Free tool · Labour Proclamation 1156/2019 · instant
What is your overtime actually worth?
Ethiopian law sets a precise premium for every kind of overtime — day, night, rest day and public holiday. Enter your salary and the hours you worked in each category to see the pay you're owed.
Rates per Income Tax Proclamation 1395/2025 (effective July 2025) and Labour Proclamation 1156/2019 where noted. Estimates only — verify with the Ministry of Revenues or your advisor.
48-hour week ≈ 208 hours/month — edit if your contract differs.
(day work, before 10 pm)
(10 pm – 6 am)
The statutory multipliers, at a glance.
| When the overtime is worked | Premium |
|---|---|
| Normal working day (day work, before 10 pm) | 1.5× hourly rate |
| Night work (10 pm – 6 am) | 1.75× hourly rate |
| Weekly rest day | 2× hourly rate |
| Public holiday | 2.5× hourly rate |
The hourly rate is your monthly salary divided by your monthly hours basis — about 208 hours on the statutory 48-hour week. Getting these premiums right, every month, for every employee is exactly the kind of rule NYLOS payroll applies automatically; read the full Labour Proclamation payroll guide.
Frequently asked questions.
What is the overtime rate for working on a Sunday or weekly rest day?
Work performed on your weekly rest day is paid at 2× (double) your normal hourly rate under Labour Proclamation 1156/2019. If Sunday is your designated rest day, Sunday overtime is paid at 2×.
What counts as night work for the 1.75× rate?
Overtime worked between 10 pm and 6 am is night overtime and is paid at 1.75× the normal hourly rate. Daytime overtime on a normal working day is paid at 1.5×.
Is overtime pay taxed in Ethiopia?
Yes. Overtime pay is employment income — it is added to your monthly taxable pay and taxed through the normal income tax brackets, though it is not pensionable (pension is based on basic salary only).
How do I convert a monthly salary to an hourly rate?
Divide the monthly salary by your monthly hours basis. On the statutory 48-hour week that basis is about 208 hours, so a 10,400 ETB salary is 50 ETB per hour. Overtime multiplies that hourly rate.
What is the overtime rate on a public holiday?
Work on a public holiday is paid at 2.5× the normal hourly rate — the highest overtime premium in Labour Proclamation 1156/2019.
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