Turn hourly pay into annual earnings
A standard starting assumption is 40 hours per week for 52 weeks, or 2,080 paid hours. On that basis, an hourly rate of $20 is equivalent to $41,600 in projected annual gross wages. At $30 an hour, the projection is $62,400. These are mathematical comparisons rather than guarantees: fewer paid hours, unpaid time off, variable shifts, and overtime can change actual totals.
If an hourly role is scheduled for 35 hours rather than 40, using 2,080 hours would overstate income. At $30 an hour for 35 hours over 52 paid weeks, projected pay is $54,600. The paycheck calculator lets you use your expected weekly hours.
Convert annual salary into a paycheck
A $78,000 annual salary divided into 26 biweekly checks comes to $3,000 gross per paycheck. Paid semimonthly, the same salary becomes $3,250 gross per check across 24 periods. The annual total is identical, but the amount available on each payday differs. That can matter for rent due dates, savings transfers, and recurring expenses.
| Pay schedule | Paychecks / year | Gross check on $78,000 salary |
|---|---|---|
| Weekly | 52 | $1,500.00 |
| Biweekly | 26 | $3,000.00 |
| Twice-monthly | 24 | $3,250.00 |
| Monthly | 12 | $6,500.00 |
Do salaried employees receive overtime?
Being paid a salary does not by itself tell you whether overtime rules apply. Under US wage-and-hour law, overtime eligibility depends on the applicable rules and job classification, among other factors. Some salaried employees are nonexempt and may qualify for overtime. Some hourly employees can be exempt in special circumstances. Confirm your classification and local requirements rather than assuming a salary always means no overtime.
Compare the benefits package, too
An hourly offer with a higher rate may offer fewer paid vacation days or a different employer health insurance contribution. A salaried offer may include a retirement match, bonuses, or other benefits. Employer-paid benefits do not all appear as paycheck income, so a useful comparison considers paid hours, benefit premiums, paid leave, commuting costs, and predictable scheduling alongside gross pay.
What happens to taxes?
Federal income tax depends on taxable earnings and your filing circumstances rather than whether the compensation label says “hourly” or “salary.” If the wages and modeled deductions are the same, the King Calculators annualized tax estimate is the same in either mode. Real checks may differ because of irregular hours, bonuses, supplemental withholding, benefits, and W-4 information.
A practical comparison process
- Convert both offers to annual gross income using expected paid hours.
- Choose the actual pay frequency for each role.
- Subtract known benefit contributions and reasonable state withholding figures.
- Compare annual take-home first, then per-check cash flow.
- Review paid leave, overtime eligibility, and insurance costs outside the calculator.
The US paycheck calculator can quickly show the effect of a new hourly rate or salary. For how deductions affect the final number, see our take-home pay guide.
Sources and further reading: IRS 2026 inflation adjustments, IRS Publication 15-T, and Social Security Administration 2026 fact sheet.