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

What's a realistic UK paid-leave figure?

Accepted Answer

UK full-time employees are legally entitled to 5.6 weeks of paid holiday including bank holidays (28 days total for a 5-day week). Set Working weeks per year to about 46.4 to model statutory minimum. Many employers offer 25–30 days plus bank holidays, which shifts the figure down further — 44-45 is typical for generous private-sector leave.

Question 4

Does the figure include tax, National Insurance and pension?

Accepted Answer

No. This tool converts between pay periods on a gross basis. For a take-home figure you'd need to deduct income tax (20%/40%/45% bands), National Insurance (typically 8% on earnings above the primary threshold) and any workplace pension contribution. Dedicated PAYE calculators handle the bracket maths; our Freelance Rate tool lets you enter a simple blended rate if you want a rough after-tax figure.

Question 5

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 6

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 7

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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