Overtime, Weekend & Holiday Rates
Learn how to configure overtime thresholds, weekend premiums, and bank holiday rates using multipliers or specific rates.
Before You Start
What you need to set up overtime and premium rates.
Before you start
- Access to the TempClock manage portal (/manage)
- Admin-level permissions
- At least one rate rule created (see Creating Rate Rules)
- An understanding of your overtime agreements with clients
Overtime, weekend, and bank holiday settings are configured per rate rule. This means you can have different overtime thresholds and premium rates for different clients and locations.
How Overtime Works
The basics of overtime calculation in TempClock.
Overtime in TempClock is based on a weekly hours threshold. Once a worker exceeds a set number of hours in a week, any additional hours are calculated at the overtime rate instead of the standard rate.
The number of hours per week before overtime kicks in (e.g. 40 hours)
Any hours up to the threshold, paid at the standard rate
Any hours above the threshold, paid at the overtime rate
The counter resets at the start of each week (Monday)
For example, if the threshold is set to 40 hours and a worker logs 48 hours in a week, the first 40 hours are paid at the standard rate and the remaining 8 hours are paid at the overtime rate.
The overtime threshold is completely configurable per rate rule. Some clients may agree to overtime after 37.5 hours, others after 40 hours. Set it to whatever your contract specifies.
Multiplier vs Specific Rate
Two ways to calculate overtime pay.
When setting up overtime (and weekend/holiday rates), you have two options for how the premium rate is calculated:
The overtime rate is calculated as a multiple of the base rate.
Use when: Overtime is always a percentage premium on top of the base pay (e.g. “time and a half”).
The overtime rate is a fixed amount, regardless of the base rate.
Use when: The client has agreed to a flat overtime rate regardless of the worker's base pay.
Both options also apply separately to the charge rate. You can have a multiplier on pay but a specific rate on charge, or any combination that suits your agreement.
Setting Up Overtime on a Rate Rule
How to configure overtime pay and charge rates.
Open the rate rule
Navigate to Rate Rules in the sidebar and click on the rule you want to add overtime to. Click Edit to open the form.
Find the Overtime section
Scroll down past the standard pay and charge rates. You will see the Overtime section with fields for threshold, pay type, and charge type.
Set the weekly threshold
Enter the number of hours per week before overtime starts. Common values are 37.5, 40, or 48.
Choose pay rate type
Select either Multiplier or Specific Rate for the overtime pay:
- Multiplier — enter a value like 1.5 (time and a half) or 2.0 (double time)
- Specific Rate — enter the exact hourly rate in pounds (e.g. 18.00)
Choose charge rate type
Set the overtime charge rate the same way. This controls what you bill the client for overtime hours.
Save the rule
Click Save Rule to apply the overtime settings.
Weekend Rates
Premium rates for Saturday and Sunday work.
If your workers earn more for working on weekends, you can configure weekend premiums on each rate rule. Weekend rates work the same way as overtime — you choose between a Multiplier or a Specific Rate.
No weekend premium. Saturday and Sunday are paid at the normal rate.
Weekend hours are paid at a multiple of the base rate (e.g. 1.25x for “time and a quarter”).
Weekend hours are paid at a fixed hourly rate (e.g. £16.00/hr regardless of base).
Find the Weekend Rates section
In the rate rule form, scroll to the Weekend Rates section, below the overtime settings.
Choose the weekend pay type
Select None, Multiplier, or Specific Rate for Saturday and Sunday pay.
Set the values
If you chose Multiplier, enter the multiplier (e.g. 1.25). If you chose Specific Rate, enter the hourly amount in pounds.
Weekend rate settings apply to all hours worked on Saturday or Sunday, regardless of whether they are under or over the overtime threshold. If a worker does overtime on a weekend, see the priority order section below.
Bank Holiday Rates
Premium rates for UK bank holidays.
Bank holiday rates work the same way as weekend rates. You can set a Multiplier or Specific Rate for any hours worked on recognised UK bank holidays.
TempClock automatically knows the dates of UK bank holidays (England and Wales). You do not need to enter them manually. If you operate in Scotland or Northern Ireland and have different bank holidays, contact support to configure your calendar.
Rate Priority Order
What happens when overtime falls on a weekend or bank holiday.
When multiple premium types apply to the same hours (for example, overtime on a bank holiday), TempClock uses a clear priority order. The highest-priority rate type wins:
This means if a bank holiday falls on a Saturday, the bank holiday rate is used (not the weekend rate). And if a worker is in overtime on a bank holiday, the bank holiday rate still takes precedence.
Overtime hours are still counted towards the weekly threshold even when a weekend or bank holiday rate takes priority for the pay calculation. The threshold tracking and the rate selection are separate things.
Full Calculation Example
See how all the pieces fit together for a real week.
Let us walk through a complete example. Imagine a worker with these settings:
£12.00/hr
40 hours/week
1.5x
None (standard rate)
2.0x multiplier
The worker logs the following hours in one week:
You can see this exact breakdown on the Payroll Reports page for every worker. TempClock automatically splits hours into regular, overtime, weekend, and bank holiday categories based on your rate rules.
Ready to try TempClock?
10-day free trial. All features included. No hidden fees, cancel anytime.