpaid wage claims up to $12,000, filed within 1 year, but overtime wages are excluded from that form. Larger claims and all overtime claims belong with the U.S. DOL or in court.
A flat 2.5% income tax. Arizona taxes all income at a single 2.5% rate, so overtime premium is taxed lightly at the state level compared with graduated states like Oregon or Minnesota.
Like Arizona, Texas runs on federal overtime law alone: our Texas overtime calculator shows the same math in a different state. The federal baseline is explained in the FLSA overtime rules guide.
No. Arizona has no state overtime statute, so the federal Fair Labor Standards Act decides overtime: 1.5 times the regular rate for hours over 40 in a workweek, for nonexempt employees.
$15.15 an hour, effective January 1, 2026. The tipped cash wage is $12.15. Flagstaff pays $18.35 and Tucson $15.45.
With the U.S. Department of Labor Wage and Hour Division or in court. The Industrial Commission of Arizona cannot accept overtime wages on its wage claim form. FLSA deadlines are 2 years, or 3 if the violation was willful.
Arizona has a flat 2.5% income tax that applies to overtime wages like any other wage. Federal income tax plus Social Security and Medicare taxes also apply.
Yes, if nonexempt. A salary alone does not remove overtime rights. Only employees who pass the FLSA exempt duties and salary tests can be denied overtime pay.
No. Arizona has no daily overtime rule. Only the weekly 40 hour line triggers the 1.5x premium.
Rates and rules checked against these sources in November 2026.
Want the same math without the Arizona framing? Use the overtime pay calculator. For another federal only state, try the Texas overtime calculator.