Wage Converter: Salary / Hourly / Weekly / Monthly / Yearly

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Wage Converter: Detailed Usage Guide

There are several times in life when an employee's wage is needed to convert from salary to hourly or vice versa. Whether it be a new job, job promotion, a new position, or additional responsibilities. This conversion can be done manually while dealing with one or two employees. However, a larger number can make confusion or increase the chance of human error that would eventually cause a financial loss. This is where our salary to hourly wage converter steps in. This tool can convert the wage instantly in multiple pay periods like annual wage or hourly, daily, weekly, bi-weekly, and monthly.

So, if you are wondering about how to use our wage converter, then we would suggest you to continue reading as the following ultimate guide would answer almost every question related to wage conversion from salary to hourly or vice versa.


Advantages of using our Hourly to Salary Wage converter:

Our state-of-the-art wage converter can be used for numerous purposes, both by the employers and the employees. Here are some of the common advantages and uses:

  • Our converter can help hourly employees to calculate their annual income.
  • This tool can help the employees to compare several job offers, having different pay periods.
  • This calculator can help the employers to estimate the promotion cost of an employee, especially the one being promoted from hourly wage to a higher salary based position.
  • Our calculator can help the employers to determine whether their paid salaries comply with minimum wage laws provided by federal and state authorities, to prevent any penalties.
  • Unlike many other converters and calculators available online, our wage converter can convert a single input into eight different wage types instantly and accurately.
  • Our calculator can help the employee to decide whether the salary based job offer is better or hourly based.

How to Use our Wage Converter?

Our Salary to Hourly Wage converter is user-friendly and convenient that it requires just a single input to get your results. But before jumping on to its usability, you must know about some terms, that you may encounter through-out this guide:

Types of Wages

  1. Hourly Rate: In this type of wage, the employer pays the employee for each hour worked in a specific period. The hourly rate for each hour worked is decided between the employer and the employee. However, an employer must comply with Federal and State Wage Laws, including Minimum Wage and Overtime.
  2. Daily Wage: It is a type of hourly wage, where the employer pays its employees for total hours worked in a day at a decided hourly rate. Usually, most of the states in the US require the employer to pay overtime for each additional hour worked after eight regular hours in a day. Typically overtime rate is time and half of the regular hourly rate.
  3. Weekly wage: it is one of the most common types of Hourly Wage offered by the employer, where an employee is paid for total hours worked in a workweek. Usually, the regular working hours in a workweek are 40 hours, and every additional hour worked after regular hours is considered overtime.
  4. Bi-Weekly: This type defines that the employer pays its employees once every two weeks.
  5. Monthly: Here, the employee is paid once every month, even if the employee is on an hourly basis or salary basis.
  6. Annual: This type is usually for salary-based employees, where their yearly salary is decided; however, their salary is divided and paid in shorter pay frequencies like bi-monthly or monthly.
  7. Per Minute: Although this wage type is not practical or offered by the employers, employees or employers can use this type to analyze or compare different wages.
  8. Per Second: Like Per Minute, this Wage type is not practical, but can be used for comparison or analysis.

Pay Frequencies:

Pay frequency is how often an employee is paid. There are several types of pay frequencies offered by the employers, below are some of the common among them:

  1. Daily Wage: The employee is paid every day.
  2. Weekly Wage: The employee is paid once every week, usually at the start or end of the week.
  3. Bi-Weekly Wage: The employee is paid one every two weeks.
  4. Semi-Monthly: The employee is paid twice a month, usually on the 15th and 1st of every month.
  5. Monthly: The employee is paid once every month.
  6. Quarterly: The employee is paid every three months (or four times a year).
  7. Annually: The employee is paid each year.

