In Short
Hourly rate = annual salary ÷ (hours per week × paid weeks per year). A full-time year is 40 hours × 52 weeks = 2,080 hours, so a $60,000 salary is $28.85 an hour, and $25 an hour is $52,000 a year. If two weeks off are unpaid, the same $60,000 over 50 weeks works out to $30.00 an hour.
How to Use the Salary to Hourly Calculator
- Choose whether you're starting from a salary or an hourly rate.
- Enter the amount, then your usual hours per week.
- Set paid weeks per year: 52 if your time off is paid, fewer for unpaid weeks.
- Or tap Say It All: “Convert a salary of 72 thousand a year, working 45 hours a week for 50 weeks.”
The Formula
Every conversion goes through the number of paid hours in a year. Figures are gross pay, before taxes and deductions.
- Paid hours a year = hours per week × paid weeks per year
- Hourly = annual ÷ paid hours a year
- Annual = hourly × hours per week × paid weeks per year
- Weekly = annual ÷ paid weeks · Biweekly = weekly × 2
- Semimonthly = annual ÷ 24 · Monthly = annual ÷ 12
- Overtime (non-exempt) = 1.5 × regular rate for hours over 40 in a workweek [1]
Worked Examples
| Scenario | Inputs | Result |
|---|---|---|
| Salary to hourly | $60,000 a year, 40 hours, 52 weeks | $28.85 an hour · $1,153.85 a week · $5,000 a month |
| Hourly to salary | $25 an hour, 40 hours, 52 weeks | $52,000 a year · $2,000 every two weeks · $4,333.33 a month |
| Unpaid time off | $60,000 a year, 40 hours, 50 paid weeks | $30.00 an hour · $1,200 a week |
| Long weeks | $72,000 a year, 45 hours, 50 weeks | $32.00 an hour · 2,250 paid hours a year |
| Hourly with overtime | $20 an hour, 45 hours (non-exempt) | 5 overtime hours at $30 · $950 a week instead of $900 |
Illustrative examples, not projections. Figures use the tax year shown and the assumptions above.
How Many Work Hours Are in a Year?
A full-time schedule of 40 hours a week for 52 weeks is 2,080 hours. That's the standard divisor when a salary is quoted as an hourly rate. Paid holidays and vacation are still paid hours, so they stay in the 2,080.
Unpaid weeks change the math. If you take two unpaid weeks, you work 2,000 paid hours, and each hour is worth more for the same salary. The same is true the other way: an hourly worker who takes unpaid time off earns less than rate × 2,080.
Do Salaried Employees Get Overtime?
Under the Fair Labor Standards Act, non-exempt employees must be paid at least one and a half times their regular rate for hours over 40 in a workweek [1]. Being paid a salary doesn't by itself make someone exempt: exemption also depends on the job's duties and a minimum salary level [2].
That's why a long-hours salary can be worth less per hour than it looks. A $72,000 salary at 45 hours a week for 50 weeks is $32 an hour, not the $34.62 a 40-hour week would suggest.
Is Hourly or Salary Better?
Compare them on the same basis: the same hours, the same paid weeks, and the value of benefits. Hourly pay rewards extra hours through overtime; a salary gives steadier pay in slow weeks. The federal minimum wage is $7.25 an hour, and many states set a higher one [3].
To see what either one leaves you after taxes, run the result through the Paycheck Calculator.
Frequently Asked Questions
How much is $60,000 a year per hour?
$28.85 an hour at 40 hours a week for 52 weeks (2,080 hours). That's $1,153.85 a week, $2,307.69 every two weeks and $5,000 a month, before taxes.
How much is $25 an hour per year?
$52,000 a year at 40 hours a week for 52 weeks. That's $1,000 a week, $2,000 every two weeks and $4,333.33 a month, before taxes.
How many hours a year is full time?
2,080: 40 hours a week × 52 weeks. Paid holidays and paid vacation count; unpaid time off doesn't.
How do I convert a monthly salary to hourly?
Multiply the monthly pay by 12 to get the annual salary, then divide by 2,080 for a 40-hour week. $5,000 a month is $60,000 a year, or $28.85 an hour.
Is overtime included?
The conversion uses straight time. When you enter more than 40 hours, the calculator also shows the FLSA overtime pay at 1.5× your rate for non-exempt employees.
Sources
- Overtime Pay — U.S. Department of Labor, Wage and Hour Division
- Fact Sheet #17A: Exemption for Executive, Administrative, Professional, Computer & Outside Sales Employees Under the FLSA — U.S. Department of Labor, Wage and Hour Division
- Minimum Wage — U.S. Department of Labor, Wage and Hour Division
Official sources only: the IRS, SSA, BLS and other government agencies. Read how Zentavos researches.