Convert between annual salary, monthly, weekly, and hourly pay. See estimated take-home after federal taxes.
Tax estimate uses a flat rate for simplicity. Actual taxes depend on filing status, deductions, state taxes, and FICA (Social Security + Medicare at 7.65%).
The basic formula is: Hourly Rate = Annual Salary ÷ (Hours per Week × Weeks per Year). For a standard full-time schedule of 40 hours/week and 52 weeks/year (2,080 hours), a $55,000 salary equals $26.44/hour.
If you take unpaid time off, your effective hourly rate is higher. A worker earning $55,000 who takes 2 weeks unpaid vacation works 2,000 hours, making their effective hourly rate $27.50 — nearly a dollar more per hour than the simple calculation.
Neither is inherently better — it depends on your situation. Salaried positions typically offer benefits (health insurance, retirement matching, paid time off) and predictable income. Hourly positions offer overtime pay (1.5× for hours over 40/week under FLSA) and clear work-life boundaries.
When comparing job offers, look at total compensation: salary/hourly rate + benefits value + overtime potential + paid time off. A $55,000 salary with full benefits can be worth more than a $30/hour contract position without benefits.
A standard full-time year is 2,080 hours (40 hours × 52 weeks). After typical PTO (10 holidays + 10 vacation days), actual working hours are about 1,920. Some industries use 1,950 or 2,000 as their standard.
The median hourly wage in the US was about $23 as of 2024. A "good" rate depends on your location, industry, and experience. In high cost-of-living areas like San Francisco or NYC, $40+/hour is common for skilled work. In lower-cost areas, $20+/hour provides comfortable living.
This calculator uses straight-time hours. For hourly workers, overtime (over 40 hours/week) is typically paid at 1.5× your regular rate under federal law. Salaried employees exempt from FLSA overtime rules don't receive overtime pay regardless of hours worked.
Every figure this calculator uses comes from a published guideline or peer-reviewed study. Each formula is named and linked to the source that defines it, so you can check where the number comes from.
Last reviewed by Ellis Hartley. Population-average formulas cannot account for individual medical or financial circumstances — see our editorial policy and limitations.