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איך החישוב עובד
This tool converts a 1099 contract rate into an equivalent W-2 salary. It starts from your annual contract gross (hourly rate × billable hours per week × weeks worked per year), then subtracts the extra 7.65% employer-side FICA/Medicare that a W-2 employer would normally pay on your behalf, the health insurance you fund yourself, and the value of the employer retirement match you would have received as an employee. The value of PTO a W-2 job would add is shown separately for reference — it is not subtracted, since the "weeks worked per year" figure already reflects unpaid time between contracts.
The equivalent W-2 hourly rate spreads the resulting salary across all 52 weeks of the year (hours per week × 52), since salaried pay — unlike contract billing — continues through holidays and time off.
This is general information to help you compare offers, not tax or financial advice. Actual tax liability depends on your filing status, state of residence, itemized vs. standard deductions, and eligibility for the Qualified Business Income (QBI) deduction. Consult a qualified tax professional or CPA for your specific situation.