Gross Pay Calculator

Calculate your gross pay based on hours worked, pay rate, and overtime.

Gross Pay Formula:

Basic Pay = Hours × Rate

Overtime Pay = Overtime Hours × (Rate × 1.5)

Gross Pay = Basic Pay + Overtime Pay

Where hours are worked, rate is hourly wage, and overtime applies after standard hours

Understanding Gross Pay

Gross pay is the total amount of money an employee earns before any deductions like taxes, insurance, or retirement contributions are taken out. It represents the full compensation for work performed during a pay period. Our calculator helps you determine your gross pay whether you're paid hourly wages or a fixed salary.

Hourly vs. Salary Pay

There are two primary ways employees are compensated:

  • Hourly Pay: Compensation based on the number of hours worked multiplied by an hourly rate. Overtime pay may apply when working beyond standard hours.
  • Salary Pay: A fixed amount paid regularly (e.g., weekly, bi-weekly, monthly) regardless of hours worked, typically calculated from an annual amount.

Calculating Hourly Gross Pay

For hourly employees, gross pay is calculated using the following formulas:

Regular Pay = Hourly Rate × Regular Hours

Overtime Pay = Overtime Hours × Hourly Rate × Overtime Multiplier

Gross Pay = Regular Pay + Overtime Pay

Typically, overtime applies to hours worked beyond 40 hours per week, with a standard overtime rate of 1.5 times the regular hourly rate (also known as "time and a half").

Calculating Salary Gross Pay

For salaried employees, gross pay is calculated by dividing the annual salary by the number of pay periods in a year:

Weekly Gross Pay = Annual Salary ÷ 52

Bi-Weekly Gross Pay = Annual Salary ÷ 26

Monthly Gross Pay = Annual Salary ÷ 12

Pay Periods

Common pay periods include:

  • Weekly: 52 pay periods per year
  • Bi-Weekly: 26 pay periods per year
  • Semi-Monthly: 24 pay periods per year
  • Monthly: 12 pay periods per year

How to Use This Calculator

  1. Select your pay type (hourly or salary)
  2. Choose your pay period
  3. For hourly pay: Enter your hourly rate, regular hours worked, and any overtime hours
  4. For salary pay: Enter your annual salary
  5. Click "Calculate Gross Pay" to see your results
  6. Use the "Clear All" button to reset the calculator

This calculator provides an estimate of your gross pay before any deductions. Your actual take-home pay will be less after accounting for taxes, insurance premiums, retirement contributions, and other deductions.

Frequently Asked Questions

What's the difference between gross pay and net pay?

Gross pay is the total amount earned before any deductions. Net pay, also known as take-home pay, is what you actually receive after taxes, insurance premiums, retirement contributions, and other deductions have been subtracted from your gross pay.

Are all salaried employees exempt from overtime?

No, not all salaried employees are exempt from overtime. Exemption status depends on job duties, salary level, and applicable labor laws. Some salaried employees may be classified as "non-exempt" and still eligible for overtime pay when they work more than 40 hours in a workweek.

How is overtime calculated?

In most cases, overtime is calculated at 1.5 times the regular hourly rate for hours worked beyond 40 in a workweek. Some employers may offer double time (2× regular rate) for holidays or extended overtime. Specific overtime rules may vary based on local labor laws and company policies.

Do I need to include bonuses in gross pay calculations?

Yes, bonuses are considered part of your gross pay. They are typically added to your regular earnings during the pay period in which they're received. This calculator focuses on regular earnings and overtime, but bonuses should be included in your overall gross pay for tax purposes.

How accurate is this calculator?

This calculator provides a basic estimate of gross pay based on the information you enter. It doesn't account for all possible variables like shift differentials, holiday pay, or specific company policies. For the most accurate information about your pay, consult your employer's payroll department or a financial professional.