Hourly to Salary Calculator

At $20 per hour working full-time (40 hours/week for 52 weeks), you earn $41,600 per year before taxes. Working 50 weeks (2 weeks unpaid) gives $40,000/year. After federal and state taxes plus FICA, expect roughly $31,000–$34,000 in take-home pay depending on your state and filing status.

In the United States, full-time employment is generally considered 40 hours per week, though some employers define it as 32–37.5 hours. The Fair Labor Standards Act (FLSA) does not define full-time; it is determined by the employer. For overtime purposes, the threshold is 40 hours per week for non-exempt workers.

If you receive paid time off (PTO), use 52 weeks — you still earn your salary during vacation. If you take unpaid time off, subtract those weeks. Most salaried employees earn the same regardless of vacation taken, while hourly workers only earn for hours actually worked.

Hourly workers are paid for each hour worked and typically earn overtime (1.5×) for hours over 40 per week. Salaried workers receive a fixed amount regardless of exact hours worked and are often exempt from overtime. Hourly roles offer more flexibility but less income predictability; salaried roles offer stability but may involve more uncompensated extra hours.

Contractors pay both the employer and employee halves of FICA taxes (15.3% total), typically pay for their own health insurance ($500–$800+/month), fund their own retirement without employer matching, and receive no paid time off. These costs add up to $15,000–$25,000/year for many workers, which is why freelance rates of 1.5–2× the equivalent employee rate are needed just to break even.

No — this calculator shows gross (pre-tax) earnings only. Your actual take-home pay will be lower. Use the Take-Home Pay Calculator to estimate your net pay after federal income tax, state tax, Social Security (6.2%), and Medicare (1.45%) deductions.