How much do you make an hour? If you receive a yearly salary, you may be wondering how much you get paid for each increment of time you work. How does your annual pay pan out on a per-hour basis? Fill out the calculator below, and it will estimate how much money you earn hourly.
Different jobs under different professions are paid or compensated for their work in different ways. Many employees in various professions are paid a simple hourly rate, that is, these wage earners make a certain amount of money for each hour that they work.
Meanwhile, other jobs are paid by an annual salary. An annual salary is a fixed amount of money that is dispersed to the employees on a regular schedule throughout the year, and is typically not precisely fixed to the number of hours that this employee works (though employers still often have expectations for a certain number of hours worked by salaried employees).
If you work a job where you make a yearly salary, you may still be interested in how much you make equates to an hourly waged job. You may be considering taking another job that pays by the hour, you may want to compare to another job that you previously worked, or you may want to estimate how many hours it takes doing your job to buy sometimes or pay for a an expenditure like rent, mortgage, loans, or bills.
How much do you make a year? You may be wondering this if you work for an hourly wage. How do your biweekly paychecks compare to an annual salary? Fill out the calculator below, and it will estimate how much money you earn yearly.
The amount of money that you make each year is commonly known as an annual salary. Workers under many professions are hired under a fixed salary amount, so they know how much money they make per year, sometimes regardless of the amount of hours that they work. Many other professions are not assigned a yearly salary, but are instead paid a fixed amount for each hour that they work. These jobs are hourly wage earners. The calculator above will help you if you work for an hourly pay rate, but would like to compare what you earn to an annual salary.
It should also be taken into account when estimating how much you make a year from your hourly wage, that the United States, as well as certain other jurisdictions, requires that employers pay a special higher rate, called overtime, for hours worked beyond what is considered a typical work week. The Fair Labor Standards Act of the US Department of Labor mandates that employees be paid an overtime rate of at least ‘time and a half’ or 1.5 times their regular wage, for every hour worked beyond forty hours in one week. The above calculator uses a simpler method that does not factor in additional overtime pay for hours worked past a full work week.
How many weeks are there in a year? For most purposes, all you need to know is that there are 52 full weeks in a year.
To be more precise however, there are actually 52.18 weeks in a year. This is because a year, one revolution of the Earth around the Sun, consists of 365.242 days. There are seven days in a week, and 365.242 divided by 7 equals 52.18.
A leap year occurs once every four years, and contains an extra calendar day. Thus, there are 52.29 weeks in a leap year.
Wage and Hour Laws are a class of labor laws designed to ensure certain rights for workers. These laws intend to prevent employees from being overworked and underpaid.
In 1938, The Fair Labor Standards Act laid much of the groundwork for these employee-protecting laws in the United states. This bill created the Wage and Hour Division within the United States Department of Labor, and established a national minimum wage, extra pay (time-and-a-half) for overtime in many jobs, and restricted the use of child labor.
These federal laws have evolved over time, and most states have established additional Wage and Hour labor laws in addition. These laws are administered, for instance, by the New York Department of Labor and the California Department of Industrial Relations.
Minimum Wage Laws promote a minimum standard of living.
Minimum wages laws require that employers pay their workers at least a certain amount, ideally providing a baseline standard of living. The first US federal minimum wage, in 1938, was 25 cents per hour. The current national minimum wage for non-exempt employees, enacted in 2009, is $7.25 per hour.
Forty-five of the fifty states have their own minimum wage laws in addition to the federal wage law. Of these, nineteen states (and Washington D.C.) require a minimum wage above the federal minimum of $7.25. These are Alaska, Washington, Oregon, California, Nevada, Montana, Arizona, Colorado, New Mexico, Illinois, Michigan, Ohio, Florida, Maine, Vermont, Massachusetts, Rhode Island, and Connecticut.
Four states have laws enacting minimum wages lower than the federal minimum: Wyoming, Minnesota, Arkansas, and South Carolina, as well as Puerto Rico. Five states have no minimum wage law: Tennessee, Louisiana, Mississippi, Alabama, and Georgia. The rest of the states have minimum wages laws set at the federal minimum: Hawaii, Idaho, Utah, North Dakota, South Dakota Nebraska, Kansas, Oklahoma, Texas, Iowa, Missouri, Wisconsin, Indiana, Kentucky, North Carolina, West Virginia, Virginia, Maryland, Delaware, Pennsylvania, New Jersey, New York, and New Hampshire, as well as the Virgin Islands and Guam.
Overtime Laws discourage employers from exhausting their employees.
The Fair Labor Standards Act also requires that most workers are eligible for overtime pay. By this standard, employees who work more than 40 hours in a week are paid at one-and-a-half times their typical hourly rate for additional time after 40 hours. Overtime pay standards attempt to discourage employers from over-working their employees, and to fairly compensate laborers who do work long hours.
Whether or not the boss or manage requires the employee to be on the job, all hours in which work is performed for the employer are counted towards overtime. This includes work performed at other locations, as well as work performed in correcting mistakes. Additionally, all hours when a worker is required to be present, even if they have no work to do, count towards overtime.
Child Labor Laws protect young workers.
Another set of laws provides extra protections to minors below the age of 18 who enter the workforce, although these laws do not apply in certain cases, such as younger children who work for their parents and children who work as actors or newspaper-deliverers. Most states have additional child labor laws.
