1. What is Percentage Increase in Hourly Pay?

The percentage increase in hourly pay measures how much a wage has grown compared to its original amount. It's a key metric for understanding raises, comparing job offers, or tracking wage growth over time.

2. How Does the Calculator Work?

The calculator uses the percentage increase formula:

Where:

• New Hourly Pay — Current or proposed hourly wage
• Old Hourly Pay — Previous hourly wage

Explanation: The formula calculates the relative change between the new and old pay rates, expressed as a percentage of the original pay.

3. Importance of Calculating Pay Increases

Details: Understanding percentage increases helps employees evaluate raises, compare job offers, and track wage growth over time. For employers, it helps assess compensation changes and budget for payroll increases.

4. Using the Calculator

Tips: Enter both the old and new hourly pay amounts in the same currency. The calculator will show the percentage increase between the two amounts.

5. Frequently Asked Questions (FAQ)

Q1: What counts as a good pay increase?
A: Typically, 3-5% is considered a standard annual raise, while 10%+ is substantial. However, this varies by industry and location.

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

Q3: Should I include bonuses in hourly pay?
A: For pure hourly wage comparison, use base pay only. For total compensation, you could calculate an equivalent hourly rate including bonuses.

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

Q5: How often should I calculate my pay increases?
A: It's useful to calculate after any pay change, and annually to track your wage growth over time.