How it works
Hourly rate = annual salary ÷ paid weeks ÷ weekly hours.
A worked example
A £35,000 salary over 52 paid weeks at 37.5 hours a week is about £17.95 an hour.
What to keep in mind
Gross-pay comparison before tax, pension and other deductions. Enter paid weeks rather than weeks physically worked; a salaried employee with paid holiday will commonly use 52.
A common question
Should I use 52 weeks if I receive paid holiday?
Usually yes. The annual salary normally covers the whole year, including paid leave. Use fewer weeks only when the annual amount covers fewer paid weeks.
For general information and planning, not personalised financial or tax advice. Verify important decisions with a qualified adviser.