Enter both offers and your honest weekly hours — see which pays more at YOUR reality, and where the break-even sits.
Why the hours input decides it
hourly annual = (40 × rate + OT hours × rate × 1.5) × 52
exempt salary = fixed, regardless of hours
An exempt salary divides across every hour worked, so its effective rate falls as weeks lengthen — while the hourly offer's effective rate rises past 40. Two honest inputs (the offers and your real week) turn a philosophical question into arithmetic.
A worked example
$28/hour vs $62,000 salary at a true 44-hour week: hourly earns $58,240 base + $8,736 of overtime = $66,976 — nearly $5,000 over the salary. At an honest 40 hours, the salary wins by $3,760. The break-even sits around 42 hours: below it take the salary, above it take the clock. Ask the interviewer what weeks really look like — then believe the team members, not the recruiter.
Negotiating with the break-even
If the role clearly runs long, the break-even is leverage on the salary side: "at the 45–50 hours this team describes, the hourly offer pays $X more — can the salary reflect that?" And check the exempt status question directly; a non-exempt salary (overtime intact) is often the best of both.
Frequently asked questions
Is it better to be paid hourly or salary?
It hinges on hours: hourly + overtime beats an equivalent salary whenever real weeks run past 40, because those hours pay 1.5× instead of free. Salary wins on predictability and short weeks (paid the same when it's slow). The break-even is computable — that's this page.
How do I convert an hourly offer to a salary equivalent?
At exactly 40 hours: rate × 2,080. But that comparison hides the real difference — recompute at your honest expected hours, with overtime at 1.5×, and the 'equivalent' can swing 20% either way.
Do salaried employees ever get overtime?
Yes — salaried and non-exempt is a real (and common) combination; exemption requires both a salary threshold and a duties test. If the salaried offer is non-exempt, it keeps overtime and this comparison tilts hard toward whichever number is bigger at 40 hours.
What else differs beyond the math?
Hourly: every worked minute is paid, but short weeks are short checks. Salary: smooth checks, easier loans, but 50-hour weeks are donated. Benefits usually match within a company — between companies, run the full offer through the job offer comparison calculator.