Convert Hourly Rate to Monthly Salary in Pakistan

How to Convert Hourly Rate to Monthly Salary

Converting your hourly rate to a monthly salary is essential for freelancers, contractors, and hourly workers to understand their earnings and plan their finances. The formula for converting hourly rate to monthly salary is:

For example, if you earn ₨1,000 per hour, work 8 hours per day for 22 days a month, your monthly salary would be ₨1,000 × 8 × 22 = ₨176,000.

Working Days in a Month in Pakistan

In Pakistan, a standard work month typically consists of:

• 22 days on average (excluding weekends)
• 5 days per week for most office jobs
• 6 days per week for some industries (26 working days per month)
• Public holidays reduce the working days in certain months

For freelancers and remote workers, working days may vary based on your contracts and work schedule.

Calculating Tax on Hourly Income

Once you've converted your hourly rate to a monthly salary, you need to calculate the income tax you'll pay according to Pakistan's tax regulations. This helps you understand your true take-home pay.

Key considerations for tax calculations:

• Income tax is calculated on your annual income (monthly salary × 12)
• Pakistan follows a progressive tax system with different tax slabs
• Freelancers may need to consider additional taxes or deductions
• If earning in foreign currency (like USD), convert to PKR for tax calculations