Overtime Calculator UK

Overtime pay is usually calculated by multiplying your hourly rate (or an enhanced overtime rate, such as 1.5x or 2x) by the number of overtime hours worked. The result is added to your normal gross pay and taxed through PAYE in the same way as your regular salary.

No, there is no special “overtime tax rate” in the UK. Overtime pay is added to your gross pay for that period and taxed at your normal marginal rate. However, if overtime pushes your monthly pay temporarily higher, more tax may be withheld that month, which often balances out over the tax year.

Common overtime rates are time-and-a-half (1.5x your normal hourly rate) for evenings and weekends, and double time (2x) for bank holidays, though this varies by employer and is not a legal requirement unless stated in your contract.

No, your tax code stays the same regardless of overtime. Your tax code determines your Personal Allowance, and overtime pay is simply added to your taxable income for that pay period, calculated using your existing tax code.

Yes. National Insurance is charged on overtime pay the same way as your regular salary — 8% on the relevant portion of pay between £12,570 and £50,270 (annualised), and 2% above that threshold.

Use the calculator above: enter your hourly rate, overtime hours and overtime multiplier to see your estimated gross overtime pay and net overtime after tax and National Insurance.