Do you want to know how much money you’re going to make this year? Or, more specifically, you’re asking yourself $15 an hour is how much a year?
Many people are working and getting paid by the hour. However, it’s not always clear how much you’ll take home in the end.
In this article, you’ll learn exactly how much $15 an hour is per year, per month, and per week. Plus, we’ll go into $15 an hour jobs that you’ll like and how to live on $15 an hour.
How Much Is $15 An Hour Per Month?
Do you want to know how much $15 an hour is for a month? Then you need to know how many hours you work in a month. Hourly wages are important to make ends meet in our economy today.
You need to learn how to compute your minimum wage rate. How do you do that? To calculate, you have to divide the total number of hours you work in a year by the total number of months (12).
With this, you can know how many working hours are there in a month to calculate your paid minimum wage. Your hourly rate in a single workweek defines your paycheck and the corresponding wage you would want to live off.
There are 2,096 working hours a year. Now divide it by 12 to know how many working hours there are in a month. When we do that, on average, we end up with 175 working hours per month.
To calculate your salary for a month, multiply $15 an hour by 175. And the result will be $2,625. So your per-month income on average is $2,625.
You may work more hours in some months or get overtime pay, making your income go up. On the other side, some months may result in fewer work hours too. By considering the 12 months in the year, you can make an average whether you’re working full time, part-time, or half time.
When you’re getting paid by the month instead of by the hour, you can expect the same salary no matter how many hours worked or how many days the month has.
How Much Is $15 An Hour Per Week?
Do you want to break it down by week? Assume that you are normally working 40 hours per week. To calculate how much $15 an hour per week is, you need to multiply $15 an hour by 40 hours per week. And the result is 600. So your minimum pay per week will be $600.
When you work part-time, let’s say 30 hours a week, your weekly rate would be $450. When you work half-time, that is 20 hours, and your wage would be $300 a week.
Is $15 An Hour Good?
When you compare the current national minimum wage of $7.25, $15 per hour is much better. When you calculate $7.25 per hour, it is approximately $15,080 per year. So, you can say that $31,200 annually is quite an increase.
For a small family, hourly pay of $15 would be a habitable wage when they spend it mainly on necessities. If you have a big family, it can be difficult for you to cover expenses with a salary of $15 per hour. The $15 wage limits your buying capacity.
Thus, if you do not have any other sources of income or side hustles, $15 may not be sufficient for you. Plan your yearly finances accordingly to be able to sustain the lifestyle you choose for yourself and your family. The amount of money that you will make determines what you can do for yourself and your family.
Alternative Ways to Think About $15 Per Hour
You may find it challenging to think about how $15 per hour can fulfill your daily needs. $15 per hour may sound like too low as an income today, but you would be surprised by the amount when you sum it all up. Adding up all these $15 will show you that the work you put in does really mean something down the line.
$15 per hour can go a long way if you look at the bigger picture. Rather than dwell on the $15 amount by itself, looking it at the totality of your overall working hours will surprise you.
Here’s precisely what you can buy with the annual salary of earning $15 per hour:
- You can buy 31,200 slices of pizza that cost $1 each.
- You can go to Starbucks and get 6,303 skinny peppermint lattes for $4.95 per venti size.
- Spend your money on 2,400 cinema tickets for $13 per piece.
- Go to the Whitney Art Museum 1,248 times for $25 per visit.
- Get 62 Botox treatments for $500 each (just joke).
- You can get the Skylofts at MGM Grand for 24 nights, as they cost $1325 each night.
- However, the best option, you can get 16 labradoodle puppies for $2,000 each.
But really, $15 per hour is more than you think.
The $15 per hour can and will pay your groceries, bills, and even your mortgage and house rent. This $15 per hour is very doable, as long as you know the basic necessities that you find important for you and your family. Planning and budgeting will make all the difference in maximizing your $15 hourly rate.
