Hourly to Salary Calculator
Convert an hourly wage into the equivalent annual salary, monthly income, and weekly pay based on your actual schedule.
How to use this hourly to salary calculator
- 1Enter your hourly rate — this is your base pay rate, not including overtime.
- 2Enter the number of hours you work per week. Use your typical week, not your maximum.
- 3Enter weeks worked per year — 52 if you work year-round, fewer if you take unpaid time off.
- 4Your annual salary equivalent appears along with monthly and weekly figures.
- 5To see after-tax income, take the annual figure to a paycheck calculator for your state.
How it's calculated
Annual = hourly × hours per week × weeks per year. Full-time standard: $25/hr × 40 hrs × 52 wks = $52,000/year.
About the Hourly to Salary Calculator
The hourly-to-salary conversion is one of the most-used calculations in personal finance, yet most people only scratch the surface of what it reveals. Beyond the simple multiplication, this conversion helps you understand your true earnings, evaluate job offers fairly, and negotiate confidently.
The most important insight is that your effective hourly rate tells you what each hour of your life is worth in terms of that job. If you are making $25/hour at a job requiring 45 hours per week, your effective rate is already $25. But if that job also requires 30 minutes of commute each way, plus 30 minutes of decompression after work, your truly committed time is 51.5 hours per week — dropping your effective rate to about $21.84. This is the thinking behind our True Hourly Wage Calculator.
For those transitioning from hourly to salaried work, the conversion is critical for negotiation. If you currently earn $28/hour and regularly work 45 hours per week, your annual earnings are $65,520. Accepting a $60,000 salary with the expectation of 45+ hours would be a significant pay cut. Always negotiate from your actual earnings, not just the base hourly rate.
From an employer perspective, the loaded cost of an hourly employee includes payroll taxes (7.65% employer FICA), workers' compensation insurance, unemployment insurance, and benefits. An employee paid $25/hour typically costs the employer $31–$36/hour in total loaded cost. Understanding this helps you negotiate — you know the employer has margin to move.
Frequently asked questions
What annual salary does $20 per hour equal?
At 40 hours per week for 52 weeks, $20/hour equals $41,600 per year. At 35 hours per week (common for part-time roles classified as full-time), it equals $36,400. At 45 hours per week, it equals $46,800. The number of hours you actually work dramatically changes the equivalent salary — always specify your schedule when making this comparison.
What annual salary does $15 per hour equal?
At standard full-time hours (40 hrs × 52 weeks), $15/hour equals $31,200 per year. This is close to the federal poverty line for a family of four. Many states and cities have minimum wages above $15/hour precisely because $31,200 is insufficient to cover basic living costs in most US metro areas. Use our Cost of Living Salary Calculator to see whether $15/hour (or any wage) meets living expenses in your specific city.
How do I negotiate moving from hourly to salary?
First, calculate your current total annual earnings including overtime. If you regularly earn overtime, a straight salary conversion at 40 hours may actually pay you less. Second, factor in benefits — moving to salary often means losing overtime eligibility but gaining job security and sometimes better benefits. Ask for a salary that includes a premium of at least 10–15% above your calculated annual hourly rate to compensate for the loss of overtime potential and to reflect the additional responsibility often expected of salaried employees.
Is it better to be paid hourly or salary?
It depends on your situation. Hourly pay is better if you regularly work overtime, since overtime hours are compensated at 1.5×. Hourly pay also means you are paid only for hours worked — no unpaid extra time. Salary is often better for job security, benefits access, and career advancement. Many professional roles are only available as salaried positions. The key risk of salary employment is scope creep — employers gradually expecting more hours for the same pay. Track your actual hours to make sure your effective hourly rate stays reasonable.
Does this calculation include taxes?
No — this calculator converts gross (pre-tax) hourly wages to gross annual salary. Your take-home pay will be lower after federal income tax, FICA taxes (Social Security 6.2% + Medicare 1.45%), and any applicable state income taxes. Use our state paycheck calculators to estimate net take-home after taxes for Texas, California, New York, Florida, and other states.