Pay Raise Calculator
Calculate your new pay after a raise — enter your current pay and the raise as a percent or a dollar amount to see your new salary, the increase per paycheck, and the real value after inflation.
How a pay raise is calculated
A raise can be quoted two ways — as a percentage or a flat dollar amount — and this calculator handles both. For a percent raise, multiply your current pay by 1 plus the raise: a 4% raise means new pay = current × 1.04. For a dollar raise, just add the amount. Either way the calculator also shows the raise the other way around, so you can compare offers on equal footing, and breaks the increase down per year, per month and per paycheck.
new pay = current × (1 + raise%), raise% = raise ÷ current pay × 100
For example, a $60,000 salary with a 4% raise gains $2,400, bringing it to $62,400 — about $200 more a month, or $92 per bi-weekly paycheck. Working with an hourly rate? Switch the “per” toggle and enter your weekly hours, and the calculator annualizes it for you.
Is your raise keeping up with inflation?
A raise only makes you better off if it beats inflation. A 3% raise in a year when prices rose 4% is a real pay cut — you take home more dollars but they buy less. Turn on the inflation option and the calculator shows the real raise, using real% = (1 + raise%) ÷ (1 + inflation%) − 1. If the number is negative, the raise is behind inflation.
This shows gross pay; a raise is trimmed by taxes, so your take-home increase is smaller — see the paycheck calculator for the after-tax figure and the income tax calculator for the tax on the extra income. For raises framed around a starting salary, see the salary increase calculator, and for extra hours the overtime calculator.
Frequently asked questions
How do I calculate my pay raise percentage?
Divide the dollar amount of the raise by your old pay, then multiply by 100. If your salary goes from $60,000 to $62,400, that is a $2,400 raise ÷ $60,000 = 4%. Enter the raise as a percent or a dollar amount above and the calculator shows the percentage either way.
What is a good annual raise?
A typical annual raise in the US runs about 3–5%, which is meant to cover cost-of-living increases and a bit of merit. Anything below the inflation rate is effectively a pay cut in real terms, and promotions or job changes often bring 10–20%. Turn on the inflation option above to see whether a raise keeps up.
How much is a 3% raise?
A 3% raise multiplies your pay by 1.03. On a $50,000 salary that is $1,500 more a year (about $58 per bi-weekly paycheck), bringing you to $51,500. On $70,000 it is $2,100. Enter your own pay above for the exact figures.
Does this show my take-home pay?
No — it shows your gross pay before taxes. A raise is partly offset by federal, state and FICA withholding, so your take-home increase is smaller than the gross raise. Use the paycheck calculator to see the after-tax amount.