Quick answer: To convert time to decimal for payroll, divide the minutes by 60 and add the result to the hours. For example, 7 hours 45 minutes = 7 + (45 ÷ 60) = 7.75 decimal hours. Multiply that by the hourly rate to get gross pay.
Why payroll needs decimal time
Time clocks and paper timesheets record hours and minutes, such as 8:30 or 6:15. Payroll software, spreadsheets and invoicing tools need decimal hours instead, because they multiply the hours by a rate.
The two formats look alike, which is where errors creep in. An employee who works 8 hours 30 minutes at $20 per hour should be paid 8.50 × $20 = $170.00. Entered as 8.30, the same shift pays $166.00. Four dollars on one shift becomes real money across a team and a year.
The formula
decimal hours = hours + (minutes ÷ 60)Keep the hours. Convert only the minutes.- Split the time. 6:45 becomes 6 hours and 45 minutes.
- Divide the minutes by 60. 45 ÷ 60 = 0.75.
- Add the hours back. 6 + 0.75 = 6.75 decimal hours.
- Multiply by the rate. 6.75 × $18.00 = $121.50 gross pay.
Try it on your own numbers
Decimal hours
7.75hours
Need a whole week? The time to decimal calculator converts and totals every shift.
Quick minutes chart
The values payroll teams look up most often. The full 1 to 60 minute chart has every value.
| Minutes | Decimal | Minutes | Decimal |
|---|---|---|---|
| 5 | 0.08 | 35 | 0.58 |
| 10 | 0.17 | 40 | 0.67 |
| 15 | 0.25 | 45 | 0.75 |
| 20 | 0.33 | 50 | 0.83 |
| 25 | 0.42 | 55 | 0.92 |
| 30 | 0.50 | 60 | 1.00 |
Three payroll examples
1. A single shift
Clock in 8:00 AM, clock out 4:45 PM, rate $22.00. That is 8 hours 45 minutes, and 45 ÷ 60 = 0.75.
8.75 × $22.00 = $192.50
2. A weekly timesheet
| Day | Clock time | Decimal |
|---|---|---|
| Monday | 8h 15m | 8.25 |
| Tuesday | 7h 45m | 7.75 |
| Wednesday | 8h 30m | 8.50 |
| Thursday | 9h 00m | 9.00 |
| Friday | 6h 50m | 6.83 |
| Total | 40h 20m | 40.33 |
At $25.00 per hour, 40.33 × $25.00 = $1,008.25. Typing 40.20 instead would underpay $3.25 every week.
3. Daily overtime in California
California requires 1.5 times pay for hours over 8 in a workday. An employee works 9 hours 15 minutes at $20 per hour: 8.00 regular hours and 1.25 overtime hours.
Regular: 8.00 × $20 = $160.00. Overtime: 1.25 × $30 = $37.50.
Total: $197.50
Federal law only requires overtime after 40 hours in a workweek. Check which rules apply in your state, or use the overtime pay guide.
Doing it in Excel or Google Sheets
With clock in times in column A and clock out times in column B, one formula gives decimal hours. Format the result cell as Number, not Time.
// End time minus start time, times 24 hours =(B2-A2)*24 // Minutes only, in cell A1 =A1/60 // Round the weekly total to 2 places =ROUND(SUM(C2:C6),2)Common mistakes to avoid
- Treating minutes like cents. 8:30 is 8.50, not 8.30.
- Rounding every entry too early. Round the total, not each shift, when totals must match exactly.
- Leaving the cell formatted as Time. Excel will display 0.75 as 18:00 until the format is changed to Number.
- Forgetting unpaid breaks. Subtract unpaid meal breaks before you convert, not after.
Frequently asked questions
How do I convert 7 hours 45 minutes to decimal?
Divide 45 by 60 to get 0.75, then add the 7 hours. 7 hours 45 minutes is 7.75 decimal hours.
Why can’t I just type 8.30 for 8 hours 30 minutes?
Because 30 minutes is half an hour, not three tenths of one. 8 hours 30 minutes is 8.50 decimal hours. Typing 8.30 underpays 12 minutes.
What Excel formula converts clock times to decimal hours?
Subtract the start time from the end time and multiply by 24, for example =(B2-A2)*24, then format the cell as a Number rather than Time.
Should I round each shift or only the weekly total?
Rounding only the weekly total keeps the result closest to the time actually worked. If you round each shift, use at least two decimal places.
Keep going
This guide is general information about calculating hours and pay. It is not legal or payroll advice. Wage and overtime rules vary by state and employer, so confirm with your payroll provider or state labor department.
Content Lead, Anchor AI Tools, California, USA. Spotted an error? Email hello@anchoraitools.com and it will be checked and corrected. See our editorial standards.