Q1: How do I convert my hourly rate to annual salary?
To convert hourly rate to annual salary, multiply your hourly rate by the number of hours worked per week, then multiply by the number of weeks worked per year. Formula: Annual Salary = Hourly Rate × Hours per Week × Weeks per Year. For 40 hours/week over 52 weeks, multiply by 2,080.
Q2: What is the standard calculation for full-time work?
The standard full-time calculation assumes 40 hours per week for 52 weeks (2,080 hours per year). Multiply your hourly rate by 2,080 to get your annual salary equivalent. This doesn't account for overtime, bonuses, or unpaid time off.
Q3: Should I include overtime in my salary calculation?
If you regularly work overtime, you can include those hours for a more accurate annual income projection. However, overtime rates (typically 1.5x) should be calculated separately. This tool shows base salary equivalent without overtime premiums.
Q4: How does this compare to a salaried position?
This calculation shows your potential annual earnings based on hourly work. Salaried positions may offer benefits, paid time off, and stability that aren't reflected in hourly calculations. Consider total compensation, not just base salary, when comparing.
Q5: What if I work part-time or have variable hours?
For part-time or variable schedules, use your average hours per week and actual weeks worked per year. This gives you a realistic annual income projection. Remember that part-time work may not include benefits available to full-time employees.
Q6: Why might my actual annual income differ?
Your actual income may differ due to: overtime pay, bonuses, commissions, unpaid time off, holidays, sick days, or changes in hours. This calculator provides a baseline estimate based on consistent hours and rates.