Hourly Wage to Annual Salary & Multi-Period Pay Converter

Payroll Administration: The 2,080-Hour Work Year Standard

In human resources and US federal payroll accounting, a standard full-time employee working 40 hours per week works exactly 2,080 hours per year).

The Quick Mental Math Rule (Multiplying by 2,000)

A popular shortcut for estimating annual salary from an hourly rate is to double the hourly wage and add three zeros 70,000/yr). Because 2,080 is slightly greater than 2,000, adding an extra 4% gives the exact figure.

How to Use This Calculator

Enter your Conversion Direction — choose from Convert Hourly Wage (/hr) to Annual Salary (/yr), Convert Annual Salary (/yr) to Hourly Wage (/hr), Hourly Pay Rate ( / hour) [for Hourly to Salary] (e.g. 35.0), Annual Salary ( / year) [for Salary to Hourly] (e.g. 72800), Regular Hours Worked per Week (e.g. 40.0 (Standard full-time is 40 hrs)), Overtime Hours per Week (1.5× Time-and-a-Half) (e.g. 0.0 (or 5.0)), Paid Vacation & Holidays (Days / Year) (e.g. 15 (Paid PTO days)), and Estimated Tax & Benefit Deductions (%) [for Net Pay] — choose from 0% (Gross Pay Only - No Deductions), 15% (Low state / Entry tax bracket), 22% (Standard US Federal + FICA + State Average). Results update instantly as you type — adjust any value to compare scenarios.

The Formula

Hourly to annual salary payroll conversion formulas: Gross Salary = (Regular Weekly Hours × Hourly Wage × 52) + (Overtime Hours × Hourly Wage × 1.5 × 52) Wage from Salary = (Annual Gross Salary) / (Regular Weekly Hours × 52) Gross Pay = (Annual Salary) / (12)-Weekly Paycheck (26 Periods) = (Annual Salary) / (26)-Monthly Paycheck (24 Periods) = (Annual Salary) / (24) Net Take-Home = Annual Salary × (1 - Deductions \%)

Worked Example

For example, converting a 35.00/hour wage working a standard 40-hour work week (2,080 annual hours) with 22% estimated tax deductions: . Monthly gross pay is . Bi-weekly paycheck (26 pay periods) is . Annual Net Take-Home Pay is 72,800 × (1 - 0.22) = \56,784.00/year .

Understanding Your Result

Unit conversion precision: round to the same number of significant figures as your original measurement. Converting 6 feet to meters gives 1.8288 m — but if your measurement was approximate (±1 inch), expressing more than 2 decimal places is false precision. For international trade and technical specifications, SI units (meters, kilograms, liters) are the standard. US customary units (feet, pounds, gallons) differ from Imperial UK units: 1 US gallon = 3.785 L vs. 1 UK gallon = 4.546 L.