2026-09-12پشتیبانی تینو

If you work overtime in the year 1405, or if you are an employer responsible for paying overtime wages, you need to know the exact formula for calculating employee overtime for that year. According to the Supreme Council of Labor’s wage directive, the hourly overtime rate for 1405 has been set at 1,058,436 Rials—a significant increase compared to the previous year. In this guide, we explain the precise overtime calculation formula for 1405 step-by-step and clarify everything with a practical example.

**The Precise Overtime Calculation Formula for 1405 (Step-by-Step)**
According to Article 59 of the Labor Law, you must first determine the "wage for one hour of regular work." The overtime formula for 1405 is as follows:

**Step 1:** Monthly Salary ÷ 30 = Daily Wage

**Step 2:** Daily Wage ÷ 7.33 (legal daily working hours) = Regular Hourly Wage

**Step 3:** Regular Hourly Wage × 1.4 = Overtime Rate for 1405

Under this article, the overtime premium is at least 40% higher than the regular hourly wage; this corresponds to a multiplier of 1.4. To illustrate, suppose a worker's monthly salary is 166,255,500 Rials. The daily wage would be 5,541,850 Rials, the regular hourly wage approximately 756,050 Rials, and the calculated overtime pay per hour 1,058,470 Rials. Comparison Table for Regular Wages and Overtime Pay (Year 1405)
Item | Amount (Rials)
Minimum daily wage | 5,541,850
Regular hourly wage | 756,050
Overtime rate per hour | 1,058,436
Overtime multiplier | 1.4
Maximum permitted overtime hours
According to the Labor Law, overtime hours must not exceed 4 hours per day and 120 hours per month. Furthermore, overtime work requires the mutual agreement of the worker and the employer; the employer cannot compel the worker to perform mandatory overtime. Note that overtime earnings are subject to Social Security insurance premium deductions, though the income derived from them is tax-exempt up to the annual tax exemption ceiling (4,800 million Rials).

Key points for accurately recording overtime hours
The calculation of overtime pay for the year 1405 is only accurate if working hours are recorded precisely. Many disputes between workers and employers stem from the failure to correctly record clock-in and clock-out times. If you are looking for a simple, accurate solution for automatically recording and calculating overtime, the Tino Time & Attendance software simplifies and error-proofs your payroll process by automatically calculating overtime, night-shift work, and Friday work.

Frequently Asked Questions regarding overtime calculation for 1405
Can overtime be offset against leave? No; offsetting overtime against leave is not permitted under the Labor Law.

What is the overtime rate for workers earning more than the minimum wage? The overtime calculation formula for 1405 is the same for everyone; only the regular hourly wage varies based on the individual's salary.

Is overtime subject to insurance contributions? Yes, overtime pay is subject to Social Security insurance premium deductions—specifically, 7% payable by the employee and 23% by the employer.

Now that you are familiar with the formula for calculating employee overtime for the year 1405, you can claim your legal entitlements more accurately and prevent exploitation by employers.