Hourly to salary calculator
Convert an hourly rate into what it means over a week, a month, and a year — plus what it looks like once self-employment tax comes out.
Estimate only. Figures update as you type. Not tax advice — see the note at the bottom of this page.
The 2,080 shortcut and where it breaks
Full-time work is conventionally treated as 40 hours across 52 weeks, or 2,080 hours a year, which is why multiplying an hourly rate by 2,080 gives a rough salary equivalent. The shortcut assumes every week is paid, which holds for salaried employees and fails for anyone paid only for hours worked.
Why contractors need a different comparison
If you're comparing a contract rate to a salary, gross annual pay isn't the comparison you want. A contractor pays both halves of payroll tax and receives no paid leave, so the same headline number buys a different life. The 1099 vs W-2 calculator handles that comparison properly.
Overtime and the hours that don't get counted
Hourly workers who regularly work beyond their scheduled hours are earning a lower effective rate than their stated one. If the real week is 48 hours rather than 40, entering the true figure gives a truer annual picture, even if the paycheck disagrees.
Common questions
How many work hours are in a year?
2,080 for a standard 40-hour week across 52 weeks. Subtracting two weeks of unpaid leave gives 2,000, and many hourly workers land somewhere below that.
Should I use 52 weeks or fewer?
Use 52 if you're paid during time off, as salaried employees typically are. Use fewer if unpaid weeks mean no income, as is usually the case for contractors.
Is this gross or take-home?
Gross, before income tax. The self-employment tax line is shown separately for 1099 workers, but income tax withholding isn't modelled here.