Working out net overtime

B.E.N

Hi there,

Hope I'm posting in the right section..it seems logical as people here should be good with the old Tax/Ni calculations.

My hourly rate (gross) is: £10.27 p/hr

I can get overtime at two rates - 2xTime & 1.5xTime

Can anyone give me the net figures per hour at both rates?

Thanks in Advance, Ben

CLAPTON

if you are a standard rate tax payer (i.e. 20%)
the your tax on extra earnings will be at 20% of the total
and assuming you are not opted out of the 2nd state pension then you pay 11% in NI

so deductions for your extra earnings total 31.1% of the gross.

Mikeyorks

Assuming you don't work dramatic quantities of overtime (and therefore stay under the 40% tax level) ....... just multiply the gross hourly rate by 0.80. That gives you the net figure after 20% tax.

Or - if you want to play around with the more realistic figures you have available to you ..... try this calculator (watch to set it to 2009/10) :-

http://www.listentotaxman.com/

B.E.N

CLAPTON wrote: »

if you are a standard rate tax payer (i.e. 20%)
the your tax on extra earnings will be at 20% of the total
and assuming you are not opted out of the 2nd state pension then you pay 11% in NI

so deductions for your extra earnings total 31.1% of the gross.

Hi there,

I am contracted out, but overtime doesn't count as part of my 'Superannuation Assessable Pay", so I'm not sure how this affects things....

Would it affect it at all, in the sense of what I get in my bank account at the end of the month?

CLAPTON

If your employment is contracted out (and you don't have superann deducted) then you will then have have 20% + 9.4% (29.4%) deducted from your gross.