💵 Salary ↔ Hourly Calculator

Understanding Salary vs. Hourly Pay

Converting between annual salary and hourly rate helps you compare job offers, negotiate compensation, and understand your true earning potential. Whether you're a freelancer, contractor, or considering a career change, knowing your hourly worth is essential.

Standard Work Calculations

The standard full-time work schedule in the United States is:

• 40 hours per week
• 52 weeks per year
• 2,080 total hours annually (40 × 52)

However, many calculations use 50 weeks to account for unpaid vacation time (2 weeks), resulting in 2,000 hours per year.

Salary vs. Hourly: Which is Better?

Salaried positions typically offer:

• Predictable income
• Benefits (health insurance, retirement plans)
• Paid time off
• Professional development opportunities

Hourly positions typically offer:

• Overtime pay eligibility
• Flexible scheduling
• Clear compensation for extra work
• Part-time options

Freelance and Contract Rates

When setting freelance rates, remember to account for:

• Self-employment taxes (15.3% in the US)
• Health insurance costs
• Retirement contributions
• Unpaid time off and business expenses

Many freelancers charge 1.5-2x their target salary rate to cover these additional costs and non-billable time.