[tphlegm]

How do you calculate salary? If a job offers you a hourly salary and then says your yearly salary is this amount, how come they don't average out. For example if the hourly rate is 14.00 an hour, what would the yearly salary be?

[CaptainForest]

How many hours do you plan to work in the year?

Let's say you plan to work 7 hours a day, for 5 days a week, for 50 weeks in a year.

Then, your total hours are 7 x 5 x 50 = 1,750 hours

1,750 hours x $14/hr = $24,500.

Therefore, your yearly salary at $14/hr and at 1,750 hours will be $24,500

[Bellayork]

Also, don't forget that some people get a paid lunch break and others do not, this can mean that your annual salary and hourly rate can appear not to balance.

[ScottGem]

Another issue is your pay period. Some companies pay bi-weekly, others pay weekly and others semi-monthly.

[nancyjyost]

hourly rate x hours worked per week x weeks in a year (52) = salary rate