Hourly to Salary

What is Hourly to Salary?

Hourly to Salary is a term for a calculation of how much an employee's salary can be based on their hourly pay. To get this conversion, simply add up the total hours that an employee works every year, and multiply it by their hourly wages.

By contrast, the annual salary is a specific amount of compensation paid per year for work, of which it is normally a fixed amount, regardless of hours worked or overtime. Salaried employees receive a fixed wage, and they must keep up with their work responsibilities and complete all assigned tasks, even if that means working additional hours in a week.

Conclusion

Wages are often one of the most significant motivators influencing employment, and there are different payment structures available. When discussing payment structures with employees during the recruiting and onboarding process, make sure to inform them of the different options available to choose from.

For additional information, see terms entitled Hourly to Annual Salary, Hourly to Yearly.