Pay Raise Calculator: Determine Your New Salary
Easily calculate your new salary and understand your raise with SBJ Global's pay raise calculator.
Pay Raise Calculator
Enter your current salary and raise details to calculate your new salary.
Understanding Pay Raises
A pay raise is an increase in an employee's base salary or hourly wage. Raises are typically awarded based on performance, cost of living adjustments, or market conditions. Understanding how raises impact your income is essential for financial planning.
Methods for Calculating a Raise
There are a couple of common methods to calculate a salary increase:
- Percentage Increase: The raise is calculated as a percentage of your current salary.
- Flat Amount: A fixed dollar amount is added to your current salary.
How Our Pay Raise Calculator Works
Our calculator simplifies the process of determining your new salary after a raise. Here’s how to use it:
- Enter Current Salary: Input your current annual salary.
- Enter Raise Percentage: Specify the percentage of your raise.
- Click Calculate: The calculator processes these inputs and displays your new salary and raise amount.
The Pay Raise Formula
The formula used to calculate a new salary after a percentage-based raise is:
New Salary = Current Salary + (Current Salary * Raise Percentage / 100)
Example Calculation
If your current salary is $50,000 and you receive a 3% raise, your new salary would be calculated as follows:
New Salary = $50,000 + ($50,000 * 3 / 100) = $50,000 + $1,500 = $51,500
Therefore, your new salary is $51,500.
Understanding the Increase Percentage Method
Sometimes you might only know your old and new salaries, and want to calculate the raise percentage. In this case, the formula is:
Raise Percentage = ((New Salary - Old Salary) / Old Salary) * 100
For example, if your old salary was $50,000 and your new salary is $52,000, the raise percentage is:
Raise Percentage = (($52,000 - $50,000) / $50,000) * 100 = 4%
Flat Amount Raise
If you receive a flat amount raise, the calculation is simple:
New Salary = Old Salary + Raise Amount
For example, if your old salary was $50,000 and you receive a flat raise of $2,000, your new salary is $52,000.