What does OT Arrears mean in UK Payslips? 05 May 2023

OT Arrears on a payslip in the UK typically refers to overtime payments that were not included in a previous payslip. Arrears means that the payment is being made after the date it was due. This could happen for a variety of reasons, such as an error in calculating the overtime pay, a delay in processing the payment, or a change in the employee's working hours or rate of pay.

When an employee works overtime, they are entitled to be paid at a higher rate than their regular hourly rate. This overtime pay is usually calculated based on the number of hours worked and the employee's hourly rate. If there was an error or delay in processing the overtime payment, it may show up as arrears on a subsequent payslip. Order Online Payslips UK

It's important to note that overtime payments may be subject to tax and National Insurance contributions, so the amount of the payment may be different from what the employee actually receives. If an employee has any questions or concerns about their payslip, they should speak to their employer or HR department for clarification.