Per Annum to Hourly Rate Calculator
Convert your annual salary into an accurate hourly wage breakdown.
How to Convert Per Annum to Hourly
Understanding the conversion between a "per annum" (annual) salary and an hourly rate is essential for comparing job offers, calculating overtime, or budgeting for freelance projects. While many corporate roles advertise a flat annual figure, your actual take-home value depends heavily on how many hours you work.
The Mathematics of Salary Conversion
The standard formula used by most Human Resources departments assumes a 40-hour work week over 52 weeks. Here is the step-by-step logic used by our calculator:
- Total Annual Hours: Hours per week × Weeks per year.
- Base Hourly Rate: Total Annual Salary ÷ Total Annual Hours.
- Adjusted Rate: If you take unpaid leave, we subtract those days from the total working year before dividing.
Example Calculation
If you earn $75,000 per annum and work a standard 40-hour week for 52 weeks a year:
- Total hours = 40 × 52 = 2,080 hours.
- Hourly rate = $75,000 / 2,080 = $36.06 per hour.
Why Knowing Your Hourly Rate Matters
Many professionals overlook the impact of "unpaid overtime." If your contract states $80,000 per annum for 40 hours, but you consistently work 50 hours, your effective hourly rate drops significantly. By using this calculator, you can determine if a "higher" salary is actually worth the extra time commitment compared to a lower-paying role with stricter hours.
For freelancers and contractors, this tool helps set a benchmark. If you want to earn a specific annual income, you must account for non-billable hours and holidays to find your required billable hourly rate.