Annual Income Calculator
Calculate your gross and net annual income from hourly wages, factoring in hours worked and tax rate.
How Annual Income Is Calculated
Your gross annual income is the total amount you earn before any deductions. It is calculated by multiplying your hourly wage by the number of hours you work per week, then multiplying that by the number of weeks you work per year.
Net annual income is what you take home after taxes. This calculator applies your effective tax rate to your gross income to estimate your after-tax earnings.
Frequently Asked Questions
How does this calculator determine annual income?
The calculator multiplies your hourly wage by hours worked per week, then multiplies by weeks worked per year. This gives your gross annual income. It then subtracts your estimated tax to show net income.
What does 1.5x pay after 40 hours mean?
Many employers pay overtime at 1.5 times your regular hourly rate for hours exceeding 40 per week. This is often called "time and a half." If your regular rate is $20/hour, overtime would pay $30/hour.
How does this calculator handle overtime?
This calculator uses a flat hourly rate for all hours worked. If you regularly work overtime, you can adjust the hourly wage to reflect a blended rate, or calculate your regular and overtime earnings separately and add them together.