One of the first things you might do when getting your first salaried job-offer is calculate the hourly rate to compare to what you're currently making at a pay-per-hour job. For example, if you're asking yourself, “$ 60000 a year is how much an hour” you're taking the first smart step to analyzing your next career move.
However, just like with most things in life, there is always more than one way to analyze two options. The “hourly compared to salaried” rate is no difference. Financial benefits, health benefits and even work-life balance benefits all make an impact in choosing what's right for you.
That said, let's look at a few main ways to consider what a $ 60,000 annual salary equates to per hour.
$60000 a Year Is How Much An Hour – Simple Math
The simplest way to assess how much your hourly rate is takes us back to algebra class. Divide the annual salary by the number of hours you work in a year.
$60,000 / [number of hours worked in a year] = Hourly Rate
So, let's say you are trying to generalize the math based on “standard American work hours.”
Of course, the 9am to 5pm job feels like just a wish for many these days. However, in general, that 8-hour-workday is still considered an average standard. That, paired with the Monday through Friday schedule means that most people are generally talking about a 40-hour workweek.
If we plug in 40 hours per week and 52 weeks in a year, the math looks like the below.
Hours worked per year = (40 hours per week x 52 weeks per year) = 2,080 Hours worked per year
$60,000 / (2080 Hours) = $28.85 Per hour
Based on this example, if you didn't have any other specifics to analyze, you could assume that in general, $ 60000 a year is almost $29 an hour.
annual Salary to Hourly Rate – Other Considerations
As mentioned earlier, when it comes to career decisions there is often more to consider than just the salary. Other financial – and non-financial- benefits can weigh heavily on your decision.
One of the biggest variables to consider is whether you will truly be working an “average” 40-hour workweek. In most cases today, that is seldom the case. Taking a salaried job may often come with additional work hours that are not paid like an hourly overtime job would have to pay.
However, on the flip side, you could also benefit if you are working less than 40-hour weeks.
Whether it's a cushy job (congrats!) or working for yourself, maybe you've found the key to make $ 60,000 a year without needing to put in long hours.
So, let's look at another example. If you have figured out the key to passive income streams, maybe you are lucky enough to be making $ 60000 a year by only working 20-hours per week. Oh, and how about a bonus? Maybe you also give yourself an entire week off every single month! That's 12 less weeks worked!
In that case, the hours worked per year looks very different.
Hours worked per year = (20 hours per week x 40 weeks per year) = 800 Hours worked per year
$60,000 / (800 Hours) = $75 Per hour
Interested in what kind of work people are doing to make that happen? Check out my posts on How to Start a Money-Making Blog and The Ultimate Guide to Selling on Etsy.