Pay Raise Calculator with Eye Opening Surprises

Pay Raise Calculator Sign

This online pay raise calculator will calculate your pay raise or cost of living (COL) raise based on either a dollar-amount increase or on a percentage increase.

If you enter a dollar amount increase, the calculator will calculate the raise percentage. Or, if you enter a raise-percentage, the calculator will calculate the dollar-amount increase.

And since you can select an annual pay period and enter an annual wage, the calculator also doubles as a salary increase calculator.

Plus, the calculator will translate the effects of your pay raise into ten different time periods -- including how much the raise will add up to between now and when you plan to retire!

And finally, the calculator will even calculate the effects of investing your pay raise versus spending it and display a bar chart showing the difference.

Read more ...

Also on this page:

Pay Raise Calculator

Calculate a pay raise for all time periods, including through retirement age!

Learn More

Selected Data Record:

A Data Record is a set of calculator entries that are stored in your web browser's Local Storage. If a Data Record is currently selected in the "Data" tab, this line will list the name you gave to that data record. If no data record is selected, or you have no entries stored for this calculator, the line will display "None".

DataData recordData recordSelected data record: None
Rate:Pay rate:Current pay rate:Current pay rate:

Current pay rate:

Enter the amount you are currently being paid per increment of time (hour, day, week, bi-weekly, semi-monthly, monthly, etc.).

$
Period:Time period:Time period:Time period your pay rate applies to:

Time period your pay rate applies to:

Select whichever time period corresponds to the pay rate you entered in the first line.

Type:Raise type:Pay raise type:Pay raise type:

Pay raise type:

Select the type of raise you are entering. If you know the new pay rate amount, select New rate. If you want to enter the dollar amount of only the raise itself (getting a $1 per hour raise), select Dollar amount increase. If the pay raise is a percentage increase, select Percent amount increase.

Factor:Raise factor:Pay raise factor:Pay raise factor:

Pay raise factor:

Once you have selected the type of raise you are entering, enter the corresponding factor (dollar raise, percent raise, new rate) on this line.

#
Week hrs:Weekly hours:Weekly work hours:Number of hours you work each week:

Number of hours you work each week:

Enter the number of hours you work per work week.

#
Now age:Current age:Current age:Your current age:

Current age:

Enter your current age. The calculator will use this entry to calculate potential earnings on your raise if you choose to invest it rather than spend it.

#
Retire age:Retire age:Retire age:Age you plan to retire at:

Age you plan to retire at:

Enter the age you expect to retire at. The calculator will use this entry to calculate potential earnings on your raise if you choose to invest it rather than spend it.

#
ROI:Expected ROI:Return on investments:Expected annual return on investments:

Expected annual return on investments:

Enter the percent return on your investment you believe you could earn between now and when you plan to retire. The calculator will use this entry to calculate potential earnings on your raise if you choose to invest it rather than spend it.

%
New rate:New pay rate:New pay rate:New pay rate:

New pay rate:

Your new pay rate based on your pay raise calculator entries.

$0.00
Increase:Percent increase:Percentage increase:Percentage increase:

Percentage increase:

This is the percentage increase of your pay rate dollar amount increase.

0%

If you would like to save the current entries to the secure online database, tap or click on the Data tab, select "New Data Record", give the data record a name, then tap or click the Save button. To save changes to previously saved entries, simply tap the Save button. Please select and "Clear" any data records you no longer need.

Help and Tools

Learn

What a dollar raise equates to, how to calculate raises, and how much to ask for.

How Much is a Dollar Raise Annually?

If you are paid for 40-hours per week, and 52-weeks per year, a $1 an hour raise will add up to $2,080 extra per year. The following dollar raise calculator will calculate the annual effect of other pay increase scenarios.

How Much is a Raise Annually
Weekly paid hours:
Annual paid weeks:
Annual raise:$2,080.00

How to Calculate Pay Raise

To calculate your pay raise based on a percentage increase, convert the percentage to a decimal number (move the decimal point 2 places to the left) and multiply your current pay or salary by the decimal number.

Example % to $ Calculation
Current pay:$1,000
Current pay:2%
Raise =$1,000 x 0.02 (2% / 100)
Raise =$20

How to Figure Out Pay Increase Percentage

To calculate your pay raise percentage based on a dollar amount increase, subtract your current pay or salary from your new pay or salary, divide the result by your current pay and convert that result to a percentage (move decimal point 2 places to the right).

