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Prorated Salary Calculator

Human Resources · Free tool

Prorated Salary Calculator

New starters, leavers and unpaid leave all need the same calculation: what share of the annual salary belongs to this stretch of dates. This prorated salary calculator counts the days between two dates and applies that share to the salary, for HR, payroll and finance teams preparing a first or final payslip, a budget line or an offer letter.

  • OutputPay for part of the year
  • No sign-up
  • Copy or print the result
  • How it works ↓

Your entries stay in this browser. Use Fill example to see a finished page first.

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What this HR tool gives you

Choose calendar days for a simple share of the year, or working days (Monday to Friday) when your payroll prorates by business days. The page shows the prorated pay, the days counted, the days in the year and the share of the year, with the dates written out.

What you enter

  • Annual salary: the gross full-year salary
  • First day: the start date, or the first day of an unpaid stretch
  • Last day: the final day of the period; both days are counted
  • Count: calendar days, or working days Monday to Friday

Worked example

A $73,000 salary from 1 March 2026 to 31 December 2026 covers 306 of 365 calendar days, or 83.84% of the year, so the prorated pay is $61,200. Counting working days instead gives a slightly different figure because weekends drop out.

How do you prorate a salary?

Prorated pay = annual salary × days counted ÷ days in the year. With calendar days, the period counts every day including weekends, out of 365 (366 in a leap year). With working days, it counts Monday to Friday out of the weekdays in that year, which is 260, 261 or 262.

The first and last day are both included. Public holidays are not removed. When a period crosses a year end, the base uses the first year, and the page suggests running each year separately. Your contract or payroll system may use a different method, such as 12 equal months.

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Tips before you use the result

  1. Use the same method your payroll uses; switching between calendar and working days for one person can create a small overpayment or shortfall.
  2. For a first month's pay, set the period from the start date to the end of that month and use the monthly salary × 12 as the annual figure.
  3. For unpaid leave, prorate the unpaid days and subtract the result from the regular pay for that period.
  4. Put the method in the offer letter ("prorated by calendar days") so the first payslip matches what the new hire expects.

Frequently asked questions

What does prorated salary mean?

A prorated salary is the share of a full-year salary that matches the time actually worked. Someone hired on 1 March earns about 84% of the annual salary for that calendar year. Prorating also applies to final pay and to unpaid leave.

Should I use calendar days or working days?

Either is common. Calendar days are simple and treat every day equally. Working days match how many payroll systems handle salaried staff paid for business days. Check the contract or your payroll policy and use the same method every time.

Does it handle leap years?

Yes. In calendar mode the base is 366 days in a leap year and 365 otherwise. In working-day mode the base is the actual number of weekdays in the start date's year, which is 260, 261 or 262.

Are public holidays excluded?

No. Working-day mode removes Saturdays and Sundays only, because holidays differ by country and employer. If your payroll excludes holidays, subtract them from the working days counted and adjust the base the same way.

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Results depend on the figures you enter; check them against your own records before you rely on them. Last updated: October 2026 · Kurums editorial team.