Question 1

How do I convert hourly wage to annual salary?

Accepted Answer

Multiply hourly rate × hours per week × 52 weeks. Example: $25/hour × 40 hours × 52 = $52,000/year. For bi-weekly pay, divide annual by 26.

Question 2

What is the difference between gross and net pay?

Accepted Answer

Gross pay is your earnings before deductions. Net pay (take-home pay) is what remains after federal/state taxes, Social Security (6.2%), Medicare (1.45%), and any benefits deductions.

Question 3

How much of my salary is taken by taxes?

Accepted Answer

Effective federal income tax rates range from ~10% for low incomes to ~37% for top brackets. Add Social Security (6.2%), Medicare (1.45%), and state taxes (0–13.3%). Total withholding is typically 25–35% for most workers.

Pay Period	Periods/Year	Conversion
Hourly	2,080/yr (40h)	× 2,080 = annual
Weekly	52	× 52 = annual
Bi-Weekly	26	× 26 = annual
Semi-Monthly	24	× 24 = annual
Monthly	12	× 12 = annual

Salary Calculator

Pay Period Conversion Reference

Salary Calculator

Pay Period Conversion Reference

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