In a torque converter powershift transmission system, a modulated oil pressure engaged oil cooled clutch is added at the input to the torque converter. Modulated control of the clutch engagement is given to the operator and adequate cooling is provided so that the clutch cannot be destroyed under the most adverse operating conditions. This provides the means to: smooth transmission shifts; reduce the energy input to the transmission clutches; and slip the modulated clutch and reduce horsepower delivered to the transmission, thus providing more horsepower for direct engine powered implements at the operator's option.