How do I calculate annual salary from hourly wage?

Multiply your hourly rate by hours worked per week, then multiply by 52 weeks. Formula: Annual Salary = Hourly Rate × Hours per Week × 52 weeks. For example, $25/hour × 40 hours/week × 52 weeks = $52,000/year.

What is the annual salary for $20 per hour?

$20 per hour equals $41,600 per year for a standard 40-hour work week (40 hours × 52 weeks = 2,080 hours). With overtime, this could be higher.

Should I include overtime in salary calculations?

If you regularly work overtime, yes. This calculator allows you to add expected overtime hours at 1.5x or 2x your base rate to get a realistic annual income estimate.

Is hourly better than salary?

It depends on your situation. Hourly positions typically offer overtime pay and flexibility, while salaried positions often include better benefits and job security. Compare total compensation packages.

How many hours equal full-time work?

Full-time is typically 35-40 hours per week in Canada. Most calculations use 40 hours per week or 2,080 hours per year as the standard for full-time employment.

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Hourly to Salary Calculator

Convert your hourly wage to annual salary. Include overtime hours to see your true earning potential.

Hourly Wage Information

Hourly Rate

Hours per Week

Weeks Worked per Year

Overtime Hours/Week (Optional)

Annual Salary

$52,000.00

per year (gross)

Hourly Rate $25.00

Regular Hours/Year 2,080

Regular Income $52,000.00

Overtime Income $0.00

Monthly Income $4,333.33

Bi-weekly Income $2,000.00

Weekly Income $1,000.00

Daily Income (8 hrs) $200.00

Converting Hourly Wage to Annual Salary

Understanding your annual earning potential from an hourly wage helps with budgeting, loan applications, and comparing job offers. This calculator converts your hourly rate to annual, monthly, weekly, and daily income figures, with options to include overtime.

How to Calculate Annual Salary from Hourly Wage

The basic formula is: Annual Salary = Hourly Rate × Hours per Week × Weeks per Year

For a standard full-time position: $25/hour × 40 hours/week × 52 weeks = $52,000/year

Including Overtime

If you regularly work overtime at time-and-a-half (1.5x), include those hours:

Overtime Rate = $25 × 1.5 = $37.50/hour

5 overtime hours/week × 52 weeks × $37.50 = $9,750 additional annual income

Common Hourly to Salary Conversions

$15/hour = $31,200/year (40 hours/week)
$20/hour = $41,600/year (40 hours/week)
$25/hour = $52,000/year (40 hours/week)
$30/hour = $62,400/year (40 hours/week)
$35/hour = $72,800/year (40 hours/week)
$40/hour = $83,200/year (40 hours/week)

Factors to Consider

Unpaid Time Off: Hourly workers typically don't get paid vacation or sick days
Benefits: Compare health insurance, retirement, and other benefits between hourly and salaried positions
Overtime Eligibility: Hourly workers are typically eligible for overtime pay
Income Stability: Salaried positions offer more predictable income
Seasonal Variations: Some hourly positions have varying hours throughout the year

Important Notes

This calculator shows gross income before taxes and deductions. Your actual take-home pay will be lower after federal tax, provincial tax, CPP, and EI deductions.

Overtime calculations assume time-and-a-half (1.5x). Some employers offer double-time for certain hours or holidays.

If you have unpaid vacation time or seasonal variations in hours, your actual annual income may be lower than calculated.

Calculator last updated: December 2024.

Hourly Wage Information

Annual Salary

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