How to figure hourly wage by yearly salary

Written by leonardo r. grabkowski
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It's important to understand your paycheck; more specifically, it's important to understand how you get paid and what a salary means to you. If you're used to being paid hourly, converting your annual salary to an hourly wage can help you understand more about your financial situation. It's also helpful when comparing job offers and pay scales; by converting them to the same format, you can level the playing field.

Skill level:
Moderately Easy

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  1. 1

    Determine your annual salary. For an accurate hourly figure, include any typical performance or seasonal bonuses. For the example, we will use a yearly salary of £33,800.

  2. 2

    Divide the total yearly salary by 52, for the number of weeks in a year. Although you may work slightly less than that, the Bureau of Labor Statistics uses this figure to convert hourly wages to annual salaries and vice versa. For the example, divide £33,800 by 52 to come up with £650.00; your weekly pay.

  3. 3

    Divide the weekly pay by 40. The Bureau of Labor Statistics uses the 40-hour work week as the standard when calculating hourly wages. For the example, we will divide £650.00 (the weekly pay) by 40 to come up with £16.20.

Tips and warnings

  • The Resources section below has a link to a calculator that uses the proper formula to convert your annual salary to an hourly rate of pay.

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