Salary to Hourly Calculator

Convert your annual salary to an hourly wage. Calculate your true hourly rate based on actual working hours, including vacation and holidays.

Salary Information

$

Your Hourly Rate

$28.85

per hour (gross)

Annual Salary $60,000.00
Total Work Hours/Year 2,080
Actual Work Hours/Year 1,936
Actual Hourly Rate $30.99
Daily Rate (8 hours) $230.80
Weekly Rate $1,153.85
Bi-weekly Rate $2,307.69
Monthly Rate $5,000.00

Converting Annual Salary to Hourly Wage

Understanding your hourly rate helps compare job offers, negotiate salaries, and evaluate your true earning potential. Whether you're comparing a salaried position to an hourly job or simply want to know your effective hourly wage, this calculator provides accurate conversions based on your actual working hours.

How to Calculate Salary to Hourly Rate

The basic formula is: Hourly Rate = Annual Salary ÷ Annual Work Hours

Standard Calculation

For a standard 40-hour work week over 52 weeks, the calculation is:

Annual Work Hours = 40 hours/week × 52 weeks = 2,080 hours

Example: $60,000 ÷ 2,080 hours = $28.85 per hour

Accounting for Vacation and Holidays

To find your actual hourly rate (based on hours actually worked), subtract paid time off:

Actual Work Hours = (Total Hours) - (Vacation Hours) - (Holiday Hours)

Example: With 10 vacation days (80 hours) and 8 holidays (64 hours):

2,080 - 80 - 64 = 1,936 actual work hours

$60,000 ÷ 1,936 = $30.99 actual hourly rate

Factors Affecting Your Hourly Rate

  • Work Schedule: Full-time (40 hours), part-time, or custom schedules affect annual hours
  • Paid Time Off: Vacation days and holidays reduce actual working hours but not salary
  • Overtime: Salaried exempt employees don't receive overtime, affecting effective hourly value
  • Benefits: Health insurance, retirement contributions, and other benefits add to total compensation
  • Bonuses: Performance bonuses and commissions increase effective hourly rate

Common Salary to Hourly Conversions

  • $40,000/year = $19.23/hour (2,080 hours)
  • $50,000/year = $24.04/hour (2,080 hours)
  • $60,000/year = $28.85/hour (2,080 hours)
  • $70,000/year = $33.65/hour (2,080 hours)
  • $80,000/year = $38.46/hour (2,080 hours)
  • $100,000/year = $48.08/hour (2,080 hours)

Using Your Hourly Rate for Comparison

Knowing your hourly rate helps you:

  • Compare job offers with different pay structures (salary vs. hourly)
  • Evaluate contract or freelance rates against full-time positions
  • Calculate the value of additional hours worked beyond standard schedule
  • Determine if overtime-eligible positions might pay more than salaried roles
  • Assess the true cost of unpaid overtime for exempt employees

Important Notes

This calculator shows your gross hourly rate before taxes and deductions. Your actual take-home hourly rate will be lower after federal tax, provincial tax, CPP, and EI are deducted.

Salaried employees classified as "exempt" typically don't receive overtime pay, which can reduce effective hourly rates if working beyond standard hours.

When comparing jobs, consider total compensation including benefits, work-life balance, growth opportunities, and job security—not just hourly rate.

Calculator last updated: December 2024.