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HR & Payroll tool

Salary Hike Calculator

Calculate revised salary, absolute increase and hike percentage.

Calculate a salary hike

Enter current salary and either a proposed hike percentage or directly compare with a new salary.

Revised salary—
Annual increase—
Approx. monthly increase—
Hike percentage—

How the calculation works

When no new salary is entered, revised salary = current salary × (1 + hike percentage). If a new salary is supplied, the tool reverse-calculates hike percentage as (new − current) ÷ current × 100.

How to use the result

Use matching compensation definitions when comparing old and new amounts. For example, compare annual base salary with annual base salary rather than comparing base salary to total CTC.

Assumptions and limitations

The calculator does not model tax, bonus, employer contributions or take-home pay. A percentage increase in gross salary does not necessarily produce the same percentage increase in net pay.

Example

Moving from 800,000 to a 15% higher salary produces 920,000, an annual increase of 120,000.

Frequently asked questions

Can I calculate the hike percentage from a new salary?
Yes. Enter the optional new annual salary and the tool will reverse-calculate the percentage increase.
Should I use CTC or base salary?
Either can be compared, but both current and new amounts must use the same compensation definition.
Does the monthly increase equal extra take-home?
No. It is the annual gross difference divided by 12 and does not account for tax or deductions.
Can the hike be negative?
Yes. A negative percentage models a salary reduction.