Question 1

How do you convert an annual salary to an hourly rate?

Accepted Answer

Divide the annual salary by (Hours per week × Working weeks per year). The defaults assume a full 52-week year at your locale's full-time hours — so a $104,000 US salary at 40h/week × 52 weeks = $50/hour. Dial either input down to model part-time hours or statutory leave and every period re-derives instantly.

Question 2

Nominal vs productive hourly — which does this show?

Accepted Answer

Both, depending on what you set 'Working weeks per year' to. At 52 weeks (the default), you see the nominal rate — $50/hour for a $104K US salary, matching the industry-standard 2,080-hour year. Drop it to your actual paid-leave-adjusted figure (46.4 for UK statutory, ~50 for US with 2 weeks PTO) and hourly climbs because you're dividing the same salary across fewer productive hours. Weekly and monthly stay on calendar pace either way.

Question 3

Why does Australia default to a 38-hour week?

Accepted Answer

The Fair Work Act sets the National Employment Standard at 38 hours per week for full-time employees, below the 40-hour US norm. Combined with 20 days statutory annual leave plus public holidays (roughly 5.6 weeks off), a realistic Working weeks per year is about 46 — set it there for a productive-hours view.

Question 4

Is superannuation included in the salary?

Accepted Answer

No — Australian salaries are typically quoted exclusive of the mandatory 12% superannuation employer contribution. So a A$100,000 role usually means A$100,000 base + A$12,000 super on top. When comparing offers, check whether the number quoted is package (base + super) or base only.

Question 5

Is this pre-tax or take-home pay?

Accepted Answer

Pre-tax (gross). This tool converts between pay periods — it doesn't deduct income tax, National Insurance, FICA, or pension contributions. If you want a take-home figure with a simple combined tax rate, try our Freelance Rate tool which lets you enter a blended percentage.

Question 6

What if I work part-time or non-standard hours?

Accepted Answer

Use the Hours per week control. The default is the locale's full-time standard (40 for the US and Canada, 37.5 for the UK, 38 for Australia, 37 for the EU). Drop it to 20 and the annual figure halves while the hourly rate stays the same. Push it higher for overtime-heavy roles and the annual scales up proportionally.

Question 7

Should bonuses, overtime or 13th-month pay be included?

Accepted Answer

Include anything contractually guaranteed — a fixed 13th-month payment or a guaranteed bonus belongs in the annual figure. Leave out discretionary bonuses and variable commission, which aren't reliable enough to plan around. When in doubt, compare two scenarios: base-only and base-plus-guaranteed-extras.

Question 8

Is this tool free to use?

Accepted Answer

Yes — completely free, no sign-up, no account. TimeIsMoney.tools is supported by minimal, non-intrusive advertising. Nothing you enter leaves your browser.

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