Convert any hourly rate to annual salary — or any annual salary to an hourly rate. Handles part-time hours, paid holiday weeks, overtime and whether the rate is gross or net after tax.
| Hourly Rate | Annual (37.5 hrs) | Annual (40 hrs) | Monthly Gross |
|---|
Converting between hourly and annual pay is more nuanced than multiplying by 52 weeks. The number of paid hours per week, whether holidays are paid, overtime rates and part-time arrangements all affect the final figure. This converter handles all combinations and includes the 2026/27 National Minimum Wage check and take-home pay calculation.
| Age Group | NMW / NLW Rate (April 2026) | Annual (37.5hrs) | Annual (40hrs) |
|---|---|---|---|
| 21+ (National Living Wage) | £12.21/hour | £23,810 | £25,397 |
| 18–20 | £10.00/hour | £19,500 | £20,800 |
| 16–17 | £7.55/hour | £14,723 | £15,704 |
| Apprentice | £7.55/hour | £14,723 | £15,704 |
If you are contracted to 37.5 hours/week but regularly work 45+ hours unpaid, your effective hourly rate may fall below the National Living Wage — which is illegal regardless of your job title or salary level. The NMW applies to all workers except those who are genuinely self-employed. Calculate your effective hourly rate by dividing your gross weekly pay by actual hours worked.
Annual salary = Hourly rate × Hours per week × Paid weeks per year. For 37.5 hours/week, 52 paid weeks: multiply by 1,950. For 40 hours/week: multiply by 2,080. For part-year or term-time work: multiply by actual paid weeks. Example: £18/hour × 37.5 hours × 52 weeks = £35,100 gross annual salary.
The National Living Wage (for workers aged 21+) is £12.21/hour from April 2026, following the annual April uprating. This equates to approximately £23,810/year for a 37.5-hour week or £25,397 for a 40-hour week. Employees under 21 receive lower NMW rates. Employers must pay at least the NMW — paying below is illegal and subject to significant penalties.
Yes. At £18/hour, 5 hours of overtime per week at 1.5× rate adds £7,020 gross to your annual earnings — approximately a 20% boost on a £35,100 base salary. After tax, overtime income is taxed at your marginal rate, so a basic-rate taxpayer keeps approximately 72% of overtime gross (after income tax and NI). Our calculator includes the overtime premium in the annual total.