First all you need to do is determine the Daily wage per hour.
Scenario: Juan is working everyday from 8:00 AM to 5:00 PM and was ordered to have an overtime for 5 hours which is from 5:00 PM to 10:00 PM. So how much will he earn from working overtime?
For example, an employee is being paid for an amount of 800 PHP per day so in order to determine the daily wage per hour you need to Divide 800 by 8.
800 ÷ 8 = 100
So 100 is your daily wage per hour.
2nd: After you have determined what is the daily wage per hour all you need to do is multiply the daily wage per hour which is 100 to 20%.
Note: In order to multiply 100 to a percent you first need to convert 20% into a decimal. And to get that you need to divide 20 to 100, and the answer to this is your decimal which you will need in order to get the additional overtime pay.
100 × 0.25 = 25
25 is what you will add to your daily wage per hour in order to get the overtime wage per hour which is in this case is 125
100+25 = 125
3rd: This is the Final and the last easy step. All you need to do is multiply your Overtime wage per hour to the number of hours that you have worked.
125 X 5 = 625
625 PHP is the additional compensation you should get after working overtime plus your daily wage for the day which is 800 pesos for a total amount of 1,425 PHP.
Summary:
1. 800 ÷ 8 = 100
2. 100 x 0.25 = 25
100+ 25 = 125
3. 125 x 5 = 625