Our Calculation Methodology

When you use a calculator to make financial decisions, you need to trust the results. Our methodology pages provide complete transparency — every formula, data source, assumption, and step-by-step process is documented so you can verify the math yourself. This level of openness is especially important for tools that influence real financial decisions like salary negotiations, investment projections, and tax planning.

Our salary calculation methodology explains exactly how we convert between hourly, weekly, biweekly, monthly, and annual rates, including how federal and state tax brackets are applied, FICA contributions (Social Security 6.2% + Medicare 1.45%) are calculated, and standard deductions are factored in. We document which tax year's rates are used and when they were last updated, so you always know you're working with current figures.

The investment growth formulas methodology covers compound interest (A = P(1 + r/n)^(nt)), future value with regular contributions, inflation-adjusted real returns, and CAGR (Compound Annual Growth Rate) calculations. We explain the difference between nominal and real returns, how dividend reinvestment affects total return calculations, and the assumptions behind our retirement projections — including withdrawal rate methodology based on the Trinity Study.

For creator economy metrics, the RPM calculation methodology documents how Revenue Per Mille is calculated across different platforms, what counts as a "view" on YouTube versus TikTok versus a blog, and how we normalize data across sources with different reporting standards. The gold-silver ratio analysis explains our historical data sources, how we handle missing data points, and the statistical methods used to identify trend patterns. Every methodology page includes the exact formulas used in our calculators with worked examples.