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Thread: Excel formula to convert hourly wage to Annaul Salary

  1. #1
    Join Date
    Feb 2012
    Posts
    13

    Excel formula to convert hourly wage to Annaul Salary

    I need help creating a simple formula that converts an hourly wage to an annual salary.

  2. #2
    Join Date
    Jul 2011
    Posts
    634

    Re: Excel formula to convert hourly wage to Annaul Salary

    Think there's no such single function. You need to DIY. How would you calculate it by hand. Explain it fully, step by step. This increases your chances of getting help with the formula.

  3. #3
    Join Date
    Jul 2011
    Posts
    640

    Re: Excel formula to convert hourly wage to Annaul Salary

    Maybe this can help . Hourly rate : $15,00 multiply by hours work in one week (40) multiply by 52 weeks in a year, if paid for full year.

  4. #4
    Join Date
    Jun 2011
    Posts
    635

    Re: Excel formula to convert hourly wage to Annaul Salary

    Hourly to annual is a bit subjective and really aren't the same even after calculation. You may want to consider some formula options depending on your intent:
    1) Vacation weeks are not paid but may be a percentage of total
    2) Statutory holidays
    3) Overtime and it's rate if applicable
    4) Any other applicable benefits and burden such as sick days
    Generally, 1800 hrs/yr is a reasonable average and what we use for a general equivalent.

  5. #5
    Join Date
    Jun 2011
    Posts
    487

    Re: Excel formula to convert hourly wage to Annaul Salary

    You will have to make a few assumptions:
    1. full-time is equal to 40 hours per week
    2. there are 52 weeks in a year
    Once you have done that, it is simply hourly rate times 40 hours times 52 weeks. "=(A1 *2080)", if cell A1 has hourly rate in it (2080 is 40 times 52).

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