How to use this raise calculator
- Current annual salary: your gross yearly pay before tax.
- Raise: enter it as a percentage or switch to dollars. Switching keeps the same raise and converts the number for you.
You'll see your new salary and exactly how much more you'll earn per year, per month and per bi-weekly paycheck, along with your new monthly and bi-weekly pay.
How a raise is calculated
Worked example
A raise of $2,500 on the same salary is about 4.17%, which gives a new salary of $62,500.
Raises compound over a career
Each raise is calculated on a salary that already includes the previous ones, so small differences grow over time. Starting from $60,000, ten years of raises at the same rate each year would give:
| Yearly raise | Salary after 10 years |
|---|---|
| 3% | $80,634.98 |
| 4% | $88,814.66 |
One extra percentage point a year adds more than $8,000 to the yearly salary after ten years, before counting what that higher pay could earn if saved.
Real raises vs inflation
A raise only increases what you can buy if it's bigger than inflation. The difference is your real raise.
If inflation is higher than your raise, your purchasing power falls even though your salary goes up. That's a useful point to bring to a salary conversation.
Tips for negotiating a raise
- Know your numbers. Use this calculator to see what a percentage means in dollars per month; concrete numbers are easier to discuss.
- Research market pay. Look at salary data for your role, experience and location so your request is grounded in evidence.
- Show your impact. Bring examples of results you've delivered, responsibilities you've taken on and skills you've added since your last review.
- Consider the whole package. If the budget for salary is fixed, ask about extra paid time off, flexible hours, training or a review date.
- Time it well. Requests made around performance reviews or after a clear success are often easier to approve.
Comparing a raise with a new job offer
If you're weighing a raise against an offer from another employer, put both on the same footing. Enter your current salary here with the raise you've been offered, then compare the new salary with the outside offer. Look at the percentage too: a move that pays 10% more is a very different decision from one that pays 2% more. Then compare everything that isn't salary, such as paid time off, retirement matching, health benefits, commute and working hours. Our salary to hourly calculator helps here, because a higher salary with longer hours can be worth less per hour than it looks.
What this calculator doesn't include
All amounts are gross pay. Income tax, payroll taxes and deductions such as retirement contributions or health insurance reduce what reaches your bank account, and some of them rise with your salary. The calculator also doesn't include bonuses, equity or changes to benefits. If you're paid twice a month rather than every two weeks, divide the yearly increase by 24 for your per-paycheck figure.