Conversion Formula:
From: | To: |
The annual salary to hourly rate conversion calculates how much an employee earns per hour based on their yearly salary. This is useful for comparing job offers, budgeting, or converting between payment structures.
The calculator uses the standard conversion formula:
Where:
Explanation: This assumes a full-time position with 2 weeks of unpaid vacation per year.
Details: Converting between annual and hourly rates helps employees compare job offers, understand their true earnings, and negotiate compensation packages.
Tips: Enter your annual salary in USD. The calculator will show the equivalent hourly rate based on a standard 2080-hour work year.
Q1: Why 2080 hours?
A: This is based on 40 hours/week × 52 weeks/year. Some calculations use 2087.5 hours to account for leap years.
Q2: What if I work different hours?
A: Adjust the divisor (2080) to match your actual working hours per year (hours/week × weeks worked).
Q3: Does this include benefits?
A: No, this only converts base salary. Benefits like health insurance or retirement contributions aren't included.
Q4: How accurate is this for part-time work?
A: For part-time, use actual hours worked (e.g., 20 hours/week × 52 = 1040 hours/year as divisor).
Q5: What about overtime?
A: This calculates standard hourly rate. Overtime pay would be 1.5× this rate for hours over 40/week.