Possible Conversions:

Unlike many other calculators available online, that requires a separate calculator for different wage type conversions. Our Hourly Wage Converter can single-handedly handle all conversion through a single input. Here are some of the possible conversion you can perform:

Annual Salary

Monthly Salary/Wage

Bi-Weekly Wage

Weekly Wage

Daily Wage

Hourly Wage

Per Minute Wage

Per second wage

Annual to Monthly

Monthly to Annual

Bi-weekly to Annual

Weekly to Annual

Daily to Annual

Hourly to Annual

Per-minute to Annual

Per second to Annual

Annual to Bi-Weekly

Monthly to Bi-Weekly

Bi-weekly to Monthly

Weekly to Monthly

Daily to Monthly

Hourly to Monthly

Per-minute to Monthly

Per second to Monthly

Annual to Weekly

Monthly to Weekly

Bi-weekly to Weekly

Weekly to Bi-weekly

Daily to Bi-weekly

Hourly to Bi-weekly

Per-minute to Bi-weekly

Per second to Bi-weekly

Annual to Daily

Monthly to Daily

Bi-weekly to Daily

Weekly to Daily

Daily to Weekly

Hourly to Weekly

Per-minute to Weekly

Per second to Weekly

Annual to Hourly

Monthly to Hourly

Bi-weekly to Hourly

Weekly to Hourly

Daily to Hourly

Hourly to Daily

Per-minute to Daily

Per second to Daily

Annual to Per minute

Monthly to per minute

Bi-weekly to per minute

Weekly to per minute

Daily to per-minute

Hourly to per-minute

Per-minute to Hourly

Per second to Hourly

Annual to per-second

Monthly to per-second

Bi-weekly to per-second

Weekly to per-second

Daily to per-second

Hourly to per second

Per-minute to per second

Per second to Per minute


Instructions:

Follow the steps below, to operate our calculator like a Pro:

Step 1:
regular working hours days and weeks

Our calculator is divided into three sections, where section one (as shown in the image above) is for the regular working hours, days, and weeks. We have set the default values according to FLSA Law that is followed across the United States. However, there might be some changes in the state law, for which you are allowed to change these values accordingly. Else keep it unchanged.


Step 2:
wage converter hourly to salary

The second section is for "Types of Wages" (as shown in the image above). It requires you to input a single value in any one format of "Wage Types" among eight available. Once you have input the value, our calculator will instantly calculate and display the results in all other wage types.

Step 3:
print converted wage

The Last Section is to reset, print, or share your work, by:

  1. Clicking on the "Clear" button, the calculator will reset to a default value.
  2. Clicking on the "Print" button, you can print the entire result sheet.
  3. You can also input the recipient's email address and click on the "Email" button to share your results.

Note:

  • This our wage converter can give you a quick and easy solution to compare several jobs based on a pay period and gross income. However, actual Paycheck requires several other factors to be taken into account, including overtime, contributions, taxable wage, and payroll taxes, for which you need a paycheck calculator with all the earlier mentioned factors.
  • For keeping the guide clear, simple, and easy to understand, we have made several assumptions, for creating this guide as well as the calculator. Some of the prominent assumptions are:
  • A workweek is of 40 hours, as required by FLSA and most of the States.
  • A workday is of 8 hours, as required by FLSA and most of the States.
  • All the hours worked are without overtime and leaves.
  • A Year has 52 Weeks.
  • One month is equal to 1/12 of the year.

How to Calculate Annual Salary?

Annual salary is one of the standard wage types that is offered by the employer, however, it is divided and paid in shorter pay periods, usually weekly, bi-weekly-semi-monthly, or monthly. Annual salary can also be used by the employee to compare different job offers. So here is the manual method that you can use to convert different types of wages into Annual Salary.

Hourly Rate to Annual Salary:

Assuming that your Hourly Rate is $18, then your Annual Salary would be:

Weekly salary: $18 per hour x 40 hours per week = $720 per week

Annual salary: $720 per week x 52 weeks in a year = $37440 per year


Daily Wage to Annual Salary:

Assuming that your wage is $100, then your Annual Salary would be:

Weekly salary: $100 daily wage x 5 working days in a week = $500 in a week

Annual salary: $500 in a week x 52 Weeks in a year = $26000 per year


Weekly Wage to Annual Salary:

Assuming that your Weekly Wage is $450, then your Annual Salary would be:

Annual salary: $450 per week x 52 weeks in a Year = $23400 per year


Bi-Weekly Wage to Annual Salary:

Assuming that your Bi-Weekly Wage is $1000, then your Annual Salary would be:

Weekly Wage: $1100 / 2 weeks in bi-week = $550

Annual salary: $550 weekly wage x 52 Weeks in a year = $28600 per year


Semi-Monthly Salary to Annual Salary:

Assuming that your Semi-Monthly Salary is $600, then your Annual Salary would be:

Monthly Salary: $600 semi-monthly wage x 2 = $1200 per month

Annual Salary: $1200 per month x 12 month in a Year = $14400 annually


Monthly Salary to Annual Salary:

Assuming that your Monthly Salary is $1250, then your Annual Salary would be:

Annual salary: $1250 per month x 12 months in a Year = $15000 per year.


