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Percent Increase Salary Calculator Hourly

Percentage Increase Formula:

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

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1. What is Hourly Salary Percentage Increase?

The hourly salary percentage increase measures how much a wage has grown from an old rate to a new rate, expressed as a percentage of the original wage. This calculation helps employees understand their pay raises in relative terms.

2. How Does the Calculator Work?

The calculator uses the percentage increase formula:

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

Where:

Explanation: The formula calculates the difference between the new and old rates, then shows this difference as a percentage of the original rate.

3. Importance of Calculating Pay Increases

Details: Understanding percentage increases helps employees evaluate job offers, raises, and cost-of-living adjustments. It also helps employers standardize raise amounts across different pay levels.

4. Using the Calculator

Tips: Enter both hourly rates in the same currency. The old rate must be greater than zero. Results show the percentage increase from old to new rate.

5. Frequently Asked Questions (FAQ)

Q1: What's considered a good percentage increase?
A: Typical annual raises range 2-5%. Promotions or job changes may bring 10-20% or more. Above inflation (typically 2-3%) maintains purchasing power.

Q2: How does this differ from absolute increase?
A: Percentage increase shows relative change, while absolute increase shows the direct dollar difference (New Rate - Old Rate).

Q3: Should I include benefits in this calculation?
A: This calculator only compares base hourly wages. For total compensation comparisons, factor in benefits separately.

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

Q5: How often should I calculate this?
A: Calculate with each pay change, annually to track career progress, and when comparing job offers.

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