Employee Records keep employers more honest.
The federal act also compels employers to keep detailed records of their workers hours and payments. This requirement attempt promote compliance with all labor standards.
Not all workers are protected equally by Wage and Hour Laws.
Many types of employees are, however, excluded from the protections of the Fair Labor Standards Act, although some of the exempt workers may receive addition protections from state laws.
For example, workers who earn lots of sales commissions may be exempt from overtime pay. Some computer workers, as well as some drivers and mechanics may be not allowed overtime pay rates either. Workers on small farms, and seasonal and recreational workers, are not required either overtime pay or the federal minimum wage. These are just a few of the many exemptions listed by the Federal Labor Standards Act.
There are many nuances to Wage and Hour Laws.
This article attempts to provide an overview of some federal and state Wage and Hour Laws, but does not attempt to be comprehensive or detailed. Please don’t interpret any of this information as legal advice. For the most accurate and applicable information on labor laws, you should consult an appropriate legal reference or talk with a Wage and Hour lawyer.
The number of paychecks you will receive in a year is dependent on two factors. The first factor is is your employer’s pay period length. This is the duration of time between when paychecks are issued. The second factor is the number of pay periods that you work. Employees will typically not be issued paychecks for periods in which they do not work any hours.
Here are the most common pay period durations, and the number of paychecks per year under each of these systems:
Bi-weekly: A bi-weekly paycheck is issued every other week. There are 26 bi-weekly pay periods in a typical year. However, due to a phenomenon sometimes called “payroll creep“, once every eleven years there will be a 27th bi-weekly payroll. This is because 26 periods only account for 364 days out of the year (26 * 14 days), thus, along with the extra days added due to leap years, the periods will eventually align with the calendar to add a 27th paycheck.
Semi-monthly (or Bi-monthly): Semi-monthly paychecks are issued twice a month, often on the 1st and the 15th of the month. Thus there are 24 semi-monthly pay periods in a year. Semi-monthly periods are also often called bi-monthly periods, a more confusing term because it could also mean “every other month”.
Weekly: Workers in some industries are paid weekly. A weekly pay period usually accounts for 52 paychecks a year. Once every 5 or 6 years there will be 53 pay periods per year.
Monthly: Less common, some employees are paid on monthly pay cycles. A monthly pay period would amount to 12 paychecks a year.
Thus, to know the number of paychecks you will receive in a given year, first determine the length of your pay period, and then subtract the number of periods that you will not be receiving a check (perhaps zero) from the numbers of periods listed above. This is true whether you are paid by the hour or paid a yearly salary.
If you get paid weekly or biweekly, whether a regular salary or by the hour, you may be wondering how many salary weeks there are in a year. This all depends on how many weeks of vacation, or other non-working, unpaid time you take off. It also depends on whether or not your employer offers you paid vacation time.
One year on Earth is divided into 52 weeks. (Really, the exact figure is 52.177457 weeks per year if you are measuring the entire time that the planet takes to revolve around the sun.) If you work every week, or take off no more time than your allotted paid vacation time allows, then you have 52 salary weeks in a year. For biweekly payrolls (payments every other week), this means there are 26 pay periods per year.
Most people don’t work every week, however, and may take some time off for vacation, due to sickness, or to take care of family needs. If your employer offers you paid vacation time, you will be paid for this non-working time as if you were regularly at work, as allowed by your employer’s vacation rules.
If you are not offered paid vacation time, or have used it all, additional time off will be deducted from your salary. It is very typical in the United States for employees to take off two weeks from their job every year, in which case, without any paid vacation, they are paid for 50 salary weeks in a year. Accordingly for workers who take off four weeks out of the year away from their jobs (as is common in many European countries), without any paid vacation, there are 48 salary weeks in a year.
There is one more complication because the 365 days of the year are not cleanly divisible by 7 days per week. Because of this, there will be 53 pay weeks per year, once every 5 or 6 years. For biweekly payrolls, there with be a 27 pay periods per year, once every 11 years.
If you are looking to estimate how much money you make per year based on your hourly pay rate and your working number of salary weeks, try our simple salary calculator.
Many people work for an hourly wage, are are curious what the equivalent of their pay rate would be if they were working for an annual salary. Well, with some simple calculations, you can convert your hourly paycheck into a yearly paycheck.
We also have a “how much do I make a year?” calculator on this website that will automatically calculate this figure for you upon plugging in your amounts, but you can follow these directions to calculate it yourself.
To calculate what you make in a year, you just need to determine three numbers. For an accurate estimation of your yearly pay, these values will need to be as exact as possible. These three values are: your hourly rate, the average number of hours you work per week, and the number of weeks you work per year. Simply multiply these three figures together to get your yearly pay. Because there are 52 weeks in a year, we can express this formula as:
(52 - [number of weeks of vacation]) * [hourly pay rate] * [average hours per week] = yearly pay
For instance, someone who works about 40 hours a week at $12/hr, and works all but three weeks of the year would calculate:
(52 - 3) * 12 * 40 = $23,520 /year
It is important the the “average number of hours you work per week” actually reflect the average. For instance, if half your weeks you work 40 hours, and half you work 20 hours, you work and average of 30 hours per week.