Hourly to Annual Salary Calculator
Convert your hourly wage to annual salary and see breakdowns by month, week, and day. Include overtime and paid time off calculations.
Understanding Hourly vs Salary Pay
Hourly Pay Considerations
Hourly employees are paid for the exact number of hours worked and are eligible for overtime pay when working more than 40 hours per week. This can provide flexibility but may result in variable income.
- • Overtime Eligibility: Time-and-a-half pay for hours over 40/week
- • Variable Income: Pay fluctuates with hours worked
- • Time Tracking: Must track hours worked accurately
- • Break Pay: Typically not paid for breaks or time off
Salary Pay Benefits
Salaried employees receive a fixed annual amount regardless of hours worked, often with additional benefits like paid time off, health insurance, and retirement contributions.
- • Predictable Income: Same amount each pay period
- • Paid Benefits: Often includes PTO, health insurance, 401k
- • No Overtime: Exempt positions don't receive overtime pay
- • Professional Growth: May offer more advancement opportunities
💡 Salary Conversion Tips
• Consider Total Compensation: Include benefits value when comparing offers
• Factor in Overtime: Hourly workers may earn more with significant overtime
• Evaluate Work-Life Balance: Salary positions may require more than 40 hours/week
• Calculate True Hourly Rate: Divide salary by actual hours worked for comparison
Frequently Asked Questions
How do I convert hourly wage to annual salary?
Multiply your hourly rate by the number of hours you work per week, then multiply by 52 weeks. For a standard full-time position: Hourly Rate × 40 hours × 52 weeks = Annual Salary. Don't forget to factor in overtime, vacation time, and unpaid breaks.
Should I include overtime in my salary calculation?
Only include overtime if it's consistent and guaranteed. Occasional overtime shouldn't be counted in your base salary calculation, but regular overtime (like working 45+ hours weekly) can be factored in for a more accurate annual income estimate.
How much is my paid time off worth?
Calculate PTO value by multiplying your daily rate by the number of paid days off. Daily rate = (Hourly wage × hours per day). If you get 15 days of PTO and earn $25/hour working 8-hour days, your PTO is worth $3,000 annually (15 days × $200/day).
What's the difference between gross and net salary?
Gross salary is your total earnings before any deductions. Net salary (take-home pay) is what you receive after taxes, Social Security, Medicare, insurance premiums, and other deductions are subtracted. Typically, expect net pay to be 70-80% of gross pay.
How many working days are in a year?
A standard work year has 260 working days (52 weeks × 5 days), or 2,080 hours for full-time employment (40 hours × 52 weeks). However, this doesn't account for holidays, sick days, or vacation time, which typically reduce actual working days to 240-250 per year.