How to Calculate Hourly Wages From Salary

Dollars and cents

When you are looking for a job, a prospective employer might offer you a certain yearly salary. To compare this salary with hourly-wage types of jobs, you would need to figure out how much you would be making per hour. You can determine your earnings per hour by performing a few calculations.

Things You'll Need

• Calculator

Instructions

1. Find out your gross yearly salary. This would be how much you make before your employer takes out money for items such as taxes or insurance.

2. Figure out how many days you will be working during the year. Although the average work week might be five days, you will need to take into consideration holidays and vacation days on which you will not be working.

3. Divide your gross yearly salary by the number of days you will work during the year. For instance, if your salary is $60,000 and you will be working 250 days out of the year, divide 60,000 by 250 to get 240. This means that you will be making an average of $240 per day.

4. Divide the answer from Step 3 by the average number of hours you will work per day. For instance, if you are making $240 a day, and you will work eight hours each day, divide 240 by eight to get 30. Therefore, your hourly wage would be $30.

References

• The Contract Employee's Handbook: Working the System to Your Advantage