How to Convert Salary Between Different Pay Periods
Our salary converter helps you translate compensation between annual, monthly, bi-weekly, weekly, daily, and hourly rates. Essential for comparing job offers, budgeting, or understanding your true pay rate.
Understanding Salary Conversions
Salary can be expressed in different time periods. To compare job offers accurately or budget effectively, you need to convert between these periods. Key numbers: 52 weeks, 26 bi-weekly periods, 12 months, and approximately 2,080 work hours per year.
Salary Conversion Formulas
Annual = Hourly × 2,080 (40 hrs × 52 weeks). Monthly = Annual ÷ 12. Bi-weekly = Annual ÷ 26. Weekly = Annual ÷ 52. Daily = Annual ÷ 260 (5 days × 52 weeks).
Example:
$25/hour = $25 × 2,080 = $52,000/year = $4,333/month = $2,000/bi-weekly = $1,000/week.
Common Use Cases
Real-world applications for this calculator
Job Offer Comparison
Convert different job offers to the same basis (usually annual or hourly) for accurate comparison.
Budgeting
Convert your salary to match your budgeting period (weekly or monthly expenses).
Freelance Pricing
Determine your hourly rate based on your desired annual income.
Tips
- Use 2,080 hours for annual calculations (40 hours × 52 weeks).
- Bi-weekly = 26 paychecks, semi-monthly = 24 paychecks.
- Factor in benefits-they can add 20-40% to total compensation.
- Consider overtime rules when comparing hourly vs. salaried positions.
Frequently Asked Questions
How do I convert hourly wage to annual salary?
Multiply your hourly rate by 2,080 (40 hours × 52 weeks) for a full-time equivalent. $20/hour × 2,080 = $41,600/year. Adjust for different hours per week as needed.
How do I convert annual salary to hourly rate?
Divide the annual salary by 2,080. $60,000/year ÷ 2,080 = $28.85/hour. This assumes a 40-hour work week.
What is the difference between bi-weekly and semi-monthly pay?
Bi-weekly means every two weeks (26 paychecks/year). Semi-monthly means twice a month on set dates (24 paychecks/year). Bi-weekly paychecks are slightly smaller but you get two extra per year.
How do I account for unpaid time off?
For hourly workers, multiply your hourly rate by actual hours worked. For salaried workers with unpaid time off, reduce the annual salary proportionally before converting.
Should I include benefits when comparing salaries?
Yes, total compensation includes benefits. Health insurance, retirement contributions, and other benefits can add 20-40% to base salary. Compare total compensation, not just base pay.