Quarterly Salary to Annual Salary:

Assuming that your Quarterly Salary is $3000, then your Annual Salary would be:

Annual salary: $3000 wage for three months x 4 quarters in year = $12000 per year.


How to Calculate Hourly Rate from different Types of Salaries?

Do you want to know how much you are earning on an hourly basis while you are being paid on a weekly, monthly, or annual basis? Then you must follow the steps below:

Calculating Hourly Rate from Annual Salary:

Assuming that you have an annual salary of $26500, and you have worked regularly, with no overtime or leaves, then your hourly rate would be:

According to FLSA, regular working hours for a workday are 8 and for workweek are 40 hours, so:

Weekly Salary: $26500 / 52 Weeks = $509.6

Hourly Rate: $509.6 per week / 40 = $12.7 per Hour


Calculating Hourly Rate from Quarterly Salary:

Assuming that your employer pays you quarterly, with a salary of $10500, then hour hourly rate would be:

First calculate the Annual Salary: $10500 x 4 Quarters in a year = $42,000

Next convert the Annual Salary into Weekly Salary: $42000 / 52 weeks in year = $807.7

Now, your Hourly Rate would be: $807.7 / 40 hours in a workweek = $20 per hour


Calculating Hourly Rate from Monthly Salary:

Assuming that you have a monthly salary of $2560, and you have worked regularly, with no overtime or leaves, then your hourly rate would be:

** For better results, it is suggested to convert your Salary to Annual Salary then back to Hourly Rate**

Annual Salary: 2560 per month x 12 = $30720

Weekly salary: $30720 per year / 52 Weeks in a year = $590 per week

Hourly rate: $590 / 40 work hours in week = 14.7 per hour


Calculating Hourly Rate from Semi-Monthly Salary:

Assuming that you are paid on a semi-monthly pay frequency with a salary of $1540, and you have worked regularly, with no overtime or leaves, then your hourly rate would be:

Annual Salary: $1540 x 24 = $36,960 per Year

Weekly salary: $36960 / 52 weeks in a Year = $710.8 per week

Hourly Rate: $710.8 / 40 = 17.8 per Hour


Calculating Hourly Rate from Bi-Weekly Wage:

Assuming that your bi-weekly salary is $700, and you have worked regularly, with no overtime or leaves, then your hourly rate would be:

Weekly Salary: $700 per two weeks / 2 = $350 per week

Hourly rate: $350 / 40 work hours in a week = $8.75 per hour


Calculating Hourly Rate from Weekly Wage:

If your Weekly Salary is $500, with no leaves or overtime, then your hourly rate would be:

Hourly Rate: $500 / 40 hours in a workweek = $12.5 per hour


Calculating Hourly Rate from Daily Wage:

If your Daily Wage is $50, with no overtime, then your Hourly rate would be:

Hourly rate: $50 / 8 hours in a workday = 6.25 per hour


Calculating different types of Wages from Hourly Rate:

Whether comparing two jobs as an employee or calculating the salary of the promoted hourly based employee as an employer, we somehow are stuck in a situation when we need to calculate different types of salary from the hourly rate. Even this conversion is also beneficial while calculating the minimum gross income from the minimum wage rate provided by the Federal, State, or Local authorities.

