How To Calculate Your Hourly, Weekly, And Monthly Income?
Do you feel like you have a hard time getting your finances in order? Are you always scrambling to pay bills, even though you think you're making enough money? A well-balanced budget could help you manage your money better and plan your financial future.
If you want to properly plan your budget, you need to know exactly how much money you're bringing in. Do you know how much monthly income you're bringing in? Or how much you're bringing in each week? If you don't, you'll know by the end of this post.
Also read: How Do You Calculate Net Pay?
How To Determine Your Income
In order to see how much monthly income you're bringing in, there are a few things we need to figure out first. You'll need to calculate your hourly and weekly pay before we can focus on the entire month. Luckily, doing this is simple when you start in the right place.
Also read: Why do Jobs Hold Your First Paycheck?
Determining Your Hourly Income
If you get a pay stub from your employer, you should be able to see your hourly rate on it. If you're self-employed, this can get a little tricky.
If you get paid for a project or job, it's much easier to track hours to determine your hourly rate. Be sure to track every minute you're working on the project or job even if you're doing something as simple as research.
Once you get paid for the work you've done, divide the number you've been paid by the number of hours you worked on the project. Now you have your hourly rate! Even people that aren't self-employed can use this method. Look at your take-home pay, and divide that by the hours you've worked throughout the week.
If you're salaried, determine how many hours you work throughout the year. Divide your yearly income by the hours you've worked, then you'll know your hourly rate.
Also read: Employee’s Gross Pay
Determining Your Weekly Income
Even if you get paid bi-weekly, it can still be useful to know how much you get paid every week. It can help you build a better budget and let you know when you'll need money.
If you've already determined your hourly income, figuring out your weekly income will be easy. Simply multiply your hourly rate by the number of hours you work each week. Once you have that, you'll have your weekly rate.
Determining Your Monthly Income
You've done the heavy lifting by figuring out your weekly and hourly income. Now you can focus on how much you bring in each month.
The easiest way to do this is to add up your weekly income amounts to see what you'll bring in for the month. If you are self-employed or do freelance work, focus on the number of hours you plan on working for the month.
Now that you know how much money you're bringing in, you can start planning for your financial future. Since you'll be keeping track of your income now, read our post on saving pay stubs so you can ensure you're keeping important information.
Need a pay stub that meets your needs? Try our paystub generator now!