Salary to Hourly Converter
How This Calculator Works
Hourly Rate = Annual Salary / (Hours per Week x Weeks per Year)
Daily Rate = Hourly Rate x Hours per Day
Weekly Rate = Annual Salary / Weeks per Year
Biweekly Rate = Annual Salary / 26
Monthly Rate = Annual Salary / 12The salary to hourly converter breaks down your annual compensation into different pay period amounts, making it easy to understand what your salary translates to on an hourly, daily, weekly, biweekly, and monthly basis.
The Basic Conversion
The fundamental calculation divides your annual salary by the total number of working hours in a year. For a standard full-time position, this is typically 40 hours per week multiplied by 52 weeks per year, giving you 2,080 working hours. If you earn $60,000 per year, your hourly rate would be $60,000 / 2,080 = $28.85 per hour.
Understanding Different Pay Periods
Employers pay on various schedules, and understanding each helps you budget effectively. Weekly pay divides your annual salary by 52 weeks. Biweekly pay (every two weeks) divides by 26 pay periods — this is the most common pay schedule in the US. Semi-monthly pay (twice per month) divides by 24 pay periods. Monthly pay divides by 12 months.
Note that biweekly and semi-monthly are not the same: biweekly results in 26 paychecks per year (and two months with three paychecks), while semi-monthly results in exactly 24 paychecks per year. This distinction matters for budgeting.
Customizing Your Calculation
Not everyone works a standard 40-hour week or 52 weeks per year. If you work part-time (say 30 hours per week), adjust the hours accordingly. If you have unpaid time off, reduce the weeks per year. For example, a teacher who works 40 weeks per year at 40 hours per week has only 1,600 working hours — making their effective hourly rate higher than someone working year-round at the same salary.
Why This Matters
Understanding your true hourly rate helps you make informed decisions about job offers, overtime opportunities, and freelance work. When comparing a salaried position at $65,000/year with a contract role paying $35/hour, you need to factor in that the salaried position includes benefits (health insurance, retirement contributions, paid time off) worth roughly 20-30% of salary. The contract role at $35/hour ($72,800/year) might seem higher, but after accounting for self-employment taxes, benefits costs, and unpaid time off, the effective compensation could be similar or even lower.
This calculator also helps freelancers and consultants set their rates. If you want to match a $80,000 salary with benefits, you might need to charge $50-60/hour as a contractor to account for self-employment taxes (15.3%), health insurance ($400-$800/month), and no paid time off.
Frequently Asked Questions
Related Calculators
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See how a pay raise affects your hourly and annual earnings.
What You Should Know
Making Sense of Your Salary
Whether you are evaluating a new job offer, negotiating a raise, or considering freelance work, understanding the relationship between annual salary and hourly pay is essential for making informed career decisions.
The Hidden Value of Benefits
When comparing job offers, the salary number is just the starting point. Full-time positions typically include benefits worth 20-30% of your base salary. Health insurance alone can be worth $6,000-$20,000 annually for family coverage. Add in retirement matching (3-6% of salary), paid time off (worth roughly 4-8% of salary), and other perks like life insurance, disability coverage, and professional development budgets.
For example, a position offering $75,000 with full benefits might be worth $95,000-$97,500 in total compensation. A contractor earning $45/hour ($93,600/year) with no benefits would need to pay for health insurance, self-employment taxes, and save for their own retirement — potentially netting less than the salaried employee.
Cost of Living Adjustments
A $70,000 salary in Austin, Texas has very different purchasing power than $70,000 in San Francisco or New York City. The cost of living can vary by 50% or more between major metro areas. When evaluating job offers in different cities, consider using a cost of living calculator alongside this salary converter to understand your real purchasing power.