Holiday pay and double time: how they work

Holiday pay is a premium rate for working on a designated holiday — most often 1.5× (“time and a half”), sometimes 2× (“double time”). Double time is simply a 2× rate, and it shows up in two places: as the holiday rate at generous employers, and as the top overtime tier in places like California, where hours beyond 12 in a day pay 2×. The terms get used loosely; what matters on a paycheck is which multiplier applies to which hours.

Who decides what a holiday pays

In the U.S., federal law does not require premium pay for holidays at all — a holiday rate comes from your employer’s policy, your contract, or a union agreement. Even which days count is defined by the employer: some pay premiums on the six major federal holidays, some on ten, some treat the day after Thanksgiving as a holiday and some don’t. Elsewhere in the world, statutory holiday pay is common but the rates and rules differ by country. Practical consequence: your list of paid holidays and your rate are facts about your job, and your tracker has to let you set both.

The stacking problem

The genuinely tricky paychecks happen when two premiums land on the same hour. You work a 12-hour shift on a holiday: those last hours might qualify for the holiday rate and daily overtime. Employers resolve this in different, legitimate ways:

  • Highest wins — you get the better of the two rates, not both.
  • Add the premiums — 1.5× holiday plus 0.5× overtime premium on top.
  • Multiply through — the overtime multiplier applies to the holiday-boosted rate.
  • A pinned flat rate — the contract names a specific number for that situation.

None of these is “the” correct answer — your agreement picks one. But a tracker that silently assumes one of them will disagree with your paycheck and you won’t know which side is wrong.

How Valio tracks holidays and double time

  • You mark your holidays. Valio pays a premium on the dates your job treats as holidays — your actual list, not a built-in calendar’s guess.
  • Any rate shape: holiday pay as a multiplier (1.5×, 2×), a fixed hourly amount, a flat bonus, or a percentage.
  • The stacking rule is yours to set. When two rates cover the same hour — like daily overtime on a holiday — tell Valio once whether to add the premiums, multiply them through, rank one above the rest, or pin a flat rate.
  • Overtime tiers up to and including double time — as many tiers as your job actually pays.
  • The math is shown. Tap the day and see exactly how the holiday hours were classed and paid — and your exported timesheet names and subtotals each rate on its own line.

Holiday pay rules are set by your employer, contract, or local law — this guide is general information, not legal advice. Configure Valio to match your actual agreement.