$30 an Hour Is How Much a Year?

Finally, after several interviews and a lot of overthinking email responses, you got it. You got the job. You will now be making $30 an hour, which is way more than the last job that was paying you minimum wage. This increase in revenue is wonderful, and needed, but what does making $30 an hour really look like?

Annual Salary on $30 an Hour

If you are working full time, that is typically 40 hours a week, which is broken into five eight-hour shifts. With 52 weeks in a year, that’s 2,080 hours. The gross pay annually for someone making $30 an hour is roughly $62,400.

Companies will pay their employees weekly, biweekly or monthly. So in order to create a budget, it helps to know how much you’ll be bringing in per check.

Gross Pay for Full-time Employees Making $30 an Hour

These weekly, biweekly and monthly paycheck estimates are for gross pay and therefore are pre-tax and do not factor in unpaid days off. It would be nice if you could take home the gross pay amount, but unfortunately, you do have to take into consideration the amount of taxes that will be deducted.

Take-home Pay After Taxes

The amount of money you take home in your paycheck after taxes will depend on the state in which you live. Federal taxes are the same across the board for every American citizen, but some have to factor in varying state income taxes. The taxed amount can range from state to state, and some states don’t have any state income taxes.

Federal Income Tax

Federal taxes in the United States operate within a progressive tax, which essentially means as incomes increase, so do the tax rates. It is a tiered system and below is the breakdown of the tax rates based on income for someone filing as an individual or single.

As $30 an hour is $62,400 a year before tax, this would put you in the third tier at a 22% tax rate. With estimated deductions placing your taxable income at around $49,450, you would pay $6,496 in federal taxes. Your take-home pay after just federal taxes would be around $55,504. After your Social Security payment, you’d be left with about $54,087 for take-home pay.

State Income Tax

State income taxes vary from state to state. Some states use flat rates as opposed to progressive rates, and some states don’t have state income taxes at all, so you would only be paying federal taxes.

States with flat rate income taxes include:

• Colorado

• Illinois

• Indiana

• Kentucky

• Massachusetts

• Michigan

• North Carolina

• Pennsylvania

• Utah

States with no state income taxes include:

• Alaska

• Florida

• Nevada

• New Hampshire

• South Dakota

• Tennessee

• Texas

• Washington

• Wyoming

The states and districts with the highest individual state income taxes are:

• California 13.3%

• Hawaii 11%

• New Jersey 10.75%

• Oregon 9.9%

• Minnesota 9.85%

• District of Columbia 8.95%

• New York 8.82%

• Vermont 8.75%

• Iowa 8.53%

• Wisconsin 7.65%

Final Thoughts

When trying to calculate what $30 an hour really looks like in everyday life, there are a lot of factors to consider. It is well over minimum wage with a gross income of $62,400. Once you deduct federal income taxes and state taxes where applicable, it still puts this hourly wage and salary slightly above average for an American full-time worker.

FAQ

• Is $30 an hour good pay?

  • $30 an hour is well over minimum wage and above average pay for the average full-time worker. Whether it is a good wage for you depends on your cost of living and any additional expenses.

• What is $30 an hour annually after taxes?

  • State taxes will vary depending on where you live, so this number is subject to change, but the take home pay for someone making $30 an hour after federal taxes is $54,087.80 annually.

• How much is $70k a year hourly?

  • The gross pay per hour for a job paying $70,000 annually would be $33.65. This is based on a 52-week year and the estimate is pre-tax and does not factor in any unpaid leave or overtime.

• What is $60k a year hourly?

  • The gross pay per hour for a job paying $60,000 annually would be $28.84. This is based on a 52-week year and the estimate is pre-tax and does not factor in any unpaid leave or overtime.

Information is accurate as of Nov. 17, 2022, and is subject to change.

This article originally appeared on GOBankingRates.com: $30 an Hour Is How Much a Year?