Salary Calculator: Converting Hourly, Monthly and Annual Pay
A salary calculator converts pay between hourly, weekly, monthly and annual figures so you can compare offers on the same basis. Give it a rate and the hours you work, and it produces the equivalent annual salary — and the reverse, so a posted salary becomes a real hourly value.
The standard conversion
A full-time year is normally treated as 52 weeks. At 40 hours a week that is 2,080 paid hours, so an hourly rate multiplied by 2,080 gives the annual equivalent. Going the other way, an annual salary divided by 2,080 gives the hourly value. Adjust the hours figure if you work part time, compressed hours or a 37.5-hour week.
Gross is not take-home
These figures are gross pay. Income tax, national insurance or payroll taxes, pension contributions and benefit deductions come off before the money reaches your account. Depending on the country and bracket, net pay is commonly 60-80% of gross, so always budget from the net figure.
Compare total compensation, not just salary
- Employer pension or 401(k) match is deferred pay — count it.
- Paid leave, sick pay and holidays are worth real money to salaried staff and often nothing to contractors.
- Health insurance, bonuses and equity can outweigh a higher base salary elsewhere.
- Contractors should add roughly 20-30% to cover unpaid time, self-employment tax and benefits.
Key takeaways — Salary Calculator
- Annual = hourly × hours per week × 52; reverse it to get an hourly equivalent.
- All results are gross pay before tax and deductions.
- Weigh benefits and paid time off when comparing two offers.