About this tool
Salary to hourly rate, explained
Convert a pay rate between hourly, daily, weekly, monthly and yearly, based on the hours and weeks you actually work. Start from a yearly salary or any other rate, and see each figure before and after tax.
How to use it
- 1Under I know my, choose Yearly salary or an Hourly, Daily, Weekly or Monthly rate, then set the amount.
- 2Set your schedule: Hours per week, Days per week and Weeks worked per year, which is 52 minus vacation and public holidays. Or start from Full time, Four-day week or Freelance.
- 3Set the Effective tax rate, the share of your gross pay that goes to tax overall.
- 4Read the hourly rate, or the yearly salary when you start from an hourly rate, and the table of every period before and after tax. Use Compare with a scenario B to set two offers side by side.
How it works
How the rates are converted
Every amount is first turned into a yearly figure, then divided into the other periods. An hour is the yearly amount divided by hours per week times weeks worked per year, a day by days per week times weeks worked, a week by weeks worked, and a month by 12. With the defaults, $65,000 over 40 hours a week and 48 weeks comes to $33.85 an hour, $270.83 a day, $1,354.17 a week and $5,416.67 a month.
Because the hourly, daily and weekly figures use the weeks you actually work, they describe what each working hour, day or week earns. The monthly figure is always the yearly amount divided by 12. Changing the period under I know my converts the amount you entered, so the result stays the same.
The after tax column applies one effective tax rate, 22 percent by default, to every figure: $4,225 a month in the default case. Real take-home pay depends on tax brackets, deductions and contributions in your country, so use your own effective rate from a recent payslip or tax return. Everything runs in your browser.
Hourly rate = yearly pay ÷ (hours per week × weeks worked per year). Daily rate = yearly pay ÷ (days per week × weeks worked per year). Monthly pay = yearly pay ÷ 12. After tax = gross × (1 − effective tax rate)
When to use it
Ways people use it
Comparing job offers
Two offers with similar salaries can differ a lot per hour once you count the expected hours and vacation. Put one in scenario A and the other in scenario B.
Moving from salary to freelance
Enter the salary you want to replace and switch to the Freelance schedule to see the hourly rate it represents, as a starting point for your own rate.
Valuing extra hours
See how your hourly pay drops when a 40-hour week turns into a 50-hour one at the same salary.
Part-time and four-day weeks
Start from Four-day week, or set the hours and days of a part-time role, to compare its hourly pay with a full-time one.
FAQ
Questions people ask
How do I convert an annual salary to an hourly rate?
Divide the salary by the number of hours worked in a year. A common shortcut is 2,080 hours, which is 40 hours over 52 weeks. Using the weeks you actually work instead gives the value of each hour on the job.
How much is $65,000 a year per hour?
About $31.25 an hour at 40 hours a week over 52 weeks. At 40 hours over 48 weeks worked, the converter's default, it is about $33.85 an hour.
Should I count paid vacation when converting?
It depends on the question. Dividing by 52 weeks gives the pay for every week of the year, paid leave included. Dividing by the weeks you actually work gives what each working hour earns, which is the better figure for comparing with a freelance rate.
Is the result before or after tax?
Both. The main figure and the gross column are before tax, and the after tax column applies the effective tax rate you set to every period. Take-home pay depends on your country, tax situation and deductions, so the after tax figures are an estimate.
How should a freelancer set an hourly rate from a salary?
A freelancer doesn't bill every working hour: time goes to admin, sales and gaps between projects, and there is no employer paying for benefits or time off. Start from the Freelance schedule (30 hours a week over 44 weeks) and enter only the hours you expect to bill to see the rate needed to earn the same yearly amount.