1. What is Percentage Increase?

Percentage increase measures how much a value has grown relative to its original amount, expressed as a percentage. In salary terms, it shows the relative growth from your old pay to your new pay.

2. How Does the Calculator Work?

The calculator uses the percentage increase formula:

Where:

• New Pay — Your current or proposed salary
• Old Pay — Your previous salary

Explanation: The formula calculates the difference between new and old pay, divides by the old pay to get the relative increase, then multiplies by 100 to convert to a percentage.

3. Importance of Calculating Pay Increases

Details: Understanding percentage increases helps in salary negotiations, comparing job offers, tracking career progression, and financial planning.

4. Using the Calculator

Tips: Enter both old and new pay amounts in the same currency. The calculator works with any currency as it only compares relative values.

5. Frequently Asked Questions (FAQ)

Q1: What's considered a good percentage increase?
A: Typically, 3-5% is a standard annual raise, while 10%+ is considered significant. Job changes often bring 15-30% increases.

Q2: How does this differ from percentage points?
A: Percentage increase is relative to the original amount, while percentage points are absolute differences between percentages.

Q3: Should I include bonuses in pay calculations?
A: For complete comparisons, include all compensation. You might calculate separate increases for base pay and total compensation.

Q4: How do I calculate decreases?
A: The same formula works - the result will be negative if new pay is less than old pay.

Q5: Can I compare multiple increases?
A: Yes, percentage increases allow direct comparison of raises across different salary levels.