Raise Calculator

Work out what a raise means in dollars: your new pay after a percentage raise, or the percentage when you know the new figure, shown per hour, paycheck, month and year.

Before taxes, for the pay period chosen above.

Used to convert between hourly and yearly pay (52 paid weeks).

Enter the inflation rate over the same period to see your raise after inflation.

New annual salary
$62,400.00
Raise amount
$2,400.00Per year.
Raise percentage
4%
More per month
$200.00
  • All figures are before taxes and deductions; take-home pay rises by less.
  • Hourly figures assume 40 hours a week for 52 paid weeks. Paychecks assume 52 weekly, 26 biweekly, 24 semi-monthly or 12 monthly a year.

Before and after, every pay period

PeriodCurrentNewChange
Hourly$28.85$30.00$1.15
Weekly$1,153.85$1,200.00$46.15
Biweekly (26 paychecks)$2,307.69$2,400.00$92.31
Semi-monthly (24 paychecks)$2,500.00$2,600.00$100.00
Monthly$5,000.00$5,200.00$200.00
Annual salary$60,000.00$62,400.00$2,400.00

How to calculate a raise

A percentage raise multiplies your current pay by 1 plus the raise as a decimal. A 4% raise on $60,000 is $60,000 × 1.04 = $62,400. If you already know the new number, the raise percentage is the new pay divided by the old pay, minus 1, times 100.

The percentage is the same whether you look at it per hour, per paycheck or per year, but the dollar amounts aren't. The table under the result shows what the raise means for every pay period, which helps when you're budgeting from your paycheck rather than your salary.

Your raise after inflation

A raise only increases what you can buy if it beats inflation. To find the real raise, divide 1 plus your raise by 1 plus the inflation rate and subtract 1. With a 4% raise and prices up 3%, your buying power rises about 0.97%, not 4% minus 3% exactly. If inflation is higher than your raise, your real pay fell even though the number went up.

The Bureau of Labor Statistics publishes the Consumer Price Index and a CPI inflation calculator; use the change over the year since your last raise. To see how pay is changing more broadly, BLS's Employment Cost Index tracks wages and salaries across the economy.

Comparing raises and offers

Percentages compound. Two 4% raises in a row add 8.16%, not 8%, because the second raise is figured on the higher pay. And a smaller percentage on a bigger base can be more money: 3% of $80,000 ($2,400) is the same as 4% of $60,000.

If you're weighing a raise against a new job, compare the whole package (health insurance costs, retirement match, paid time off) as well as pay. For hourly workers, a change in scheduled hours can matter as much as the rate; set the hours per week to match.

The raise formulas

New pay = current pay × (1 + raise %)Raise % = (new pay ÷ current pay − 1) × 100Real raise % = ((1 + raise %) ÷ (1 + inflation %) − 1) × 100
  • Raise % and inflation % are used as decimals inside the brackets (4% = 0.04)
  • Annual pay = hourly × hours per week × 52, or per-paycheck pay × 52, 26, 24 or 12

Example

  1. You earn $60,000 a year and get a 4% raise.
  2. New salary = $60,000 × 1.04 = $62,400, which is $2,400 more a year.
  3. Per month that's $2,400 ÷ 12 = $200.00 more; per biweekly paycheck, $2,400 ÷ 26 = $92.31.
  4. At 40 hours a week, your hourly equivalent goes from $60,000 ÷ 2,080 = $28.85 to $62,400 ÷ 2,080 = $30.00.
  5. If prices rose 3% over the same year, your real raise is 1.04 ÷ 1.03 − 1 = 0.97%.

Frequently asked questions

How much is a 3% raise on $50,000?

$50,000 × 0.03 = $1,500, so your new salary is $51,500. That's $125 more a month before taxes.

How do I calculate my raise percentage?

Divide your new pay by your old pay, subtract 1 and multiply by 100. Going from $22.00 to $23.50 an hour is 23.50 ÷ 22.00 − 1 = 6.82%. At 40 hours a week, that's $3,120 more a year.

Did my raise keep up with inflation?

Compare it with the inflation rate over the same period, using the BLS CPI. A 4% raise when prices rose 3% is a real raise of about 0.97%; if prices rose 5%, your buying power fell.

Will a raise push me into a higher tax bracket and lower my pay?

No. US federal income tax brackets are marginal, so only the dollars above a bracket threshold are taxed at the higher rate. A raise always increases your pay before and after federal income tax, though benefits that phase out with income can work differently.

Is a raise of the same percent worth more on a higher salary?

Yes, in dollars. 4% of $60,000 is $2,400, while 4% of $80,000 is $3,200. That's why the same raise percentage widens pay gaps over time.

Sources

Last reviewed for 2026. How we calculate.