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Calculate Percentage Increase To Salary

Percentage Increase Formula:

\[ \text{Percentage Increase} = \left( \frac{\text{New Salary} - \text{Old Salary}}{\text{Old Salary}} \right) \times 100 \]

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1. What is Percentage Increase?

Percentage increase measures how much a value has grown relative to its original amount, expressed as a percentage. For salaries, it shows the relative growth in compensation over time.

2. How Does the Calculator Work?

The calculator uses the percentage increase formula:

\[ \text{Percentage Increase} = \left( \frac{\text{New Salary} - \text{Old Salary}}{\text{Old Salary}} \right) \times 100 \]

Where:

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

3. Importance of Salary Increase Calculation

Details: Understanding percentage increases helps in salary negotiations, evaluating job offers, and tracking compensation growth over time. It provides a standardized way to compare raises of different magnitudes.

4. Using the Calculator

Tips: Enter both salary amounts in the same currency without commas. The old salary should be the previous amount, and the new salary the current or proposed amount.

5. Frequently Asked Questions (FAQ)

Q1: What's considered a good percentage increase?
A: Typical annual raises are 2-5%. Promotions may bring 10-20%. Job changes often yield 15-30% increases, but this varies by industry and location.

Q2: How does this differ from percentage difference?
A: Percentage increase is always relative to the original (old) value, while percentage difference compares two values relative to their average.

Q3: Should I include bonuses in salary calculations?
A: For comprehensive comparisons, include all compensation. For base salary analysis, use just the fixed amounts.

Q4: What if my salary decreased?
A: The calculator will show a negative percentage, indicating a decrease rather than an increase.

Q5: How does inflation affect these calculations?
A: For real (inflation-adjusted) increases, adjust the old salary for inflation first, then calculate the percentage increase.

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