Wherefore, here are some examples that would help you to calculate different types of wages from the hourly rate:

Calculating Daily Wage from Hourly Rate:

Assuming that you have an hourly rate of $14, with no overtime, as you have only worked 8 hours in a day, then your daily wage would be:

Daily Wage: $14 per hour x 8 Hours = $112 per day


Calculating Weekly Wage from Hourly Rate:

Assuming that you have an hourly rate of $12, with no overtime or leave, and have worked completely 40 regular hours (as required by FLSA), them your Weekly Wage would be:

Weekly wage: $12 per hour x 40 Hours = $480 per week


Calculating Bi-Weekly Wage from Hourly Rate:

Assuming that your employer pays you with bi-weekly pay frequency, at the hourly rate of $15, and you have 5 hours of overtime and no leaves, then your bi-weekly pay would be:

Start by calculating Weekly Wage: $15 x 40 Hours = $600 per week

Then calculate your Regular Bi-Weekly Wage: $600 x 2 weeks = $1200

Now calculate your overtime (According to FLSA or State law; whichever is beneficial to the employee):

Overtime = $15 x 1.5 x 5 overtime hours = $112.5 overtime wage

Bi-weekly Wage including overtime = 1200 + 112.5 = $1312.5


Calculating Semi-Monthly from Hourly Rate:

Assuming that the Minimum Wage per hour in your state is $12.5, and you are offered a semi-monthly Salary of $2200. Now, if you want to know whether the offered salary is equal or higher than the minimum wage, you need to calculate the Semi-monthly Salary according to State Minimum Wage Rate and compare it with your proposed salary. For which, follow the steps below:

First, calculate weekly wage according to the minimum wage rate (Assuming that you have not worked overtime or have a leave):

Weekly Salary with Minimum Wage Rate: $12.5 x 40 hours = $500

Annual Salary with Minimum Wage Rate: $500 per week x 52 Weeks in a year = $26000

Semi-Monthly Salary with Minimum Wage Rate: $26000 / 24 semi-month in a year = $1083


As offered Salary of $2200 is higher than State Minimum Salary $1080 for bi-weekly pay frequency, so this job offer is according to State Minimum Wage Law (Note: Some other exceptions may apply).


Calculating Monthly Salary from Hourly Rate:

Assuming that you are offered an hourly rate of $15 for a new job, where your current salary based job is $5000 a month, and you need to know whether your new job is good or not. Wherefore, you need to calculate your monthly wage for a new job (having no overtime or leaves) and compare it with current job salary:

First, calculate your weekly wage for a new job: $15 x 40 regular hours = $600

Then calculate the Annual Salary for new job: $600 x 52 = $31,200

Finally, deduce your Monthly Salary for new Job: $31200 / 12 = $2600


Assuming that you don't work any excess hours after (usually eight) regular hours in the workday for your current job, then your monthly gross earnings from a current job are far better than a new job offer.


Calculating Quarterly Salary from Hourly Rate:

For instance, your hourly rate is $16, then your quarterly salary (without overtime or leaves) would be:

Weekly Wage: $16 x 40 hours = $640

Annual Salary: $640 x 52 = $33280

Quarterly Salary: $33280 / 4 = $8320


Calculating Annual Salary from Hour Rate:

As shown in the examples above, to convert Hourly Rate to Salary, it is essential to convert Hourly Wage type into Annual Salary.

For example: if an hourly employee, having an hourly rate of $18, is promoted to a salary based job with an Annual Salary of $45000. Now, an employee wants to know how much appraisal he/she has received (without overtime, leaves, or any other supplementary wages):

Initially calculating Weekly Wage for the previous Job: $18 x 40 hours = $720

Now, calculate Annual Salary for previous job: $720 *52 = $37440

Finally, the difference between both salaries would be an appraisal: $45000 – 37440 = $7560


You can also refer to this table for calculating Annual income from basic hourly rate:

Hourly pay to annual salary
Hourly pay Weekly pay (40 hrs) Monthly pay (avg) Annual salary (50 weeks)
$10 per hour $400 $1,666.67 $20,000
$11 per hour $440 $1,833.33 $22,000
$12 per hour $480 $2,000.00 $24,000
$13 per hour $520 $2,166.67 $26,000
$14 per hour $560 $2,333.33 $28,000
$15 per hour $600 $2,500.00 $30,000
$16 per hour $640 $2,666.67 $32,000
$17 per hour $680 $2,833.33 $34,000
$18 per hour $720 $3,000.00 $36,000
$19 per hour $760 $3,166.67 $38,000
$20 per hour $800 $3,333.33 $40,000
$21 per hour $840 $3,500.00 $42,000
$22 per hour $880 $3,666.67 $44,000
$23 per hour $920 $3,833.33 $46,000
$24 per hour $960 $4,000.00 $48,000
$25 per hour $1,000 $4,166.67 $50,000
$26 per hour $1,040 $4,333.33 $52,000
$27 per hour $1,080 $4,500.00 $54,000
$28 per hour $1,120 $4,666.67 $56,000
$29 per hour $1,160 $4,833.33 $58,000
$30 per hour $1,200 $5,000.00 $60,000

Comparing different Job offers as an employee:

These were some of the common types of wages that an employer provides to their employees. So if you want to compare different jobs, having different pay types, then you must convert them into a common pay period, for a fair comparison.

For Example: If an employee has two job offers:

  1. Job 1: Paid as Hourly Wage Employee, with an hourly rate of $18/hour and pay frequency of one month.
  2. Job 2: Paid as Salary Based Employee, with the Annual Salary of $25,000 and pay frequency of 15 days.

Now to compare both jobs offers, we must convert both wages into a common wage type like a monthly wage.

So for JOB 1, we will convert Hourly Wage in Monthly Salary Wage, assuming that employee has worked for 100 regular hours and 5 Overtime Hours in a month:

Wage for Regular Hours: 100 x 18 = $1800

Wage for Overtime Hours (according to FLSA): 5 x 18 x 1.5 = $135

Total Monthly Salary for Job 1 would be: 1800 + 135 = $1935


Now for Job 2, we will convert Annual Salary into Monthly Salary, Assuming that employee has worked regularly without any leaves:

Monthly Salary: 25000 / 12 = $2083


So according to the results, Job 2 is slightly better than Job 1. These above-stated steps seem simple. However, they may get complicated while dealing with different pay types. Hours worked, and a large number of jobs offers. Therefore, employees are suggested to use our Hourly to Salary Wage converter for accurate results.

Note:

  • Each state and even city or county have their overtime law, and that may differ from FLSA or federal wage law. Therefore, you must follow the law that benefits the most to the employee for overtime calculation.
  • Make sure to consider Wage range of different job offers during the comparison. Wage range is an amount that an employer is willing to pay on a particular position. And how much an employee should expect to earn in that specific position. This wage range helps both the employer and employees. Particularly for employees, it gives them the ability to negotiate and decide their pay scale. Moreover, it also gives them an idea of how much minimum and maximum they can earn in this position, thus giving them the range to compare different jobs.

Salary Vs. Hourly Wage – Which one is better?

You must have read a lot about hourly wages and salary in this article. But are you still confused about which one is better?

Don't Worry! This section will help you decide!

It would be unfair to rank one type of wage over another, as both of them have their perks and cons. Therefore, it depends on your skills, annual pay, working hours, net pay, state policies, employer, etc. to decide whether a salary based job or hourly rate is suitable for you.

Here are a few points that would give a general idea of what you should choose:

Salary Employees:

Pros:
  • Salary based employees are paid a fixed amount for a decided period, regardless of how many hours you have worked. Usually, it is an Annual Salary that is divided into several paychecks that are paid on a weekly, semi-monthly, or monthly basis (as per employer's policies or mutual agreement). This method gives the employee a relief of knowing they will receive the same amount on every payday.
  • In compensation to overtime, usually company provides several other substantial benefits including 401(k) plans, health insurance, free tickets to cultural institutions, and parental leave, which are even more significant than those offered to the hourly employees.
  • If the salaried employee is non-exempted according to eligibility criteria provided by the Fair Labor Standards Act (FLSA), the employee is entitled to receive overtime at the rate of one and half of regular hourly rate, for every excess hour worked after 40 hours in a workweek.
  • Usually, salary based employees are at a higher, responsible, and influential rank than the hourly employees.
  • Job timings and days are usually fixed. Therefore, you can easily plan your day.