The secret here is to spend your money on what is important, necessary and what is truly essential in your life.
$15 Year Hour Jobs
Below is a list of the jobs that pay a minimum of $15 per hour:
How To Live On $15 An Hour?
Irrespective of your pay, one of the most important things is to spend less than you earn. Even if you are a rich person, some of them end up in debt. The main reason behind this is that their cost of living is higher than their monthly income.
So if you wish to live a life of financial freedom, then plan your month accordingly. Having a plan will help you save a lot of time and have the opportunity to save money each month. Here are some steps that can help you to get financially secure with your salary.
1. Create a Budget
Create a budget to fulfill your basic needs. You could make a plan for how much you will spend, including rent, electricity, loans, health insurance, and more. In this way, you can easily plan and budget your income to make sure you have enough money left to last until the end of the month.
Further, a budget keeps a record of your income and expenses and makes sure you do not spend more than you get paid. Creating a budget has the following benefits:
- It facilitates you with control over your finances and makes you feel stress-free.
- It helps you reach your saving goals.
- It lets you pay bills on time and avoid the extra charges that come along with it.
2. Save Money
If you want to live off of $15 an hour, it’s great if you have some money saving tips to help you along with that. Saving money will be a key step for you and your family.
There are dozens of things you can do to save money. The most important items where you can save money on transportation, groceries, and living. It’s important that you know what things to do without money and have fun living a frugal life.
3. Pay Off Debt Fast
If you want to stay financially stable, try to pay your debt as fast as possible. With smart money management and budgeting, you can pay off debt quickly. To pay off debt will surely lessen the burden in budgeting as your money will go to more important items in your plan.
Want to do it even quicker? Consider the following things:
- Make an appropriate budget with your minimum monthly income.
- Lower your monthly expenses.
- Build your emergency fund to have funds when something happens.
- Avoid getting into new debt.
4. Pick Up A Side Hustle
Having a side hustle will give you extra money. May it be a favorite hobby during your free time or delivering items that you can use to make money. Make sure that it will not be in conflict with your primary job.
There are a lot of ideas to do to make extra cash. Here are a couple of ways that you can try:
$15 Year Budget Example
Taking all that into account, $15 is a deliverable hourly wage. If you are not sure how to budget and live off $15 an hour, the given below example may help you.
This budget breakdown that you see is based on an after-tax monthly wage of $2,058. The actual expenses in your life may be different. With this example, you can look at what will work for you. Moreover, it allows you to save your cents and live a comfortable life.
- Savings of 10% – $205.80
- Rental fee or Mortgage + Utilities – $679 (⅓ of income)
- Insurance of Car – $100
- Health Insurance – $100
- Cell phone Expenses – $50
- Internet Expenses – $50
- Gas Expense – $60
- Money spend on Groceries – $100
- Personal and Misc Expense – $100
- Expense on Entertainment – $50
Total Expenses – $1494.80
With this, you are left with $563.20 in savings.
Workers with an hourly minimum wage of $15 can make $31,200 per year as per the fair labor standards. When after-tax is deducted, the net take-home pay is at around $11.88 to $12.84. With this, your total net annual income will be $24,700 – $26,700 a year.
Conclusion – $15 an Hour is How Much a Year?
$15 an hour is how much a year? Is it really enough to survive? The answer here is you must first have to have a goal for your money. Knowing what you want to have for your life is crucial in planning out the steps needed to achieve those short-term financial goals. Always remember that your end goal does not work unless you do.
Budgeting also plays a role in achieving your targets. Create a budget that works for you, and follow that. If you get used to this, it will become your second nature, and your desired financial goals are well within reach. Soon you will realize that $15 an hour ain’t all that bad as it sounds.
Marjolein is a financial consultant who has built over €4,000 monthly passive income and saves over 70% of her income. Read Radicals’ inspiring story, from stuck in the 9-to-5 to loving life. Feel free to send Radical a message at the bottom of this page