Hourly to Salary

Converting Between Hourly Pay and Annual Salary

An hourly wage and an annual salary are two ways of expressing the same pay rate — multiply an hourly rate by hours worked per week and weeks worked per year to get the annual figure, or divide the other way to go from salary back to hourly. Enter either your hourly rate or your annual salary, along with how many hours you work each week and how many weeks you’re actually paid for in a year, to convert between them.

This calculator deliberately does no tax modeling at all, unlike the Paycheck / Salary Calculator calculator, which estimates real take-home pay after federal tax brackets and FICA payroll taxes are subtracted. Every figure here is gross pay — the plain arithmetic conversion most people actually want when comparing an hourly job offer against a salaried one, or figuring out what a stated salary works out to per hour.

Worked Example

An hourly rate of $25, working 40 hours per week for 52 weeks per year:

1. Annual salary: $25 × 40 × 52 = $52,000.
2. Monthly pay: $52,000 ÷ 12 ≈ $4,333.33.
3. Weekly pay: $25 × 40 = $1,000.
4. Biweekly pay: $1,000 × 2 = $2,000.

Key Factors to Consider

• Salaried positions often come with benefits an hourly comparison doesn’t capture. Health insurance, retirement matching, paid time off, and other benefits can add real value beyond the base pay figure — comparing two job offers purely on the converted salary/hourly number misses this, especially when one offer includes more generous benefits than the other.
• An hourly position technically must be paid for every hour actually worked, while a salaried position’s pay is typically fixed regardless of hours. This distinction (related to exempt vs. non-exempt classification under U.S. labor law) means a salaried role paying more per calculated “hourly equivalent” might still work out to less per actual hour worked if it regularly involves hours beyond a standard 40-hour week.
• Unpaid weeks reduce your real annual total, even at the same hourly rate. Unpaid leave, unpaid holidays, or a seasonal work schedule all reduce the weeks-per-year figure below 52 — use your actual expected paid weeks, not an assumed full year, for an accurate annual conversion.
• This is a pay-rate conversion, not a cost-of-living-adjusted comparison. The same salary buys very different standards of living in different locations — pair this calculator with the Cost of Living Calculator when comparing job offers in different cities or regions.

Common Mistakes

• Assuming 52 weeks always applies. If you take unpaid time off, reduce weeks per year accordingly — 52 weeks assumes you’re paid for every single week of the year, which isn’t true for everyone.
• Confusing gross pay with take-home pay. Every figure here is before taxes and deductions — for an estimate of what actually lands in your bank account, use the Paycheck Calculator instead.
• Forgetting overtime. This calculator assumes a flat hourly rate for every hour entered — it doesn’t account for overtime pay (commonly 1.5x the base rate past 40 hours/week in the U.S.), so a week with overtime will actually pay more than this straight-line conversion suggests.

Useful to Know

• Need to figure out actual hours worked from clock-in and clock-out times first? The Hours Worked Calculator calculator handles that, including overnight shifts.
• If part of the pay is commission-based rather than a flat rate, the Commission Calculator calculator handles that different pay structure directly.
• Want to estimate how much of a converted salary would actually go to income tax? The Income Tax Calculator calculator estimates that based on filing status and income.