Saudi overtime calculation formula for Eid, Fridays and public holidays

If you work on Eid, on an official holiday or on your weekly rest day in Saudi Arabia, every hour of that day is overtime. Each hour is paid at your actual hourly wage plus 50% of your basic hourly wage, the rule in Article 107 of the Labor Law as amended in 2025. You can try your own numbers in the Saudi overtime calculator.

Below is the formula step by step, a worked example, the new option to take time off instead of pay, and the difference between what the law requires and what a contract may add.

The Article 107 formula: hourly wage plus 50% of basic wage

Article 107(1) of the Saudi Labor Law requires the employer to pay for overtime hours an additional wage equal to the hourly wage plus 50% of the worker’s basic wage.

In practice that is three steps:

1. Normal hourly wage = monthly actual wage (basic plus allowances) ÷ 30 ÷ normal daily hours.
2. Basic hourly wage = monthly basic wage ÷ 30 ÷ normal daily hours.
3. Overtime hourly rate = normal hourly wage + (basic hourly wage × 50%).

This is where many pages go wrong, in one of two directions:

• Some work everything out on basic wage, which drops your allowances from the hourly wage itself.
• Others apply the premium to total wage, which overstates it.

The text is clear: allowances belong in the hourly wage, and the premium is on basic alone. If the difference between the two wages is new to you, our article on basic vs total salary explains it.

Every hour on Eid or a public holiday is overtime

Article 107(3) says that all hours worked on holidays and Eids are overtime. You do not have to pass eight hours on Eid before the premium starts. The first hour of that day is overtime just like the last.

Article 112 gives every worker fully paid leave on Eids and the occasions set by the regulations. So:

• Your monthly salary covers the Eid day itself, whether you work or not.
• Overtime pay is owed on top, for each hour you work that day.

This covers the Eid al-Fitr and Eid al-Adha holidays. It also covers National Day and Founding Day in the private sector, as the Ministry of Human Resources announces them each year.

Working on your weekly rest day (Friday)

Under Article 104, Friday is the weekly rest day. The employer may replace it with another day after notifying the labour office. The rest day:

• is fully paid;
• lasts at least 24 consecutive hours;
• cannot be replaced with a cash payment.

If you are asked to work on your rest day, the hours that day fall under the holiday rule in Article 107: all of them are overtime, at the same rate. If your company’s rest day is Saturday, the rule moves to Saturday; it does not stay with Friday.

Worked example: SAR 6,000 basic plus SAR 1,500 housing

An employee earns a basic wage of SAR 6,000 and a housing allowance of SAR 1,500, an actual wage of SAR 7,500. They work 8 hours a day.

If they work 8 hours on Eid:

• Overtime pay = 8 × 43.75 = SAR 350, on top of their normal monthly salary.

If they also did 10 hours of ordinary overtime during normal working days that month, those pay 10 × 43.75 = SAR 437.50 at the same rate. The law does not change the percentage between a weekday overtime hour and an Eid hour. What changes on Eid is that every hour counts as overtime.

These are the same figures the overtime calculator gives when you enter 7,500 as the total wage and 6,000 as the basic wage.

Common mistakes when checking your payslip

• Dividing by 26 or 22 days. Our calculator follows the common Saudi practice of dividing the monthly wage by 30 days. If your employer uses a different divisor, the hourly figure changes, so ask which one it applies.
• Leaving allowances out of the hourly wage. Housing and transport allowances paid monthly are part of the actual wage, so they belong in the normal hourly wage.
• Applying the premium to the whole wage. The 50% is on basic wage only.
• Forgetting the first hours on Eid. On Eid and rest days, every hour counts, not only the hours after eight.

New since 2025: paid time off instead of overtime pay

The amendments made by Royal Decree M/44, in force since 19 February 2025, added an option to Article 107. With the worker’s consent, the employer may compensate overtime hours with paid days off instead of cash, under rules set in the executive regulations.

What the text itself settles:

• The option needs your agreement. It cannot be imposed.
• The details belong to the executive regulations: how many hours of leave you get per overtime hour, how long you have to use them, and what happens to an unused balance when you leave.

Some law-firm summaries quote specific figures for these rules. We have not verified them against the official regulations, so we do not repeat them here. If your employer offers time off instead of pay, ask for it in writing, including how the time is counted and when you can take it.

Is 200% required? Contract vs law

You will often read that Eid work is paid at 200%, or “double time”. That is not in the Saudi Labor Law. The legal minimum is the hourly wage plus 50% of basic, on Eid and on any other day.

The law sets a floor, not a ceiling. Your contract or your company’s work regulations may set a higher rate, and if they do, you are owed the higher amount. So:

1. Start with the legal formula to find the minimum you are owed.
2. Check your contract and company policy. If either promises more, the higher figure applies.

Calculate your overtime

Enter your total wage, basic wage and hours in the Saudi overtime calculator. Put Eid hours in the “Public holiday” box and rest-day hours in theirs. You will see your hourly wage, the pay for each kind of hour and the total. For the rest of the rules, see our Saudi labour law guide. If you are also preparing to leave a job, the final settlement checklist covers every item your last payment should include.

Frequently asked questions