General
Hourly vs Salary Calculator
Compare total compensation between hourly and salaried positions. Includes health insurance, 401k match, PTO value, and true hourly/annual equivalents.
Base Pay
Benefits
Enter hourly rate or annual salary with benefits, then click Calculate
How is this calculated?
Annual Salary = hourly_rate × hours_per_week × weeks_per_year
True Hourly = annual_salary / (hours_per_week × (weeks_per_year - pto_weeks))
Benefits Value:
Health Insurance = monthly_premium × 12
401k Match = annual_salary × match_percentage
PTO Value = (annual_salary / 260) × pto_days
Total Compensation = Annual Salary + Health + 401k Match + PTO Value
True Hourly (with benefits) = Total Comp / actual_hours_workedFAQ
Frequently asked questions about hourly vs salary
How do I convert hourly to annual salary?
Multiply your hourly rate by hours worked per week, then by weeks worked per year. For a standard schedule: hourly × 40 × 52 = annual salary. A $30/hr rate equals $62,400/year before benefits.
What benefits should I include in total compensation?
Include health insurance (employer portion), retirement matching (401k/403b), PTO value, dental/vision, life insurance, HSA contributions, and any stock options or bonuses.
How much is employer health insurance worth?
The average employer contribution to health insurance is $6,000–$16,000/year for family coverage and $4,000–$8,000 for individual. This is often the largest hidden benefit of salaried work.
How do I account for PTO in hourly vs salary?
Salaried workers get paid for PTO days. For hourly workers, PTO days are days without pay. If a salaried worker gets 15 PTO days, their effective hourly rate is higher because they work fewer days for the same annual pay.
Is hourly or salary better?
It depends on your situation. Hourly pays overtime (1.5× after 40hrs/week) and offers flexibility. Salary provides predictable income, benefits, and typically more career advancement. Compare total compensation, not just base pay.
What is a 401k match worth?
A common 4% match on a $60,000 salary adds $2,400/year in free money. Over 30 years at 7% growth, that match alone could grow to over $227,000. Always include retirement matching in comparisons.