Holiday Pay Calculator

Quick answer: Only if your employer chooses it — no US federal law requires holiday premiums. 1.5× is the common private custom for hourly workers on major holidays; healthcare and manufacturing often pay 2×.

The surprising legal truth about holiday pay (US)

Federal law requires no holiday premium and no paid holidays at all — both are entirely employer policy (or union contract). The common private-sector customs: 10–11 paid holidays for full-time salaried roles, and 1.5× for hourly staff who work major holidays, with 2× at many hospitals, plants, and retailers on marquee days.

Holiday pay = Rate × Hours × Premium multiplier

What the policy is worth in real money

Ten paid holidays at $20/hour is $1,600/year of pay for not working — about 0.8% of salary that job ads never headline. When comparing offers, add paid holidays + vacation days into the compensation math; a job with 6 holidays vs 12 hides a ~$1,000 gap at typical wages.

Holiday + overtime stacking

A holiday worked in a 45-hour week raises the classic question: does the premium stack with overtime? Usually the holiday hours count toward the 40-hour threshold, but paid-but-not-worked holiday hours usually do not. Policies differ — the employee handbook is the authority.