Reviewed by Mustafa Bilgic
Founder, WebCalculator
Marginal tax and NI rates follow HMRC for 2026/27. Overtime is taxed through PAYE at your marginal rate. Estimates only, not tax advice.
Worth doing those extra shifts? Enter your salary and overtime hours, and we'll show what overtime actually adds to your take-home after Income Tax and National Insurance at your real marginal rate.
After tax & NI
Your normal salary already uses up your tax-free Personal Allowance and fills the lower tax bands. Overtime is extra income on top, so every overtime pound is taxed at your marginal rate — the rate on your next pound, not your average rate. That's why overtime can feel disappointing: a basic-rate worker keeps about 68% of it, and a higher-rate worker only about 58%.
| Your band | You keep per £100 overtime |
|---|---|
| Basic rate (20% + 8% NI) | ~£72 |
| Higher rate (40% + 2% NI) | ~£58 |
| £100k–£125k taper zone | ~£40 |
To model your whole pay including pension and student loan, use the salary calculator or the take-home pay calculator. If your extra income comes from a separate employer rather than overtime, the two jobs tax calculator is the right tool.
It's taxed at your marginal rate. A basic-rate worker keeps about 72%, a higher-rate worker about 58%. The calculator gives your exact figure.
Because it sits on top of your salary and gets no Personal Allowance — it's all taxed at your top rate.
Only the part that takes your total income above £50,270. Below that it's 20% plus NI.
No — it's taxed through PAYE at your normal code, just at the marginal rate on the extra earnings.