1. What is Net Hourly Pay?

Net Hourly Pay is your actual take-home pay per hour after deducting income tax and national insurance contributions from your gross annual salary, divided by the number of working hours in a year.

2. How Does the Calculator Work?

The calculator uses the following equation:

Where:

• Gross Pay — Annual salary before deductions (GBP/year)
• Income Tax — Total annual income tax (GBP)
• National Insurance — Total annual NI contributions (GBP)
• Hours per Week — Weekly working hours
• 52 — Number of weeks in a year

Explanation: The equation calculates your actual earnings per hour after all mandatory deductions.

3. Importance of Net Hourly Pay Calculation

Details: Understanding your net hourly rate helps with budgeting, comparing job offers, and evaluating the true value of your time.

4. Using the Calculator

Tips: Enter your annual gross salary, total income tax, national insurance contributions, and typical working hours per week. All values must be positive numbers.

5. Frequently Asked Questions (FAQ)

Q1: Where can I find my income tax and NI amounts?
A: These are shown on your payslip or P60 form. You can also use HMRC's tax calculator for estimates.

Q2: Should I include bonuses in gross pay?
A: Yes, include all taxable income that appears in your gross pay figure.

Q3: What if my hours vary each week?
A: Use your average weekly hours for the most accurate calculation.

Q4: Does this include pension contributions?
A: No, this calculates only after mandatory deductions. For take-home pay after all deductions, include pension in your calculations.

Q5: Is overtime included in this calculation?
A: Only if it's included in your gross pay figure. Otherwise, calculate overtime separately.