How pay rates are converted
Convert the input to an annual equivalent, then divide by the matching number of hours, days or pay periods.
Hourly = annual ÷ (hours per week × weeks per year); annual = hourly × hours per week × weeks per year; monthly = annual ÷ 12.
- Annualise monthly pay by multiplying by 12. Weekly pay uses weeks per year; fortnightly pay uses half that number.
- Annualise daily pay using days per week times weeks per year. Hourly pay uses hours per week times weeks per year.
- Divide annual pay by annual hours for hourly pay and by annual workdays for daily pay.
- Weekly pay is annual divided by weeks per year. Fortnightly is twice weekly; monthly is annual divided by 12.
- For the separate unpaid-leave comparison, divide annual pay by hours per week times (weeks per year minus unpaid weeks).
Worked example: An annual salary of 60,000 with 40 hours per week and 52 weeks per year gives 60,000 ÷ 2,080 = 28.85 per hour. Monthly pay is 60,000 ÷ 12 = 5,000. With 4 weeks excluded, the same annual amount over 48 weeks gives 31.25 per hour.
Common salary and hourly examples
| Amount | Amount is per | Hours per week | Hourly | Monthly | Annual |
|---|---|---|---|---|---|
| 50,000 | Year | 40 | 24.04 per hour | 4,166.67 per month | 50,000 per year |
| 60,000 | Year | 40 | 28.85 per hour | 5,000 per month | 60,000 per year |
| 75,000 | Year | 38 | 37.96 per hour | 6,250 per month | 75,000 per year |
| 100,000 | Year | 37.5 | 51.28 per hour | 8,333.33 per month | 100,000 per year |
| 25 | Hour | 40 | 25 per hour | 4,333.33 per month | 52,000 per year |
Swipe the table sideways to see the rest.
Any currency, before tax. Each example uses 5 days per week and 52 weeks per year.
Things to consider
- Use your actual contracted hours, especially for part-time work.
- Paid leave stays within the paid weeks used for the main table.
- The unpaid-leave comparison holds annual pay fixed. Actual earnings fall if unpaid leave reduces your pay.
- Allow separately for overtime, bonuses and deductions.
Frequently asked questions
How do I convert salary to hourly pay?
Divide annual salary by hours per week times weeks per year. For 60,000, 40 hours and 52 weeks, this is 60,000 ÷ 2,080 = 28.85 per hour. Other input periods are converted to an annual equivalent first.
Why is 2,080 hours often used?
It is 40 hours per week times 52 weeks per year. It is not universal. Change the hours and weeks to match your work schedule.
Why isn't monthly pay weekly pay times 4?
Twelve four-week months cover only 48 weeks. Monthly pay here is annual pay divided by 12. With 52 weeks, an average month represents about 4.333 weeks.
How do paid leave and unpaid time off affect the result?
Paid leave is included in paid weeks. The advanced unpaid-weeks field shows the hourly equivalent of the same annual amount spread over fewer working weeks. It does not reduce the annual amount in the main table. If your employer deducts pay for unpaid leave, enter the reduced annual earnings to compare actual pay.
Is this before or after tax?
All figures are before tax and deductions. Take-home pay depends on your circumstances and local rules. This calculator does not estimate tax or benefits.
How do part-time hours change the calculation?
For a fixed annual salary, fewer weekly hours give a higher hourly equivalent. For a fixed hourly rate, fewer hours give lower weekly and annual earnings. Use your actual hours rather than a full-time default.
Results are estimates for general information only, not financial, medical or professional advice.