UK Overtime Pay Calculator
UK law does not require an overtime premium — 1.5× applies only because your contract or agreement says so. What the law does require is that your average hourly rate never falls below the National Minimum Wage. This calculator checks both.
UK overtime calculator
Gross pay this week
£562.50
£13.24/hr across 42.5 hours
Quick answer: UK employers do not have to pay 1.5× for overtime. They must pay at least the National Minimum Wage for every hour worked and honour whatever overtime rate your contract sets. Paid overtime is included when calculating your average hourly pay for NMW purposes.
What UK law actually says about overtime
- No statutory premium. Unlike the US, there is no legal requirement to pay 1.5× after any number of hours.
- National Minimum Wage applies to every hour worked — if unpaid overtime drags your effective rate below the minimum, the employer is underpaying you.
- Working time limits: you cannot be required to work more than 48 hours a week on average unless you have opted out in writing.
- Rest: 11 hours' rest between shifts and a 20-minute break for shifts over 6 hours.
- Holiday pay: regular overtime raises your holiday pay, because holiday pay is based on 52-week average earnings.
National Minimum Wage 2026 rates
| Age / status | Rate from April 2026 |
|---|---|
| 21 and over (National Living Wage) | £12.21 |
| 18 to 20 | £10.00 |
| Under 18 | £7.55 |
| Apprentice (first year or under 19) | £7.55 |
Rates change every April — put your own figure in the calculator above rather than relying on the default.
The unpaid overtime trap
If you are paid for 37.5 hours but actually work 45, your effective rate is your weekly pay divided by 45, not 37.5. On £475 a week that is £10.56 an hour — well below the National Living Wage. Unpaid overtime that pushes your average below the minimum is unlawful, and claims can be brought through HMRC or an employment tribunal.
Frequently asked questions
Is overtime paid at 1.5 in the UK?
Only if your contract or a collective agreement says so. There is no statutory overtime premium in the UK.
Can my employer pay normal rate for overtime?
Yes, provided your average hourly pay for all hours worked stays at or above the National Minimum Wage.
Does overtime affect holiday pay in the UK?
Yes. Regular overtime is included in the 52-week average used to calculate holiday pay.
Can I refuse to work overtime?
If your contract makes overtime compulsory, refusing could be a breach. If it is voluntary, you can refuse — and you cannot be required to average more than 48 hours a week without signing an opt-out.
Is overtime taxed differently in the UK?
No. Overtime is taxed and NI'd like normal pay. It can feel like more was deducted because PAYE assumes the higher amount is your regular weekly pay.