How to convert a salary to an hourly rate in the UK
Quick answer: Divide your annual salary by total contracted hours in the year. A £35,000 salary on a 37.5-hour week (1,950 hours/year) is £17.95 gross per hour. After standard 2026/27 England/Wales/NI Income Tax and employee NI only, the estimated take-home is around £14.73 net per hour — a gap of about 18%. Pension contributions, student loans and salary sacrifice can reduce it further.
The formula itself is straightforward:
Where it gets interesting is what happens to that number after tax, and what happens when the actual hours you work differ from the contracted hours on your contract. Both of those move your real hourly rate — sometimes quite significantly.
The calculator above shows gross figures only. For what you actually take home after tax and National Insurance, use the full salary calculator. To factor in overtime, commute and work costs, use True Wage.
UK salary to hourly rate reference table (2026/27)
Gross figures only, calculated on 52 weeks per year across three common contracted hour patterns. For take-home pay, tax breakdown and True Wage figures at a specific salary point, follow the links in the table.
| Salary | 35 hrs/wk | 37.5 hrs/wk | 40 hrs/wk | Full breakdown |
|---|---|---|---|---|
| £20,000–£28,000 salaries | ||||
| £20,000 | £10.99/hr | £10.26/hr | £9.62/hr | — |
| £25,000 | £13.74/hr | £12.82/hr | £12.02/hr | £25k take-home → |
| £28,000 | £15.38/hr | £14.36/hr | £13.46/hr | — |
| £30,000–£50,000 salaries | ||||
| £30,000 | £16.48/hr | £15.38/hr | £14.42/hr | £30k hourly rate → |
| £35,000 | £19.23/hr | £17.95/hr | £16.83/hr | £35k take-home → |
| £40,000 | £21.98/hr | £20.51/hr | £19.23/hr | £40k hourly rate → |
| £45,000 | £24.73/hr | £23.08/hr | £21.63/hr | £45k take-home → |
| £50,000 | £27.47/hr | £25.64/hr | £24.04/hr | £50k hourly rate → |
| £55,000–£90,000 salaries | ||||
| £55,000 | £30.22/hr | £28.21/hr | £26.44/hr | £55k take-home → |
| £60,000 | £32.97/hr | £30.77/hr | £28.85/hr | £60k hourly rate → |
| £70,000 | £38.46/hr | £35.90/hr | £33.65/hr | £70k hourly rate → |
| £80,000 | £43.96/hr | £41.03/hr | £38.46/hr | £80k hourly rate → |
| £90,000 | £49.45/hr | £46.15/hr | £43.27/hr | £90k hourly rate → |
| £100,000–£120,000 salaries | ||||
| £100,000 | £54.95/hr | £51.28/hr | £48.08/hr | £100k hourly rate → |
| £110,000 | £60.44/hr | £56.41/hr | £52.88/hr | £110k take-home → |
| £120,000 | £65.93/hr | £61.54/hr | £57.69/hr | £120k hourly rate → |
| £130,000–£150,000 salaries | ||||
| £130,000 | £71.43/hr | £66.67/hr | £62.50/hr | £130k take-home → |
| £150,000 | £82.42/hr | £76.92/hr | £72.12/hr | £150k take-home → |
Gross figures only. Each linked page has a full take-home breakdown, net hourly rate and True Wage calculation for that salary.
For net-pay examples, compare popular after-tax breakdowns: £30k after tax UK, £40k after tax UK, £50k after tax UK, £60k after tax UK, £100k after tax UK and £120k after tax UK.
Why your effective hourly rate is almost always lower than it looks
Your contract figure is what your employer pays per hour. What you actually earn per hour — once tax, overtime and commute are factored in — is usually quite different. Three things eat into it, and they compound.
At 37.5 hours a week over 52 weeks, gross pay is £23.08/hr. Five extra unpaid hours each week reduce it to £20.36/hr — an 11.8% drop.
Same £45,000 salary; 1,950 hours versus 2,210 hours. Tax, commuting and work costs are excluded. Include those in True Wage →
None of this means your salary is bad — it just makes comparisons fairer. Whether you're weighing a new job offer or wondering if a pay rise is actually worth what it looks like on paper, the True Wage calculation usually tells a very different story to the headline number.
