How Overtime Pay Works in the UK
Understand your overtime pay rights, how it is taxed, and how different multipliers affect your earnings.
How does overtime work in the UK?
Unlike many countries, there is no legal right to overtime pay in the UK. Whether you receive overtime pay, and at what rate, depends entirely on your employment contract.
Common overtime rates
| Multiplier | Name | Example (£15/hr base) |
|---|---|---|
| 1x | Standard rate | £15/hr |
| 1.25x | Quarter extra | £18.75/hr |
| 1.5x | Time and a half | £22.50/hr |
| 2x | Double time | £30/hr |
How is overtime taxed?
Overtime is taxed as regular income. It is added to your normal pay, so it can push you into a higher tax bracket. This is why overtime take-home often feels lower than expected — the marginal rate may be higher than your average rate.
Your rights
- Your average pay (including overtime) must not fall below the National Minimum Wage
- Working time rules limit average hours to 48/week (unless you opt out)
- Your contract should specify overtime terms
Try the calculator
Use our Overtime Calculator to see exactly how much you will earn — and take home — from overtime hours.
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Last updated
Last reviewed: 2026-04-12T09:36:51.531Z.