Hourly to Salary Calculator

Converting between hourly pay and annual salary is one of those small tasks that comes up constantly: in a job offer, a freelance rate, a salary negotiation, or a comparison between two opportunities. The hourly to salary calculator handles it in one direction, and the salary to hourly calculator handles the other, with the same fields either way.

The hours per week and weeks per year fields are where most of the accuracy comes from. Forty hours a week for fifty-two weeks is the standard assumption, and it is the one most job ads use. It is also optimistic, because most salaried roles do not pay for holidays, and many people take less than the full year for other reasons. Setting weeks to 48 or 47 gives a more honest effective rate, which matters when you are comparing an hourly offer against a salaried one.

The effective hourly rate is the number to pay attention to when comparing offers, because it accounts for everything: base pay, overtime, and all hours worked. A role paying $75,000 with genuine overtime is worth more than a role paying $85,000 with none, and the effective rate is what makes that visible.

Overtime is where the gap between two seemingly similar offers usually lies. Entering your overtime hours and the multiplier your employer uses shows what that premium is actually worth over a year, and therefore how much extra base salary would be needed to match it.

One caution about hourly rates that look high. When you convert an hourly rate to an annual figure, you are implicitly assuming you can work all year at that rate. Self-employed and contract workers usually cannot: holidays, sick days, and the gaps between contracts all reduce the hours actually worked. If you are comparing freelance rates to employment, reduce the weeks per year to something realistic for your situation.