Salary Hourly/Yearly Calculator

How hourly pay converts to a yearly salary

The calculator annualizes your hourly wage from your real schedule: regular hours plus overtime at its multiplier, times the weeks you actually work per year. It also runs the conversion backwards — from an annual salary to the equivalent hourly rate — then applies bonus, monthly deductions, pay frequency, and an optional flat tax rate for a rough net estimate.

Formulas

Weekly gross = rate × hours + rate × OT multiplier × OT hours

Yearly gross = weekly gross × weeks per year + annual bonus

Estimated net = gross − pre-tax deductions − tax − post-tax deductions

Hourly from salary = annual ÷ (hours × weeks)

Worked examples

• $25/hour, 40 h/week, 52 weeks — 25 × 40 × 52 = $52,000 per year (≈ $4,333/month).
• With 5 overtime hours at 1.5× — weekly gross becomes 1,000 + 187.50 = $1,187.50, or $61,750 per year.
• $70,000 salary at 40 h × 52 weeks — 70,000 ÷ 2,080 = ≈ $33.65/hour.

Quick reference (40 h/week, 52 weeks)

Minimum wage by state, and what it is a year

The federal minimum wage is $7.25 an hour and has not moved since July 2009 — the longest gap without an increase since it was introduced. States may set their own higher figure, and most now do.

State rates effective 1 July 2026. Source: US Department of Labor, Wage and Hour Division — state minimum wage laws; checked 17 September 2026. "Full-time year" is 2,080 hours — 40 a week for 52 weeks, before any tax or deduction.

30 of the 51 jurisdictions pay above the federal floor and 21 sit on it. The spread at the top and bottom is the whole story: a full-time year at $7.25 is $15,080, while the same year in the District of Columbia at $18.40 is $38,272 — $23,192 more for identical hours.

Two things the table shows that a single national number cannot. 5 states have no minimum wage law of their own — Alabama, Louisiana, Mississippi, South Carolina and Tennessee — so the federal rate is the floor there by default rather than by decision. And 2 states, Georgia and Wyoming, keep a statutory rate of $5.15 that is below the federal one. That changes nothing for most workers: wherever federal coverage applies — which is almost everywhere — the higher figure wins and the state number is a historical leftover.

Where a range appears, the rate depends on region or employer size — New York and Oregon set higher rates in their metro areas, and Ohio lets small employers pay the federal figure. Check the state's own labour department for the band that applies to a specific job.

Gross vs. net pay

The yearly and hourly figures above are gross — before tax and deductions. What actually reaches your account is net pay, after income tax, social contributions, pension or retirement, and health premiums. The flat tax field gives a rough net estimate, but real tax is usually tiered and varies by country, state, and personal circumstances, so treat the net figure as a ballpark rather than a payslip.

Mind the hours-and-weeks assumptions

The common "2,080 hours a year" shortcut (40 × 52) assumes you are paid for every week, including holidays. If you take unpaid leave, work part-year, or have irregular weeks, lower the weeks-per-year figure so the annual total reflects reality. The reverse conversion is sensitive to this too: dividing a salary by 2,080 versus, say, 1,920 paid hours can shift the equivalent hourly rate by more than a dollar.

Salary to hourly: the reverse lookup

Going the other way — comparing a salaried offer against contract work — divide by the hours you actually work in a year. At a standard 40-hour week that is 2,080 hours.

The rough shortcut worth remembering: halve the hourly rate and read it as thousands. $25 an hour is about $50,000 a year; $48 an hour is about $96,000. It is accurate to within a percent at a 40-hour week.

2,080 hours or 2,087?

Both appear in payroll systems and they are not a rounding disagreement. 2,080 is simply 40 × 52. But a year is 365.25 days, which is 52.18 weeks — so the true long-run average is 2,087 hours, the figure US federal payroll uses. The gap is seven hours a year, worth about $175 at $25 an hour: immaterial for a personal estimate, not immaterial when converting a salaried rate into a contract rate you will be held to.

Pay periods change the size of a paycheck, not the salary

Biweekly and semi-monthly sound identical and are not: 26 payments against 24. Biweekly also produces a 27-paycheck year roughly every eleven years, because 26 fortnights fall a day or two short of a full year and the surplus eventually accumulates into an extra payment. Budgets built on “two paychecks a month” break in those years, and in the two months a year that contain three biweekly paydays.

Part-time, pro-rata and unpaid weeks

Pro-rata salary = full-time salary × (your hours ÷ full-time hours)

A $60,000 full-time role at 22.5 hours against a 37.5-hour week pays $36,000. Advertised salaries for part-time posts are often quoted at the full-time equivalent, so check which figure you are reading before comparing offers.

Unpaid time works the same way but is easy to miss. A contractor taking four weeks off and two weeks of public holidays bills 46 weeks, not 52 — at $50 an hour that is $92,000 rather than $104,000, before a single sick day. The default 52-week assumption in any hourly-to-yearly conversion quietly assumes you never stop.

Tracking a single shift instead? The time duration calculator counts hours between two times and estimates the pay.