The average person in America makes $23.00 an hour, or $11,700 a year. This is not bad at all considering the cost of living has increased over the past years, but it’s still interesting to take a look at how much people make and be able to compare that with what other countries can offer. The article takes into consideration how many people don’t know their wages or if they are being paid fairly by comparing prices of different things on both sides of the pond (the US and Europe).
$23.00 an hour is how much a year
As a simple baseline calculation, let’s say you take 2 weeks off each year as unpaid vacation time. Then you would be working 50 weeks of the year, and if you work a typical 40 hours a week, you have a total of 2,000 hours of work each year. In this case, you can quickly compute the annual salary by multiplying the hourly wage by 2000. Your hourly pay of 23 dollars is then equivalent to an average annual income of $46,000 per year.
How much money would I make in a month
If you look at an average month as 4 weeks, then you can estimate the average monthly earnings from 23 dollars per hour to be $3,680 per month. Of course, some months are longer than others, so this is just a rough average. Another way to estimate the amount you make each month is to divide the annual salary by 12 months. For example, if you calculate the yearly total to be $48,024 per year, then your monthly average would be $4,002 per month.
What if you get 2 weeks of paid vacation, or you take no vacation time?
Now let’s consider the case where you get paid 23 dollars an hour, but you get an additional 2 weeks of paid vacation. You get the same result if you work all year with no vacation time. In the previous case, we assumed 2 weeks of unpaid vacation, so your total year consisted of 50 weeks. But if you get paid for 2 extra weeks of vacation (at your regular hourly rate), or you actually work for those 2 extra weeks, then your total year now consists of 52 weeks. Assuming 40 hours a week, that equals 2,080 hours in a year. Your hourly wage of 23 dollars would end up being about $47,840 per year in salary.
What’s the total number of working days in 2021
If you want to be even more accurate, you can count the exact number of working days this year. 2021 starts on a Friday (January 1, 2021) and ends on a Friday (December 31, 2021). It has a total of 365 days in the year including both weekdays and weekends. There are 104 weekend days (counting every Saturday and Sunday in the year), and 261 weekdays (Monday through Friday). So if you worked a normal 8 hour day every weekday, and didn’t work any overtime on the weekends, you would have worked a total of 2,088 hours over the 2021 year. You can then convert your hourly pay to a yearly salary of roughly $48,024 per year.
Remember that most companies give employees time off for various holidays, so that should really be included in the calculation. If your company decided to switch you from hourly pay to salary, you might get paid $48,024 per year, but you wouldn’t actually have to work 2,088 hours since some of those days would be holidays. So your yearly income wouldn’t necessarily change, but the actual number of hours you work over the year might be slightly less.
Many companies now pay you for time off which may increase your annual salary even more than just calculating hours worked throughout the year. Though this does depend on company policy as well as whether or not you work holidays which also needs to be analyzed. Anyhow, if your goal is to have an increased financial income, considering a side job, or even freelance work would be a smart decision.