1. What is Salary Percentage Increase?

The salary percentage increase measures how much a salary has grown compared to its original amount. It's a key metric for understanding pay raises, compensation adjustments, and career progression.

2. How Does the Calculator Work?

The calculator uses the percentage increase formula:

Where:

• New Salary — Current or proposed salary amount
• Old Salary — Previous or original salary amount

Explanation: The formula calculates the difference between the new and old salary, divides by the old salary to get a ratio, then converts to percentage by multiplying by 100.

3. Importance of Calculating Salary Increases

Details: Understanding salary increases helps in career planning, negotiation, and financial forecasting. It allows comparison of raises across different salary levels.

4. Using the Calculator

Tips: Enter both salary amounts in the same currency (without commas or symbols). The calculator works with any currency as long as both values are in the same unit.

5. Frequently Asked Questions (FAQ)

Q1: What's considered a good salary increase?
A: Typical annual raises range 2-5%. Promotions may bring 10-20%. Exceptional cases may see higher increases.

Q2: How does percentage increase compare to absolute increase?
A: Percentage shows relative growth, while absolute shows dollar amount. A $5k raise means more to someone earning $50k (10%) than $100k (5%).

Q3: Can the percentage be negative?
A: Yes, if new salary is lower than old salary, the result will be negative, indicating a pay decrease.

Q4: Should I include bonuses in salary calculations?
A: For pure salary comparison, exclude bonuses. For total compensation comparison, include all earnings.

Q5: How often should I calculate my salary increase?
A: Annually for standard raises, or whenever considering a job change or promotion to evaluate offers.