Enter either an hourly rate or an annual salary — the calculator converts both ways instantly. Adjust hours per week and weeks per year for part-time or variable schedules.
Calculate your net pay after federal income tax, Social Security (6.2% on first $184,500), Medicare (1.45%), and estimated state tax. Optionally include 401(k) pre-tax contributions.
See the exact dollar impact of a pay raise across every pay period. Enter a percentage or fixed dollar raise. Compare before vs after across weekly, biweekly, monthly, and annual pay.
Compare two job offers side-by-side — one may be hourly, one salaried. Both are converted to a common annual basis so you can compare fairly. Include overtime potential for hourly roles.
Enter any pay amount in any period — hourly, daily, weekly, biweekly, semimonthly, monthly, or annual — and see all equivalents instantly.
| Pay Period | Gross Amount | Paychecks/Year |
|---|
How to Calculate Salary — Formulas, Tax Rates & Common Mistakes
Whether you're evaluating a job offer, negotiating a raise, or trying to understand your paycheck, these are the core formulas and 2026 figures you need.
Hourly to Annual Salary Formula
The standard formula: Annual = Hourly × Hours/Week × Weeks/Year
Full-time default: Hourly × 40 × 52 = Hourly × 2,080 hours. Example: $25/hr × 2,080 = $52,000/year.
Quick mental shortcut: divide the salary by 2,000 to approximate the hourly rate. $75,000 ÷ 2,000 = $37.50/hr.
How Federal Income Tax is Calculated (2026)
The US uses a progressive bracket system — only the income in each bracket is taxed at that rate. The 2026 standard deduction is $16,100 (single) and $32,200 (married filing jointly) under the One Big Beautiful Bill Act. Your taxable income = gross salary − standard deduction (or itemized deductions, if higher) − pre-tax 401(k) contributions.
| 2026 Tax Bracket (Single) | Rate |
|---|---|
| $0 – $11,925 | 10% |
| $11,926 – $48,475 | 12% |
| $48,476 – $103,350 | 22% |
| $103,351 – $197,300 | 24% |
| $197,301 – $250,525 | 32% |
| $250,526 – $626,350 | 35% |
| Over $626,350 | 37% |
FICA Taxes (Social Security & Medicare) 2026
Social Security: 6.2% on wages up to $184,500 (2026 wage base, up from $176,100 in 2025). Once your cumulative wages cross $184,500, Social Security withholding stops for the rest of the calendar year.
Medicare: 1.45% on all wages — no cap. An additional 0.9% surtax applies on wages above $200,000 (single) or $250,000 (married filing jointly), paid by the employee only.
Combined FICA rate for most workers: 7.65% (6.2% + 1.45%).
How to Calculate a Pay Raise
Percentage raise: New Salary = Current × (1 + Raise% ÷ 100). At 5% on $60,000: $60,000 × 1.05 = $63,000. The gross raise is $3,000. After ~25% effective tax, the net increase in take-home is approximately $2,250/year, or about $86 extra per biweekly paycheck.
Reality check: The 2025 average US raise was 3.5–4.0% (Bureau of Labor Statistics). Inflation was ~2.7% in late 2025. A 3% raise during 3% inflation = zero real income growth.
Salary vs Hourly: How to Compare Fairly
Convert both to annual gross: Hourly × hours/week × 52 = Annual. Then factor in the dollar value of benefits — employer health insurance can be worth $6,000–$20,000/year. A $30/hour contract with no benefits vs $58,000 salary with full benefits: hourly annualizes to $62,400 gross, but you're funding your own health insurance, paying the full FICA self-employment rate if contracting, and receiving no PTO.