1. What is Year Over Year Salary Increase?

Year Over Year (YoY) salary increase measures the percentage change in salary from one year to the next. It's a key metric for understanding compensation growth and comparing it to inflation or industry standards.

2. How Does the Calculator Work?

The calculator uses the YoY percentage formula:

Where:

• Current Year Salary — Your current annual salary
• Previous Year Salary — Your salary from the previous year

Explanation: The formula calculates the relative change between two salary figures, expressed as a percentage of the original amount.

3. Importance of Salary Growth Measurement

Details: Tracking YoY salary increases helps individuals assess their career progression, negotiate raises, and ensure their compensation keeps pace with inflation and market rates.

4. Using the Calculator

Tips: Enter both salary amounts in the same currency (without commas). The calculator will show the percentage increase (or decrease if negative).

5. Frequently Asked Questions (FAQ)

Q1: What's considered a good YoY salary increase?
A: Typically 3-5% matches inflation, while 5-10% indicates strong growth. Above 10% suggests promotion or significant market adjustment.

Q2: Should bonuses be included in this calculation?
A: For total compensation analysis, yes. For base salary comparison, no. Be consistent in what you include year-to-year.

Q3: How does this differ from compound annual growth rate (CAGR)?
A: YoY shows change between two specific years. CAGR calculates average annual growth over multiple years.

Q4: What if my previous salary was zero?
A: The calculation isn't possible (division by zero). This calculator requires positive values for both salaries.

Q5: How should I interpret negative results?
A: A negative percentage indicates your salary decreased compared to the previous year.