Example $ to % Calculation
Current pay:$1,000
New pay:$1,020
Increase =($1,020 - $1,000) / $1,000
Increase =$20 / $1,000
Increase =0.02
Increase =2% (0.02 x 100)

If you want to estimate your raise after taxes, calculate your Net Paycheck with and without the dollar amount increase.

How Much of a Raise to Ask For?

That depends on your value to your employer and on how well the company is doing.

If you're not contributing to your employer's bottom line, and your employer is struggling to make ends meet, asking for any size raise might not make sense.

On the other hand, if you know your work is generating profits for your employer, and your employer's bottom line is growing, it wouldn't be unreasonable to ask for a 10% to 20% increase over what you are currently earning.

But in either case, if you don't get an annual raise equal to the inflation rate (see Salary Inflation Calculator), your buying power will decrease even if the size of your paycheck stays the same.

Who Ultimately Determines Your Earnings?

Who is ultimately responsible for how much you earn from the time you spend serving an employer? If you're not sure, here's a clue. It's NOT your employer.

Your Employer's Perspective

First of all, having been an employer myself, I can tell you that your employer would love nothing better than to pay you what your time, talents and skills are worth to the company. After all, your employer is competing for employees just as much as you are competing with everyone who desires your job. If the employer is not paying you what you believe you are worth, there are only three possible explanations.

  1. The company is not able to effectively compete in their marketplace (they might be in desperate need of better employees).
  2. Your value to the company is less than you perceive it to be.
  3. A combination of reasons #1 and #2.

Profitable Employers Are Not Stupid

Contrary to what you might think, your employer is not continuously scheming for ways to make you work harder for less money. If your employer is profitable, they are certainly smart enough to realize that if they don't compensate their best employees with competitive wages, they will lose their best employees. They are also smart enough to realize that if they lose all of their best employees, they will likely no longer be profitable.

So the first part of the "increase your pay" formula is to make sure you are and continue to be, one of your employer's best employees. This will ensure that you are paid as much as the employer can afford to pay you based on their earnings. And if you want to help your employer increase their earnings, encourage your co-workers to become "best" employees as well.

Golden vs. Rotten Eggs

What many employees fail to realize is that their employer is the goose that lays golden eggs. How so? Because each dollar you receive from your employer comes with built-in earning potential. If you invest a portion of each dollar you earn, you will continue to earn income from each hour's work ... for the rest of your life. Viola, Golden Eggs!

However, if you fail to invest any portion of the dollars your employer is paying you, and instead spend them all on non-appreciating purchases, you have effectively turned the potential Golden Eggs into Rotten Eggs.

So the second part of the "increase your pay" formula depends on what you do with what your employer is paying you.

Asking for a Pay Raise

What's the most effective way to go about asking for a pay raise? Find a full-length mirror, position yourself squarely in front of it, and then ask the person in front of you if they could please become worthy of a pay raise and stop turning all of your Golden Eggs into Rotten Eggs.

Adjust Calculator Width:

Move the slider to left and right to adjust the calculator width. Note that the Help and Tools panel will be hidden when the calculator is too wide to fit both on the screen. Moving the slider to the left will bring the instructions and tools panel back into view.

Also note that some calculators will reformat to accommodate the screen size as you make the calculator wider or narrower. If the calculator is narrow, columns of entry rows will be converted to a vertical entry form, whereas a wider calculator will display columns of entry rows, and the entry fields will be smaller in size ... since they will not need to be "thumb friendly".

Show/Hide Popup Keypads:

Select Show or Hide to show or hide the popup keypad icons located next to numeric entry fields. These are generally only needed for mobile devices that don't have decimal points in their numeric keypads. So if you are on a desktop, you may find the calculator to be more user-friendly and less cluttered without them.

Stick/Unstick Tools:

Select Stick or Unstick to stick or unstick the help and tools panel. Selecting "Stick" will keep the panel in view while scrolling the calculator vertically. If you find that annoying, select "Unstick" to keep the panel in a stationary position.

If the tools panel becomes "Unstuck" on its own, try clicking "Unstick" and then "Stick" to re-stick the panel.