How hours worked change your hourly rate
With a fixed salary, hourly pay falls as weekly hours increase. The table below shows how a £40,000 salary shifts across five common working patterns.
| Hours per week | Annual hours | Gross hourly | Net hourly (tax + NI only est.) | vs 37.5hr baseline |
|---|---|---|---|---|
| 35 hrs | 1,820 | £21.98 | £17.76 | +7.1% |
| 37.5 hrs | 1,950 | £20.51 | £16.57 | baseline |
| 40 hrs | 2,080 | £19.23 | £15.54 | -6.3% |
| 45 hrs | 2,340 | £17.09 | £13.81 | -16.7% |
| 50 hrs | 2,600 | £15.38 | £12.43 | -25.0% |
52 weeks/year. Net figures use standard 2026/27 England/Wales/NI tax and employee NI, with no pension or student loan.
On the same £40,000 salary, working 35 hours gives 42.9% more gross pay per hour than working 50 hours, using the same 52-week basis. Unpaid overtime — hours worked beyond the contracted hours — shifts the effective rate further still, since it increases total hours without affecting pay at all.
What counts as a good hourly rate in the UK? (2026/27 benchmarks)
Context matters. Here are the reference points most useful for benchmarking your hourly rate against UK wage standards in 2026/27.
Statutory rates from GOV.UK (April 2026). For the full annual and monthly equivalent, see UK minimum wage 2026 annual salary and take-home pay. ASHE 2025 figures from ONS Annual Survey of Hours and Earnings, full-time employees, UK. Voluntary rates: Living Wage Foundation 2025/26. Monthly examples multiply the stated net hourly rate by 37.5 × 52 ÷ 12; they are not gross-to-net tax estimates.
Frequently asked questions
How do I convert a salary to an hourly rate? expand
Divide annual salary by weekly hours × weeks used in the calculation. For a full-year equivalent, £35,000 ÷ (37.5 × 52) = £17.95 gross per hour. The result is before tax, NI and pension deductions.
For a part-time role, use the salary actually paid alongside your own weekly hours. If the advert gives only a full-time-equivalent figure, use the pro-rata salary calculator first. Mixing the advertised full-time salary with part-time hours would inflate the hourly result.
Why is my effective hourly rate lower than my contracted rate? expand
Unpaid overtime increases hours without increasing salary. Going from 37.5 to 42.5 hours per week reduces gross hourly pay by 11.8%. Commuting and work costs can reduce the effective value further; the size of the change depends on your own figures.
Should I use contracted hours or actual hours in the calculation? expand
Use contracted hours for a simple salary equivalent, or actual hours including unpaid overtime to assess the time you commit. This calculator is not a legal minimum-wage check: those rules depend on work type, qualifying pay and hours, including relevant extra hours. Check GOV.UK guidance for salaried work.
Does changing weeks per year affect my hourly rate? expand
Use 52 for a full-year salary equivalent, including paid holiday. Using actual working weeks instead measures pay per hour worked. For example, 52 minus 5.6 weeks of leave is 46.4; bank holidays may already be included in that leave. Enter your own figure. For part-year work, use actual annual pay rather than the advertised full-time salary. Weekly and monthly averages still spread annual pay across 52 weeks and 12 months. GOV.UK holiday guidance.
How do I fairly compare two job offers with different salaries and hours? expand
Use the same weeks basis and realistic weekly hours for each offer. Over 52 weeks, £48,000 at 45 hours and £40,000 at 37.5 hours both give £20.51 gross per hour. Then compare pension, benefits, travel time and costs in True Wage.
What is the difference between gross and net hourly rate? expand
Gross hourly pay is before deductions. Net hourly pay is annual take-home divided by the same annual hours. The gap depends on income, tax location, pension, student loans and other deductions. Use the salary calculator for a personalised net estimate.
| Primary source | How PayPrecise uses it | Link |
|---|---|---|
| Income Tax rates and allowances (2026 to 2027) | Used for Personal Allowance and main UK tax bands in calculator/editorial explanations. | View source |
| National Insurance rates and category letters | Used for NI examples and take-home calculations. | View source |
| ONS Annual Survey of Hours and Earnings 2025 | Primary benchmark source for UK earnings, pay percentiles and regional comparisons cited across salary pages. | View source |
Calculator outputs remain illustrative because tax codes, salary sacrifice, pension settings, benefits, commuting patterns and local costs vary by person.