Holiday Pay Calculator
Calculate holiday pay for working on a public holiday — at time-and-a-half, double time, or any premium your employer offers. Includes the US premium conventions and the UK statutory holiday entitlement rules.
Quick answer: Holiday pay = hourly rate × premium multiplier × hours worked. Working 8 hours on Thanksgiving at $18/hour with double time pays 8 × $36 = $288. No US federal law requires holiday premiums — they come from company policy or union contracts. UK workers instead get 5.6 weeks of paid holiday per year.
How Holiday Pay Works in the US
Surprise number one for most workers: no US federal law requires premium pay for working holidays — or paid holidays at all. Holidays are ordinary workdays under the FLSA. Everything beyond that comes from company policy, union contracts, or state quirks (Rhode Island and Massachusetts have limited premium-pay rules for some retail work). Where premiums exist, time-and-a-half is the standard and double time appears for major holidays, especially under union agreements.
Surprise number two: paid holidays you don't work don't count toward overtime. A week with a paid Monday holiday plus four 10-hour days is 40 worked hours + 8 holiday hours = 48 paid hours but zero FLSA overtime, because only worked hours count toward the 40-hour threshold.
Holiday Pay Formula
Holiday Pay = Hourly Rate × Premium Multiplier × Hours Worked
Some employers additionally pay the holiday itself (8 hours straight time) on top of the premium for hours worked — "holiday pay plus premium" — effectively 2.5x for a time-and-a-half policy. Read your policy's exact structure; the same "1.5x" label hides two different totals.
Worked Examples
Example 1 — double time Thanksgiving. $18/hour × 2 × 8 hours = $288, a $144 premium over a normal day.
Example 2 — premium plus paid holiday. Same shift where policy pays the 8-hour holiday (8 × $18 = $144) plus time-and-a-half for working it (8 × $27 = $216): $360 total — the strongest common structure.
Example 3 — night shift on a holiday. A nurse at $30 base + 12% night differential working a holiday at 1.5x: premium applies to the differential rate → $33.60 × 1.5 = $50.40/hour. Stack order matters; see the shift differential calculator.
Typical US Holiday Premium Practices
| Holiday | Common practice where premiums exist |
|---|---|
| Thanksgiving, Christmas | 2x, or 1.5x plus the paid holiday |
| New Year's Day, July 4th, Memorial/Labor Day | 1.5x |
| Minor observed holidays | Straight time or 1.5x by policy |
| Union shops (healthcare, manufacturing) | Contractual — commonly 2x–2.5x for majors |
UK Holiday Pay: A Different System Entirely
UK law guarantees 5.6 weeks of paid holiday per year (28 days for a five-day week, which may include the 8 bank holidays) rather than premium pay for working holidays:
- Part-timers: pro-rated — days per week × 5.6 (a 3-day week earns 16.8 days).
- Irregular/zero-hours workers: accrue at 12.07% of hours worked (5.6 ÷ 46.4 remaining weeks).
- Rate: normal pay including regular overtime and commission, averaged over the last 52 paid weeks.
- Bank holidays: no automatic right to take them or to premium pay for working them — contracts decide; the 28-day minimum is the real entitlement.
- On leaving: untaken statutory holiday must be paid out with the final wages.
Track your remaining UK days with the leave balance calculator.
India: Paid Festival Holidays
State Shops & Establishments Acts and the National & Festival Holidays Acts mandate paid holidays (Republic Day, Independence Day, Gandhi Jayanti, plus state festival lists). Employees required to work a national holiday typically get double wages or a substitute holiday with premium, varying by state — check your state's rules and your standing orders.
Negotiating and Auditing Holiday Pay
- Know the structure before the shift: premium-only vs holiday-plus-premium differ by a full day's wage. Ask which applies in writing.
- Volunteering leverage: unpopular shifts are negotiation currency — if policy is silent, proposing "2x for Christmas coverage" often succeeds when staffing is tight.
- Check the paystub after: holiday premiums are frequent payroll misses, especially stacked with differentials or overtime. Verify against the overtime and double time calculators.
- Holiday on your day off / during vacation: many policies grant a substitute day ("in lieu") — unclaimed lieu days quietly expire, so log them.
Frequently Asked Questions
Do I get paid extra for working holidays?
Only if your employer or union contract provides it — no US federal law requires holiday premiums. Where offered, time-and-a-half is standard and double time is common for major holidays.
What is double time and a half?
2.5x your normal rate — usually structured as your regular holiday pay (1x) plus a 1.5x premium for working it. At $18/hour that totals $45/hour.
Do paid holidays count toward overtime?
No. Only hours actually worked count toward the FLSA 40-hour threshold. A paid Monday holiday plus four 10-hour days yields 48 paid hours but no federal overtime.
How is UK holiday pay calculated?
UK workers get at least 5.6 weeks of paid holiday yearly, paid at normal earnings averaged over 52 paid weeks including regular overtime. Irregular-hours staff accrue at 12.07% of hours worked.
Are employers required to give holidays off?
US: no — holidays are ordinary workdays absent policy. UK: no automatic right to bank holidays; the 28-day paid minimum is the entitlement. India: state law mandates certain paid national and festival holidays.
Which US holidays usually pay premium rates?
Where premiums exist: New Year's Day, Memorial Day, July 4th, Labor Day, Thanksgiving, and Christmas — with Thanksgiving and Christmas most likely to earn double time.
What if a holiday falls on my day off?
Many employers grant a substitute paid day ("in lieu") or add a day to leave balances — policy-dependent. Log lieu days; they commonly expire unclaimed.
Does holiday premium stack with night differential?
Typically yes — the premium multiplier applies to your differential-inclusive rate. A $30 base with 12% differential at 1.5x pays $50.40/hour, not $45.
Is holiday pay taxed differently?
No — it is ordinary wages under normal withholding, unlike lump-sum payouts which use supplemental rates.
Do part-time workers get holiday pay?
US: by policy. UK: yes — pro-rated statutory holiday (days per week × 5.6). India: paid festival holidays generally apply to covered part-time employees too.
✓ Formula verified • Last updated: July 10, 2026