One number in, every number out
Job hunting and contract negotiations constantly force you to compare apples with oranges: a $65,000 salary against a $45/hour contract, a £450 day rate against an £80k permanent role, a $5,000 monthly retainer against a $35/hour gig. Doing these conversions in your head is how bad decisions happen.
This converter takes a single pay figure in any unit — hourly, daily, monthly or annual — and shows all four side by side, using your actual working pattern. Change the hours per week or weeks per year and every figure updates. It is the comparison view that the individual rate calculators feed into.
Estimate only. Straight conversion before tax, expenses and unpaid time off beyond the weeks entered above.
How to use it
- Enter your pay figure and select its unit (per hour, per day, per month or per year).
- Set your working pattern: hours per day, days per week, weeks per year. Presets are provided for common patterns (US 40-hour week, UK 37.5-hour week, contractor 220-day year).
- Read the full conversion table: hourly, daily, weekly, monthly and annual equivalents.
- Toggle the “with unpaid overtime” view to see your true hourly rate if you regularly work beyond contracted hours.
What it calculates and how the formula works
All conversions flow through annual hours:
| Step | Formula |
|---|---|
| Annual hours | Hours per day × days per week × weeks per year |
| Hourly → annual | Hourly rate × annual hours |
| Daily → annual | Day rate × days per week × weeks per year |
| Monthly → annual | Monthly pay × 12 |
| Annual → hourly | Annual salary ÷ annual hours |
| Annual → daily | Annual salary ÷ (days per week × weeks per year) |
| Annual → monthly | Annual salary ÷ 12 |
Assumptions:
- Conversions are gross pay only. No tax is computed.
- The default working year is 2,080 hours (40 × 52). Contractor presets use 220 billable days. These are starting points — set your own.
- Unpaid overtime divides salary by actual hours worked, revealing the “true” rate. This is informational, not a legal determination of anything.
Worked example: contract vs permanent
Marcus in Toronto is choosing between a permanent role at CAD 95,000/year (37.5-hour week) and a 12-month contract at CAD 75/hour (40-hour week, no paid holidays, 48 working weeks).
Converter output for the permanent role:
- Hourly: 95,000 ÷ (37.5 × 52) = CAD 48.72/hour
- Monthly: 95,000 ÷ 12 = CAD 7,917/month
Converter output for the contract:
- Annual: 75 × 40 × 48 = CAD 144,000
- Monthly equivalent: 144,000 ÷ 12 = CAD 12,000/month
The contract pays roughly 50% more in gross terms — which is the market compensating for no benefits, no paid leave and no job security. Whether that premium is enough is a personal call, but now it is an informed one. (For the deeper contractor comparison including costs and the benefits adjustment, see the daily rate calculator.)
Important considerations and limitations
- Gross figures only. A CAD 144,000 contract and a CAD 95,000 salary are taxed differently, and benefits (health insurance, pension, paid leave) have real cash value. The converter compares pay structures, not total compensation.
- Contract income is lumpy. Annualising a contract rate assumes the work continues all year. Gaps between contracts, unpaid holidays and sick days all reduce the real figure — adjust the weeks-per-year input honestly.
- Different countries, different norms. Day rates dominate UK/Australian contracting; hourly dominates US contracting; monthly salaries dominate most employment. The converter speaks all four so you can translate.
- Overtime law is separate. The “true rate” view is arithmetic, not legal advice about overtime entitlements, which vary by jurisdiction and contract.
- Browser-local: your pay figures never leave your browser.
Frequently asked questions
$100,000 salary is how much an hour?
At 40 hours a week, 52 weeks: $100,000 ÷ 2,080 = $48.08/hour. At a UK-style 37.5-hour week: $51.28/hour. Enter your own pattern for the exact figure.
How do I convert a £500 day rate to a salary?
£500 × 220 billable days = £110,000 gross contract income. But that is not a £110k salary — subtract costs and adjust for lost benefits (typically 20–30%) for a fair comparison, roughly £77–88k equivalent.
What is the difference between this and the hourly rate calculator?
The hourly rate calculator is the quick two-way tool (salary ↔ hourly). This converter handles all four units at once with a full comparison table and working-pattern presets — better for comparing offers.
How do I compare a monthly retainer to an hourly rate?
Enter the monthly figure, set your expected monthly hours via the working pattern, and read the hourly equivalent. If the retainer has no hour cap, estimate honestly — open-ended retainers are where underpayment hides.
Does the converter account for tax?
No. It converts gross pay between units. Tax treatment differs by country, employment type and income level.
Can I use this for currencies other than dollars?
Yes. The tool is currency-agnostic — enter figures in pounds, euros, dollars or any currency and all outputs stay in that currency.
Is my data uploaded anywhere?
No. Every conversion runs locally in your browser.
Related tools
External references
- US Department of Labor — Wages and the Fair Labor Standards Act
- GOV.UK — Check employment status for tax (CEST)
- IRS — Self-employment tax
This tool provides estimates for guidance only and is not professional financial, tax, or legal advice.