Hourly Rate vs Annual Salary in the UK
Converting between hourly rates and annual salaries is essential when comparing job offers, negotiating pay, or working out whether a contract role pays more than a permanent position. The standard UK full-time working week is 37.5 hours, giving 1,950 hours per year (37.5 × 52). However, many employers use 40 hours per week, giving 2,080 hours per year.
Gross vs Net Pay
The figures shown by this calculator are gross — before income tax and National Insurance are deducted. For a full picture of what you will actually take home, use our Take-Home Pay Calculator. As a rough guide, a £30,000 salary typically results in a take-home of around £24,000 after tax and NI in 2024/25.
Holiday Pay for Hourly Workers
UK workers are entitled to 5.6 weeks of paid holiday per year (28 days for a 5-day week worker). If you are paid hourly, your holiday pay should be calculated based on your average earnings over the previous 52 weeks. When comparing an hourly contract rate to a salaried role, remember that the salary typically includes holiday pay while a contract rate may not — add roughly 12.07% to a contract hourly rate to account for holiday entitlement.