Cons:
  • Most of the salary Based employees are exempted by FLSA and State laws from receiving overtime for any extra hour worked after regular hours in a workday or a workweek. Therefore, no matter how long they work, they won't get paid.
  • Usually, salary based jobs are 9 am to 5 pm and five days a week, which may become boring as to follow the same old routine. Eventually, affecting your performance.

Hourly Employees

Pros:
  • Hourly employees are required to be paid at a decided hourly rate for each hour they work in a workweek. Moreover, they get an additional benefit of overtime and double time.
  • Overtime is paid in time and half of the regular hourly rate, for every excess hour worked after 8 hours workday or 40 hours workweek. However, double time is compulsory in only some of the states.
  • The FLSA, State, and Cities have their minimum wage rates, which are required to follow by the employers while paying the hourly employees.
  • Sometimes the hourly employees earn a lot more than salary employees due to overtime.
  • Hourly employees have flexible timing that provides better time management and more freedom.

Cons:
  • Work hours in a workweek are not fixed or equal. Therefore, it is hard for them to deduce the amount they are going to earn in the upcoming period. Hence, making it difficult for them to budget their expenses.
  • Hourly Employees won't get the same or better benefits than salary-based employees like health insurance.
  • The irregular work schedule can make your routine disorganized and frustrating.

Federal Wage Facts and Laws:

Here are some of the important Federal Wage laws (Fair Labor Standard Act – FLSA Laws) that one must know while dealing with Wages. Moreover, they are also suggested to refer to their respective State laws for further assistance.

  • The federal minimum wage (2019) for employees is $7.25.
  • The federal cash minimum wage for Tipped Employees is $2.13.
  • Employers are required to pay overtime to non-exempted employees at the rate of one and half of the regular hourly rate for all excess work after 40 hours during the workweek.
  • There is no limit of hours that an employee can work in a day. However, employers are not required to pay overtime for more than 8 hours a day or work on weekends like Saturday or Sundays or holidays.
  • Employers are required to pay overtime to the Employees earning less than $23,660per year.
  • Some employees are exempted from Federal Minimum Wage and Overtime Law. For further details, you must refer to FLSA.
  • There are some Child labor laws under FLSA, which an employer must consider while hiring an employee.

FAQs

Answer: A salary pay is a fixed amount paid to an employee for a specific work period, regardless of the quality or quantity of work. Moreover, no overtime is paid to them for any excess hours.

Answer: To calculate the hourly rate for $50,000 annual salary, follow the steps below:

  1. Calculate weekly salary: $50000 / 52 = $961.3 per week.
  2. Now deduce the hourly rate: $961.3 / 40 hours = $24 per hour.

Note: The above calculations were made on assumptions that an employee has no overtime or leaves. Moreover, there were 52 workweeks in a year, given that the employee has worked not more or less than 40 hours in a workweek.


Answer: The annual salary for $25 Hourly wage would be:

Weekly salary: $25 per hour x 40 hours in a week = $1000 per week

Annual Salary: $1000 x 52 = $52000 per Year.


Note: The above calculations were made on assumptions that an employee has no overtime or leaves. Moreover, there were 52 workweeks in a year, given that the employee has worked not more or less than 40 hours in a workweek.


Answer: There are several advantages to salaried employees. Some of them are a follow:

  1. Salary based employees receive a fixed amount on each pay period, giving them the relief that they would receive the same pay every time so that can could budget easily.
  2. Salaried Employees are offered much more responsible and influential jobs, as compared to the hourly employees.
  3. Benefits like Health Insurance and 401k plan are also offered to salary-based employees.
  4. They usually have fixed timing and workdays that help them plan their day easily.

Answer: There are a few disadvantages for salary-based employees, including:

  1. Salary based employees don't receive any compensation like overtime, for any extra hour they work.
  2. Salary based work has a lot more responsibilities compared to hourly employees. They may have to work in place of hourly employees when unavailable.
  3. Salary based employees have to meet specific benchmarks or targets, which, if not achieved, they lose a bonus.

Answer: The minimum pay for an overtime-exempted employee (salary based employees) from January 1st, 2020 onwards, is $684 per week (equivalent to $35,568 annual), According to The US Department of Labor.