Pay Raise Calculator
Enter your current pay and raise percentage to see your new salary in every pay period. Or enter a target to find the exact raise you need.
💼 What is a Pay Raise Calculator?
A pay raise calculator computes your new salary, new hourly rate, and the exact dollar increase in each pay period after a percentage raise. You enter your current compensation and the raise percentage, and the tool instantly converts the result into annual, monthly, biweekly, and hourly figures so you can see the full impact on your take-home pay.
Common use cases include evaluating a job offer with a stated percentage increase, comparing two offers with different base salaries, negotiating a merit raise by showing your manager the exact dollar figures, calculating whether a cost-of-living adjustment keeps pace with inflation, and understanding how a series of annual raises will change your compensation over time. The Target Salary mode solves the reverse problem: you enter your current salary and the salary you want, and the tool tells you the exact raise percentage to request.
A common misconception is that a "good" raise percentage is universally defined. In practice, what counts as a competitive raise depends heavily on inflation, industry, location, and performance. A 4% raise is roughly inflation-neutral when the CPI is 4%. A 10% raise represents real purchasing power growth only if it exceeds inflation. Employees who change employers typically receive 10 to 15% more than their current salary, which is why the job market comparison is often the strongest negotiating tool available.
This calculator assumes the raise is applied to the base salary only and does not include bonuses, benefits, or other compensation. For total compensation comparisons including equity, benefits, and retirement contributions, use the annual dollar figures as inputs to a broader compensation analysis. The tool supports hourly, weekly, biweekly, monthly, and annual pay entry so workers at every pay frequency can instantly see the impact of any raise.
📐 Formula
📖 How to Use This Calculator
Steps
💡 Example Calculations
Example 1 - Standard 5% Annual Merit Raise on $65,000 Salary
An employee earning $65,000 per year receives a 5% merit raise. What is the new compensation?
Example 2 - Hourly Worker Getting a $2 per Hour Raise
An hourly worker earns $18/hour and gets a raise to $20/hour. What percentage raise is that?
Example 3 - Finding the Raise Needed to Reach $90,000 from $78,000
A software developer earns $78,000 and wants to negotiate up to $90,000 at their next review. What raise percentage is needed?
❓ Frequently Asked Questions
🔗 Related Calculators
How much is a 10% raise in dollars on a $60,000 salary?
A 10% raise on $60,000 adds $6,000 per year, bringing the new annual salary to $66,000. That translates to $500 more per month, $230.77 more per biweekly paycheck, or about $2.88 more per hour (assuming 2,080 working hours per year). Enter your exact figures above for an instant calculation.
What percentage raise do I need to go from $50,000 to $60,000?
To go from $50,000 to $60,000, you need a 20% raise. The formula is (60,000 - 50,000) / 50,000 x 100 = 20%. Use the Target Salary mode on this calculator to instantly find the percentage needed for any current-to-target salary pair without doing the math manually.
How do I calculate my new salary after a raise?
Multiply your current salary by (1 + raise percentage / 100). For a 7% raise on $75,000: $75,000 x 1.07 = $80,250. This formula works for any pay period. For hourly workers, first convert to annual by multiplying the hourly rate by 2,080 hours, apply the raise, then divide back.
How much is a 5% raise on a $50,000 salary?
A 5% raise on $50,000 adds $2,500 per year, bringing the new annual salary to $52,500. That works out to $208.33 more per month, $96.15 more per biweekly paycheck, or approximately $1.20 more per hour (assuming 2,080 working hours per year).
How do I calculate a raise as a percentage?
Raise percentage = (new salary minus old salary) / old salary times 100. For example, going from $55,000 to $59,400: (59,400 minus 55,000) / 55,000 times 100 = 4,400 / 55,000 times 100 = 8%. Use Target Salary mode in this calculator to find the percentage automatically for any current-to-target salary pair.
Is a 3% raise good in 2025?
Whether a 3% raise is good depends on inflation and market rates. In 2025, US inflation is running around 2 to 3%, so a 3% raise roughly maintains your real purchasing power. However, the median raise for job-changers is 10 to 15%. If your goal is to grow real income significantly, a 3% raise effectively keeps you flat after inflation. Benchmark your raise against the Consumer Price Index (CPI) and market salaries for your role.
How much does my hourly rate increase after a raise?
Divide the annual raise amount by 2,080 (the standard number of working hours in a year for a full-time employee). For a $4,000 annual raise: hourly increase = 4,000 / 2,080 = $1.92 per hour. Alternatively, if you know the raise percentage, multiply your current hourly rate directly: a 5% raise on $25/hr gives a new rate of $26.25/hr, an increase of $1.25/hr.
What is the difference between a pay raise and a cost-of-living adjustment (COLA)?
A merit raise rewards individual performance and typically varies by employee. A cost-of-living adjustment (COLA) is a uniform increase applied to all employees to offset inflation, preserving purchasing power without rewarding performance. Both are calculated identically: new salary = current salary times (1 + rate / 100). If your employer gives both in the same year, add the percentages together for a combined figure.
How do I convert a raise into monthly pay?
Divide the new annual salary by 12. For example, a 6% raise on $70,000 gives a new salary of $74,200. Monthly pay = 74,200 / 12 = $6,183.33. If you are paid biweekly (26 times per year), use new salary / 26. For semi-monthly (24 times per year), use new salary / 24. This calculator shows all four breakdowns simultaneously.
My employer gave me a raise but my take-home pay barely changed. Why?
A pay raise increases gross income, which can push you into a higher marginal tax bracket for the portion above the bracket threshold. However, marginal tax brackets only apply to the income above each threshold, not your entire salary. More likely causes are: increased health insurance premiums, higher 401k contributions tied to salary, or Social Security and Medicare taxes increasing proportionally with income. Use a paycheck calculator after applying your raise to estimate the actual net change.