Overtime Pay Calculator United Kingdom

What the overtime pay calculator does

Enter your basic hourly rate, contracted hours, the overtime hours you work and the uplift your employer pays. The calculator returns the overtime rate, the weekly and annual overtime pay, the tax and National Insurance on it, and the net amount you keep per overtime hour.

That last figure is the one that changes decisions. A double-time shift sounds generous, but what you take home depends on where the extra earnings fall in your tax bands. Someone well inside the basic rate band keeps much more than a colleague whose salary is already above the higher rate threshold, at the same multiplier.

Because overtime is the top slice of your income, the calculator works out the deductions on your basic pay, then again with overtime added, and reports the difference, rather than applying an average rate to your whole salary.

Overtime rates and what your contract owes you

There is no general legal right to an enhanced rate for extra hours in the UK. Time and a half, double time and shift premiums come from your contract, staff handbook or collective agreement. Some employers pay plain time for extra hours; others pay a premium only after a threshold or only at weekends and on bank holidays.

So the multiplier is an input: plain time, time and a quarter, time and a half or double time. If your employer pays two rates, for example time and a half on weekdays and double time on Sundays, use the second-tier fields to model both.

One legal floor does apply: your total pay divided by your total hours must not fall below the minimum wage for your age. Unpaid extra hours can be unlawful because they pull the average rate down.

From an hourly rate to an annual figure

Basic hourly rate times contracted hours gives weekly basic pay; overtime rate times overtime hours gives weekly overtime pay; together they are your gross weekly pay, and multiplying by the weeks you work gives the annual figures.

The weeks field defaults to a full year, but overtime is rarely spread evenly; it may cluster around a seasonal peak, a deadline or a staffing gap. Enter the weeks you realistically expect to work overtime for a more honest annual figure.

If you have other taxable income, such as a second job or rental profit, add it in the advanced field. It does not change the overtime pay, but it moves the point at which your overtime crosses a tax threshold.

How tax and National Insurance hit overtime

Because overtime sits on top of basic pay, its tax rate depends on how much of each band your salary has used. On modest basic pay, all the overtime may be taxed at 20%. Nearer the £50,270 higher rate threshold, the first few hundred pounds may be taxed at 20% and the rest at 40%.

Employee National Insurance works the other way: 8% between £12,570 and £50,270, and 2% above. So the National Insurance on overtime falls once you pass the upper earnings limit, partly offsetting the jump in Income Tax there.

Between £100,000 and £125,140, each extra pound also removes part of the personal allowance, creating a marginal rate well above 40%. Overtime earned there is worth strikingly little after deductions.

For example, at £16 an hour for 37.5 hours plus 6 hours at time and a half all year, overtime pays £24 an hour, £7,488 a year. With total pay of £38,688, it is all taxed at 20% (£1,497.60) with 8% National Insurance (£599.04), leaving £5,391.36, or £17.28 per overtime hour.

Reading the results

The main output is the overtime hourly rate. Below it are weekly and annual overtime pay, total gross pay, the Income Tax and National Insurance on the overtime, and the net overtime pay for the year and the week.

The net pay per overtime hour answers the question that matters when you are asked to cover a shift: what is this hour worth after everything? The deduction rate on overtime shows what share of the extra pay goes in tax and National Insurance.

• Value a shift offered at time and a half or double time.
• Compare what overtime is worth after tax with a pay rise.
• See when overtime starts falling into the higher rate band.
• Model a mix of weekday and weekend enhanced hours.

Knock-on effects worth checking

Where overtime is worked regularly, it generally has to be reflected in holiday pay for at least the first four weeks of leave, so a settled pattern of overtime should feed into what you are paid while on leave. If your holiday pay looks flat despite consistent overtime, raise it.

Pension treatment varies by scheme. Many workplace schemes calculate contributions on qualifying earnings, which include overtime, so more hours mean bigger contributions from you and your employer; others use basic salary only. Check the scheme rules.

Overtime can also affect means-tested support. Universal Credit falls as earnings rise, and higher earnings can affect childcare support or bring the High Income Child Benefit Charge into play, so a month of heavy overtime can reduce other income in ways an hourly comparison misses.

The figures are an annual projection from a typical week. Real overtime is uneven, and PAYE on an unusually large month may look too high before it evens out over the year. Check your payslip and contract for the exact treatment your employer applies.

This is general information only and not financial advice.

About This Overtime Pay Calculator

Use this overtime pay calculator to get an instant, accurate estimate. The figures follow official GOV.UK guidance and every rate and threshold is kept up to date for 2026. Adjust the inputs above to match your situation, or browse all our calculators to plan your next step.