About This Calculator
Convert any salary amount between different payment frequencies (hourly, daily, weekly, bi-weekly, semi-monthly, monthly, quarterly, and yearly) while accounting for your actual working time. Get both unadjusted figures and adjusted calculations that factor in holidays and vacation days, giving you a more accurate picture of your effective earnings.
Understanding Salary vs. Wage
Before using the calculator, it’s helpful to understand some key terms:
- Salary: A fixed regular payment, typically annual, that doesn’t fluctuate with hours worked. Salaried employees are often “exempt” from overtime pay.
- Wage: Payment based on hours worked, often subject to overtime rules. Wage earners are typically “non-exempt” and eligible for overtime pay.
- Exempt vs. Non-Exempt: In the U.S., exempt employees (salary ≥ $35,568/year) aren’t eligible for overtime, while non-exempt employees must receive overtime pay.
How to Use This Calculator
-
Enter Your Base Pay:
- Input your salary/wage amount
- Select the payment frequency (hourly, daily, weekly, etc.)
- The calculator accepts any frequency and converts to all others
-
Customize Your Work Schedule:
- Hours worked per week (default: 40)
- Days worked per week (default: 5)
- Number of holidays per year (default: 11 U.S. federal holidays)
- Vacation days per year (typical range: 10-30 days)
-
Understanding the Results:
- Unadjusted Results: Pure conversion between frequencies
- Adjusted Results: Accounts for holidays and vacation days
- All amounts are shown in both formats for easy comparison
Common Use Cases
- Job Offer Comparison: Compare offers with different payment frequencies
- Contractor Rate Setting: Calculate equivalent hourly rates for salaried positions
- Budgeting: Convert annual salary to monthly for budget planning
- PTO Impact: Understand how time off affects your effective rate
- Overtime Planning: Base calculations for overtime rates (1.5x or 2x)
Pay Frequency Guide
Different payment schedules have distinct characteristics:
| Frequency | Description | Common Uses |
|---|---|---|
| Daily | End-of-day payment | Short-term contractors |
| Weekly | Every Friday typically | Hourly workers, service industry |
| Bi-Weekly | Every two weeks (26 times/year) | Most common in U.S. |
| Semi-Monthly | Twice per month (24 times/year) | Professional roles |
| Monthly | Once per month | International standard |
Calculation Method
The calculator uses these core formulas:
-
Base Calculations:
- Working days per year = Days per week × 52 weeks
- Total annual hours = Hours per week × 52 weeks
- Adjusted working days = Working days - (Holidays + Vacation days)
-
Conversion Process:
- Convert input to hourly rate
- Calculate other frequencies from hourly rate
- Apply holiday/vacation adjustments
Tips for Accurate Results
- Include all paid time off (holidays, vacation, sick days)
- Consider your location’s holidays (U.S. federal: 11 days)
- Remember that take-home pay will be less due to:
- Income tax
- Social Security and Medicare
- State/local taxes
- Benefits deductions
Additional Considerations
Benefits Impact
Consider the total compensation package:
- Health insurance
- Retirement contributions
- Bonuses
- Stock options
- Other perks
Contractor Considerations
Self-employed contractors should note:
- No paid time off typically
- Self-employment tax responsibility
- Need for higher base rate to cover benefits
- Additional business expenses
Technical Notes
- Assumes consistent working hours throughout the year
- Rounds to 2 decimal places for hourly rates
- Rounds to whole numbers for larger amounts
- Based on U.S. standard work year (2,080 hours)
- Does not include overtime calculations