Percentage Increase Formula:
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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.
The calculator uses the percentage increase formula:
Where:
Explanation: The formula calculates the difference between the new and old rates, then shows this difference as a percentage of the original rate.
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.
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.
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.