1. What is Salary Percentage Increase?

The salary percentage increase measures how much a salary has grown relative to its original amount. It's a common metric used to evaluate raises, promotions, or job changes.

2. How Does the Calculator Work?

The calculator uses the percentage increase formula:

Where:

• New Salary — The current or proposed salary amount
• Old Salary — The previous salary amount

Explanation: The formula calculates the difference between the new and old salary, divides by the old salary to get the relative increase, then multiplies by 100 to convert to a percentage.

3. Importance of Salary Increase Calculation

Details: Understanding your salary increase percentage helps in career planning, negotiation, and financial forecasting. It provides a standardized way to compare raises of different magnitudes.

4. Using the Calculator

Tips: Enter both salary amounts in the same currency (without commas). The old salary should be your previous amount, and the new salary your current or proposed amount.

5. Frequently Asked Questions (FAQ)

Q1: What's considered a good salary increase?
A: Typically, 3-5% is standard for annual raises, while 10-20% or more may indicate a promotion or significant career advancement.

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

Q3: Should I include bonuses in this calculation?
A: For total compensation comparison, yes. For base salary comparison, no. Be consistent in what you include.

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

Q5: How does this relate to inflation?
A: To understand real wage growth, compare your percentage increase to inflation rates during the same period.