Percentage Increase Formula:
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The salary percentage increase measures how much a salary has grown compared to its original amount. For UK government employees, this calculation helps understand pay rises, promotions, or cost-of-living adjustments.
The calculator uses the percentage increase formula:
Where:
Explanation: The formula calculates the relative change between two salary figures, expressed as a percentage of the original salary.
Details: Understanding salary increases is crucial for UK government workers to evaluate pay awards, compare with inflation rates, and plan personal finances. The civil service often uses percentage-based pay rises.
Tips: Enter both salary amounts in GBP (pounds sterling). The old salary should be the previous amount, and the new salary the current or proposed amount. Both values must be positive numbers.
Q1: How does this differ from absolute increase?
A: Absolute increase shows the pound difference (£), while percentage increase shows the relative change, which is more meaningful for comparison.
Q2: What's a typical UK government pay increase?
A: Varies by year and pay grade, but typically 2-5% for annual cost-of-living adjustments, with higher percentages for promotions.
Q3: Should bonuses be included?
A: For accurate comparison, use base salaries. Bonuses and one-time payments can distort the percentage calculation.
Q4: How does this compare to inflation?
A: Subtract inflation rate from your percentage increase to determine real terms pay change (e.g., 5% increase with 3% inflation = 2% real increase).
Q5: Are London weighting allowances included?
A: For accurate comparisons, calculate with and without any regional allowances to understand different components of your pay package.