Raise calculator
Enter your current salary and the raise percentage to see the new salary, the annual increase in dollars and what it adds to each month.
Gross pay before tax. Bonuses, equity and benefits are not included.
How this calculator works
A percentage raise is calculated on the current annual salary: multiply it by the raise percentage and add the result. A 5% raise on $52,000 is $2,600 a year, taking the salary to $54,600, or about $217 more a month before tax.
Two things are worth knowing when you negotiate. First, a raise compounds: the next percentage increase applies to the new, higher base, so earlier raises are worth more over a career than later ones of the same size. Second, the spending value of a raise is reduced by tax and by inflation. If prices rose 3% and your raise was 3%, you have held your position, not improved it — and moving into a higher tax bracket means the take-home increase is smaller than the gross increase.
The formula
New salary = current salary × (1 + raise% ÷ 100). The annual increase is the difference, and the monthly figures divide by 12:
new salary = salary · (1 + r)
increase = salary · r
new monthly = new salary / 12For a pay cut, enter a negative percentage — the same formula applies.
Worked example
A 5% raise on 52,000 takes the salary to $54,600, an increase of $2,600.00 a year. Monthly pay rises from $4,333.33 to $4,550.00 before tax.
Common mistakes
- Confusing the raise with the new salary. 5% is the increase, not the new figure. The new salary is 105% of the old one.
- Ignoring tax. If the raise moves income into a higher bracket only the extra income is taxed at that rate, but the take-home gain is still smaller than the gross increase.
- Not adjusting for inflation. A raise below the inflation rate is a pay cut in real terms; check the inflation calculator when the number feels small.
Frequently asked questions
How do I calculate a 5% raise?
Multiply the current salary by 0.05 to get the increase, then add it: $52,000 × 0.05 = $2,600, so the new salary is $54,600.
Is a 3% raise good?
3% is a common annual cost-of-living adjustment. Whether it is good depends on inflation and your performance: a raise at or below inflation keeps real pay flat, so many negotiators target above-inflation increases.
How do I ask for a raise?
Bring evidence of market pay for your role, a record of results and the added scope you have taken on. Ask for a specific number rather than a range, and be ready to discuss total compensation, not just base salary.
Related calculators
Hourly to Salary CalculatorSalary to Hourly CalculatorInflation Calculator · All Salary & Tax calculators