1. What is the Pay Raise Calculator?

The Pay Raise Calculator helps you determine your new salary after a percentage-based raise. It calculates the exact amount of your increase and your new total compensation.

2. How Does the Calculator Work?

The calculator uses the pay raise formula:

Where:

• Old Pay — Your current salary before the raise
• Rate — The percentage increase in your pay

Explanation: The formula multiplies your current pay by 1 plus the raise percentage (converted from percentage to decimal).

3. Importance of Pay Raise Calculation

Details: Understanding your new pay helps with financial planning, budgeting, and evaluating job offers or promotions.

4. Using the Calculator

Tips: Enter your current salary and the raise percentage. Both values must be positive numbers.

5. Frequently Asked Questions (FAQ)

Q1: How do I calculate my raise amount?
A: Subtract your old pay from the new pay calculated by this tool.

Q2: Does this work for hourly wages?
A: Yes, you can use either annual salary or hourly wage as your "Old Pay."

Q3: What about multiple raises?
A: For consecutive raises, use the new pay as the old pay for the next calculation.

Q4: How does this differ from a bonus?
A: A raise increases your base pay permanently, while a bonus is a one-time payment.

Q5: Can I calculate pay cuts with this?
A: Yes, enter a negative percentage for the rate (e.g., -5 for a 5% pay cut).