How to convert salary to hourly
Divide the annual salary by the number of hours you work in a year. A full-time schedule of 40 hours a week for 52 weeks is 2,080 hours, so:
hourly rate = annual salary ÷ (hours per week × weeks per year)
A $52,000 salary is $25.00 an hour; $60,000 is about $28.85; $100,000 is about $48.08. A quick mental shortcut for a 40-hour week: halve the salary and drop the last three zeros. $70,000 becomes about $35 an hour.
How to convert hourly to salary
Multiply in the other direction: hourly wage × hours per week × weeks per year. $20 an hour full time is $41,600 a year, and $30 an hour is $62,400. Double the hourly rate and add three zeros for a quick estimate.
Paid weeks and vacation
Salaried employees usually get paid vacation and holidays, so 52 paid weeks is the right number even though they work fewer. Hourly workers often are not paid for time off. If you take two unpaid weeks, use 50 weeks to see your real annual income. Contractors and freelancers should go further and count only billable hours, then set their rate high enough to cover self-employment tax, health insurance, retirement savings and unbillable admin time. A freelancer charging the same hourly rate as an employee earns noticeably less.
Pay periods explained
- Biweekly: every two weeks, 26 paychecks a year. Two months a year have three paydays.
- Semimonthly: twice a month, usually the 1st and 15th, 24 paychecks a year. Each check is a little larger than a biweekly one.
- Monthly: annual salary divided by 12.
Gross vs take-home pay
All figures here are gross pay. Your paycheck will be smaller after federal and state income tax, Social Security and Medicare, and deductions such as health insurance and 401(k) contributions. Tax brackets and withholding rules change every year and vary by state, so check your pay stub for your actual take-home amount, then plan your spending with the 50/30/20 budget calculator.
Overtime
Under federal law, non-exempt employees who work more than 40 hours in a workweek are generally owed at least 1.5 times their regular rate for the extra hours. Some states have additional daily overtime rules. This calculator does not add overtime premiums; enter a 40-hour week and add overtime separately.
Frequently asked questions
How much is $60,000 a year per hour?
About $28.85 an hour, assuming 40 hours a week and 52 paid weeks (2,080 hours).
How many work hours are in a year?
A standard full-time year is 2,080 hours: 40 hours a week times 52 weeks. Subtract unpaid time off if you are paid hourly.
How much is $25 an hour annually?
$52,000 a year at 40 hours a week for 52 weeks, or $50,000 if you work 50 weeks.
What is the difference between biweekly and semimonthly pay?
Biweekly means every two weeks, 26 paychecks a year. Semimonthly means twice a month, 24 slightly larger paychecks a year.