Turning any pay period into a yearly figure
Multiply the amount you get by how many times you get it in a year. An hourly rate goes through hours worked first, everything else is a flat multiplier.
Full time at 40 hours a week gives the familiar 2,080-hour year (40 × 52), so $25 an hour is $52,000. For other schedules just count the paydays: weekly × 52, biweekly × 26, twice-monthly × 24, monthly × 12.
Common hourly rates as a yearly salary
Full time, 40 hours a week, 52 paid weeks.
| Per hour | Per week | Per month | Per year |
|---|---|---|---|
| $15 | $600 | $2,600 | $31,200 |
| $18 | $720 | $3,120 | $37,440 |
| $20 | $800 | $3,467 | $41,600 |
| $25 | $1,000 | $4,333 | $52,000 |
| $30 | $1,200 | $5,200 | $62,400 |
| $40 | $1,600 | $6,933 | $83,200 |
| $50 | $2,000 | $8,667 | $104,000 |
Halve the yearly figure and knock off three zeros for a rough hourly rate: a $52,000 salary is about $25 an hour, which is the same math in reverse.
Two things the plain number leaves out
- Unpaid time off. The 2,080-hour year assumes all 52 weeks are paid. If you take two unpaid weeks, your real hours are closer to 2,000 and the yearly total drops to match.
- Gross is not take-home. Tax, Social Security and Medicare come out before you see the money. A $60,000 gross salary is usually around $45,000 to $50,000 in your account, and the exact cut depends on your state.
Common questions
Is $20 an hour a year?
At a standard 40 hours a week for all 52 weeks, $20 an hour is $41,600 a year before tax. Drop your hours below 40 or take unpaid weeks off and the number falls with them.
What is the 2,080-hour number?
It is 40 hours a week times 52 weeks, the usual full-time basis for turning an hourly rate into a yearly figure. It assumes every week is paid, so it slightly overstates income for anyone who takes unpaid time off.
Does this give gross or take-home pay?
Gross, meaning before tax. After federal income tax, Social Security, Medicare and any state tax, take-home is usually about 70 to 80 percent of the gross figure, depending on your bracket and state.
