Money
Raise Calculator
Last updated: May 31, 2026
Written by Blake Boege
A raise calculator is a financial utility that computes wage increases for salaried or hourly employees. It takes a current pay rate and a raise amount (expressed as a flat dollar figure or a percentage percentage) to determine the new pay rate and the total change in gross earnings. The calculator typically breaks down these earnings changes across weekly, biweekly, monthly, and annual payroll cycles.
Estimate your salary or hourly pay increase. Enter your current pay rate and the raise details in percent or dollars to see your new wage breakdown.
Quick Answer
Calculate your salary increase in dollars or percentage. Enter your current pay rate and the raise details to see your new wage breakdown.
e.g. 60,000
Cost-of-living adjustments are often 2 to 4%; merit raises vary widely. · e.g. 5
About this estimate
The raise calculation is pre-tax. Real take-home pay depends on tax brackets, deductions, and any change to benefits when the raise takes effect.
New annual salary
$63,000.00
Raise $3,000.00 (5%)
Pre-tax raise math. Effective take-home pay depends on federal, state, and local taxes, FICA, and any benefit adjustments. Use a paycheck calculator to estimate the after-tax change.
Examples
$50,000 salary + 4% raise
New $52,000 · annual +$2,000
$20/hr wage + $1.50 raise (40 hrs)
New $21.50/hr · annual +$3,120
How it works
This raise calculator uses standard formulas to convert salary rate changes in both directions:
Percent Raise · new_pay = current_pay × (1 + raise% / 100)
Dollar Raise · new_pay = current_pay + raise_amount
For a more payroll-oriented calculation, visit our standard pay raise calculator or use our general salary calculator to see complete hourly, weekly, biweekly, monthly, and annual wage conversions.
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Frequently asked questions
If the raise is a percentage: New Pay = Current Pay × (1 + raise% / 100). If the raise is a flat dollar amount: New Pay = Current Pay + raise amount. The raise percentage can be calculated as: (raise amount ÷ current pay) × 100.
Raises are calculated on your gross pay (pre-tax salary or hourly wage). The actual increase in your net take-home pay will be smaller because of federal, state, and local income taxes, as well as FICA deductions.
To find the annual equivalent of an hourly raise, multiply the hourly raise amount by the hours worked per week, then multiply by 52 weeks. For example, a $1.50/hour raise at 40 hours per week equals an additional $3,120 per year before taxes.
A merit raise is given based on individual performance and achievements. A cost-of-living adjustment (COLA) is an increase applied to all employees to help offset the effects of inflation and maintain purchasing power.
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