⏱ Hourly Rate Calculator
Convert a salaried annual CTC figure into an equivalent hourly rate — useful for comparing a full-time offer against contract or freelance rates on an apples-to-apples basis.
This is a straightforward division — CTC divided by total annual hours worked — useful for comparing apples to apples against a contractor day rate, but it doesn't capture the value of benefits, job security, or paid leave that typically come with a full-time CTC figure.
Frequently Asked Questions
Is this a fair comparison against a freelance/contract hourly rate?
It's a useful starting comparison, but remember a CTC figure usually includes benefits (PF, insurance, paid leave) that a pure hourly contract rate doesn't — a contractor often needs a meaningfully higher hourly rate to match the same effective value.
Why does 'working weeks per year' default to 50, not 52?
It accounts for typical annual leave/holidays — 52 weeks minus roughly 2 weeks of time off is a common approximation, though you can adjust this to your actual leave entitlement.
Should I use gross CTC or take-home for this calculation?
Use whichever basis you want the resulting hourly rate to represent — gross CTC gives a pre-tax hourly equivalent, while using your actual take-home gives a post-tax hourly figure.
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