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Salary Hike (Raise) Calculator
A salary hike calculator — also called a raise calculator — shows what a pay rise is really worth. Enter your current pay — annual salary, monthly pay, or hourly wage — and the hike percentage, and it works out your new pay at every frequency: per year, per month, per week, and per hour.
Enter your pay per period — the result shows your new pay at every frequency.
| Current salary | |
| Yearly increase | |
| New monthly salary | |
| Monthly increase | |
| New biweekly pay | |
| New weekly pay | |
| New hourly wage |
How it works
A salary hike, or raise, is usually quoted as a percentage of your current pay. A 5% raise on a $60,000 salary is not $5,000 — it is 5% of $60,000, which is $3,000 a year. That is why a percentage can sound generous while the monthly difference feels small, and why it helps to convert any offer into dollars per month before you judge it.
Your current annual salary is your gross yearly pay before tax, not including bonuses or overtime unless you want to count them. The hike percentage is the raise you have been offered, or the one you want to ask for. The calculator applies that percentage to your salary to find the increase, then adds it to your current salary to find your new pay.
The formulas are simple:
New salary = Current salary + yearly increase
Monthly increase = Yearly increase ÷ 12
Converting pay: hourly wage × 2,080 = annual salary (40 hours × 52 weeks); weekly pay × 52, biweekly pay × 26, and monthly pay × 12 give the same annual figure.
Three things are worth checking before you accept a raise. First, compare the percentage with inflation: a 3% raise when prices rose 4% is a pay cut in real terms, because your money buys less than it did. Second, remember that a raise is usually quoted before tax, so the extra money in your take-home pay will be smaller after tax. Third, think about compounding: a higher salary becomes the base for next year's raise, so negotiating a bigger percentage now pays off again every year after. A $3,000 raise this year is not just $3,000 — it is $3,000 this year, and a larger base for every raise that follows.
Worked example
Jordan earns $60,000 a year and is offered a 5% raise. How much is that really worth?
The yearly increase is $60,000 × 0.05 = $3,000 a year. The new salary is $60,000 + $3,000 = $63,000 a year.
Per month, the increase is $3,000 ÷ 12 = $250 a month, and the new monthly salary is $63,000 ÷ 12 = $5,250 a month, up from $5,000. That $250 a month is the number to compare with your rent, bills, and savings goals — and remember it is before tax, so the take-home increase will be a little less.
FAQ
What is a good salary hike percentage?
It depends on your role, your performance, and inflation. Many yearly raises fall between 3% and 5%, while a promotion or a move to a new job often brings 10% or more. Always compare the offer with inflation and with pay for similar roles.
How do I calculate a raise as a percentage?
Divide the pay increase by your current salary and multiply by 100. For example, a $3,000 increase on a $60,000 salary is $3,000 ÷ $60,000 × 100 = 5%.
Is a raise calculator the same as a salary hike calculator?
Yes. Raise calculator and salary hike calculator mean the same thing: a tool that turns a percentage raise into your new salary in dollars per year and per month.
Does a raise increase my take-home pay by the full amount?
No. Raises are quoted before tax, so tax takes part of the increase. Your take-home increase will be smaller than the gross increase shown here.
Should I compare a raise with inflation?
Yes. If prices rose 4% and your raise is 3%, your pay buys less than it did before. A raise only improves your spending power when it beats inflation.
How do I convert an hourly wage to an annual salary?
Multiply the hourly wage by 2,080, which is 40 hours a week times 52 weeks. A $30 hourly wage is $62,400 a year, and a 5% raise takes it to $65,520 a year, or $31.50 an hour.