Salary to Hourly
Turn an annual salary into an hourly rate the right way — with your real weekly hours and paid time off included. Compare job offers, freelance quotes and overtime decisions on equal footing.
How it works
Enter your gross annual salary, your usual hours per week and your paid days off per year. The tool shows two rates: the nominal rate (salary ÷ 52 ÷ hours) and the worked rate, which divides by the hours you actually work.
Formula and source
Nominal = salary ÷ 52 ÷ hours-per-week. Worked = salary ÷ (((260 ? PTO days) ÷ 5) × hours-per-week), using 260 weekdays a year. Last verified 2026-10-09.
Worked examples
- $60,000 salary, 40 h/week, 15 PTO days ? $28.85/hour nominal, $30.61/hour actually worked
- $100,000 salary, 37.5 h/week, 20 PTO days ? $51.28/hour nominal, $55.56/hour actually worked
Common mistakes
- Using 2,080 hours for everyone — part-time schedules and unpaid leave change the divisor.
- Ignoring PTO: generous leave can make a lower salary pay more per hour worked.
- Comparing gross salary rates to freelance rates without adding taxes, benefits and idle time.
Tips
- Add bonuses to the salary figure for a truer rate.
- Contractors: divide further by your utilization (billable ÷ total hours).
FAQ
How do you convert salary to hourly?
Divide annual salary by 52 weeks and then by weekly hours u2014 $60,000 at 40 h/week is about $28.85/hour.
What is the 2080 rule?
40 hours u00d7 52 weeks = 2,080 working hours a year; it ignores holidays and leave.
Should PTO count in my hourly rate?
For comparing offers, yes u2014 the worked rate here removes paid days off from the divisor.
Does this include taxes?
No. It converts gross pay; your take-home rate is lower after tax.
Is the salary converter free?
Yes, completely free with no signup.
Is my salary data stored?
No. All calculations happen locally in your browser.