Hourly to Salary Calculator
Convert your hourly wage to annual salary instantly. Calculate yearly, monthly, and weekly income from your hourly rate.
How to Convert Hourly Rate to Annual Salary
Converting an hourly wage to an annual salary helps you compare job offers, plan your budget, and understand your total yearly income. This calculation is essential for financial planning and career decisions.
The Formula
The basic formula for converting hourly wage to annual salary is:
Annual Salary = Hourly Rate × Hours per Week × Weeks per Year
For a standard full-time job (40 hours/week, 52 weeks/year):
Annual Salary = Hourly Rate × 2,080 hours
Common Hourly Rate to Salary Conversions
- $15/hour: $31,200 annual salary (full-time)
- $20/hour: $41,600 annual salary (full-time)
- $25/hour: $52,000 annual salary (full-time)
- $30/hour: $62,400 annual salary (full-time)
- $40/hour: $83,200 annual salary (full-time)
- $50/hour: $104,000 annual salary (full-time)
Important Factors to Consider
Part-Time vs. Full-Time
Part-time workers need to adjust hours per week. For example, if you work 20 hours per week at $15/hour, your annual salary would be $15,600 (half of full-time).
Overtime Income
If you regularly work overtime at 1.5× pay, include this in your calculations separately. For example, if you work 5 hours of overtime weekly at $25/hour base rate, that's an additional $9,750 annually ($37.50 overtime rate × 5 hours × 52 weeks).
Paid Time Off Impact
If you receive paid vacation and holidays, you're paid for time not worked. This doesn't change your annual salary but does increase your effective hourly rate for time actually worked.
Why Convert Hourly to Salary?
- Job Comparisons: Compare hourly positions with salaried positions on equal footing
- Budget Planning: Understand your annual income for mortgage applications, loans, and financial planning
- Career Growth: Track income progression over time
- Tax Planning: Estimate annual tax obligations
- Benefits Evaluation: Calculate the value of benefits as a percentage of total compensation
Gross vs. Net Salary
Remember that this calculator shows gross salary (before taxes and deductions). Your take-home pay will be lower after:
- Federal income tax
- State and local income tax
- Social Security and Medicare (FICA) taxes
- Health insurance premiums
- Retirement contributions (401k, IRA)
- Other deductions
Typically, take-home pay is 70-80% of gross salary, depending on your tax bracket and deductions. Use our Income After Tax Calculator to estimate your net pay.
Tips for Negotiating Hourly Rates
- Research Market Rates: Know the industry standard for your role and location
- Calculate Your Worth: Factor in your experience, skills, and certifications
- Consider Total Compensation: Evaluate benefits, not just hourly rate
- Account for Stability: Regular hours are more valuable than inconsistent schedules
- Factor in Overtime: If overtime is guaranteed, include it in your calculations
Hourly vs. Salaried: Pros and Cons
Advantages of Hourly Pay:
- Overtime compensation (time-and-a-half for hours over 40/week)
- Pay for all hours worked
- Clear boundaries between work and personal time
- Flexibility for multiple jobs
Advantages of Salaried Pay:
- Predictable income regardless of hours worked
- Often better benefits packages
- More professional development opportunities
- Greater job security in many cases
Pro Tip: When comparing jobs, convert everything to an effective hourly rate that includes commute time, required overtime, and benefit values. A job paying $5/hour more but requiring 2 extra hours of commuting daily may actually pay less per hour of your time.