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Pay Raise Calculator

Last updated: July 2026

Calculate the dollar and percentage impact of a salary increase.

Pay increase

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  • Annual increase: —
  • Monthly gross increase: —
On this page

Quick summary: Calculate the dollar and percentage impact of a salary increase. Enter the requested values, calculate, review the result, and compare more than one realistic scenario before making a decision.

Reviewed July 22, 2026 • Estimated reading time: 6 minutes
Read the complete guide

What this calculator does

The Pay Raise Calculator estimates a new salary or wage after a percentage or fixed increase and shows the change in earnings. It can help compare compensation offers or budget the effect of a raise.

How to use the calculator step by step

Enter the current pay amount and either the raise percentage or increase amount requested by the form. Keep the pay period consistent, such as hourly with hourly or annual with annual.

How the calculation works

For a percentage raise, new pay equals current pay multiplied by one plus the raise rate. A salary of 50,000 with a 6% raise becomes 53,000, an increase of 3,000 per year.

Worked example and scenario testing

An hourly wage of 20 increased by 7.5% becomes 21.50 per hour. At 40 hours per week for 52 weeks, that difference represents about 3,120 additional gross annual pay before taxes and deductions.

How to interpret your result

The result normally represents gross pay. The increase in take-home pay can be smaller because taxes, benefits, retirement contributions, and other deductions may change.

Accuracy, assumptions, and limitations

The calculator does not automatically account for overtime, bonuses, commissions, taxes, benefit costs, unpaid leave, or changes in scheduled hours.

Common mistakes to avoid

Do not mix annual salary and monthly raise amounts without converting periods. Also distinguish a 5% raise from an increase of five percentage points in another rate.

Privacy and browser-based calculations

Only compensation figures are required. Avoid entering employer IDs, employee numbers, or payroll account information.

Frequently asked questions