Enter the total amount earned ($) and the total hours worked (hrs) into the Hourly Rate Calculator. The calculator will evaluate the Hourly Rate.
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Hourly Rate Formula
The calculator uses three formulas, one for each mode.
Pay ÷ Hours mode:
Hourly Rate = Total Pay / (Work Hours - Unpaid Break)
Salary Converter mode:
Hourly Rate = Annual Salary / (Hours per Week * 52)
Hourly Paycheck mode:
Gross Pay = (Regular Hours * Rate) + (Overtime Hours * Rate * Multiplier)
- Total Pay = money received for the period
- Work Hours = clocked time before breaks are removed
- Unpaid Break = time on the clock you are not paid for
- Annual Salary = yearly pay, converted from any input period
- Hours per Week = your standard scheduled hours
- Regular Hours = paid hours up to the overtime threshold (usually 40)
- Overtime Hours = paid hours above the threshold
- Multiplier = overtime rate, typically 1.5
The Pay ÷ Hours tab works backwards from a known paycheck to find your real rate. The Salary Converter tab translates any pay frequency to hourly, and also shows an adjusted figure that excludes paid holidays and vacation so you see what each worked hour is actually worth. The Hourly Paycheck tab forecasts gross pay from a rate, hours, and overtime rules.
Reference Tables
Use these to sanity check your inputs and results.
| Annual Salary | Hourly (40 hr/wk) | Weekly | Monthly |
|---|---|---|---|
| $30,000 | $14.42 | $576.92 | $2,500 |
| $45,000 | $21.63 | $865.38 | $3,750 |
| $60,000 | $28.85 | $1,153.85 | $5,000 |
| $75,000 | $36.06 | $1,442.31 | $6,250 |
| $100,000 | $48.08 | $1,923.08 | $8,333 |
| $150,000 | $72.12 | $2,884.62 | $12,500 |
| Pay Frequency | Periods per Year | Notes |
|---|---|---|
| Weekly | 52 | Common for hourly trades |
| Bi-weekly | 26 | Every other Friday |
| Semi-monthly | 24 | 1st and 15th |
| Monthly | 12 | Common for salaried staff |
Examples and FAQ
Example 1: Finding your real rate from a paycheck. You earned $640 over a week and clocked 45 hours with a 30-minute unpaid lunch each of the 5 days. Paid hours = 45 - 2.5 = 42.5. Hourly rate = 640 / 42.5 = $15.06 per hour.
Example 2: Salary to hourly with time off. A $65,000 salary at 40 hours per week works out to 65,000 / 2,080 = $31.25 per hour. With 10 paid holidays and 15 vacation days, you actually work 235 days x 8 hours = 1,880 hours. Adjusted hourly = 65,000 / 1,880 = $34.57 per worked hour.
Does the result include taxes? No. Every figure is gross pay, before federal, state, and payroll deductions.
How is overtime calculated? Hours above the threshold you set (40 by default) are paid at the rate times your multiplier. Set the multiplier to 1.5 for time-and-a-half or 2 for double time.
Should I subtract unpaid breaks? Yes, if you want the rate per hour you are actually paid for. A paid 15-minute break stays in the work hours field. An unpaid 30-minute lunch goes in the break field.
Why does the salary tab show two hourly numbers? The standard column assumes every weekday is worked. The adjusted column divides your salary by the hours you actually work after subtracting paid holidays and vacation, which is closer to what each worked hour earns you.
