Why the percentage matters more than the dollar amount
A $3,000 raise sounds identical whether your salary is $40,000 or $150,000, but as a percentage it is wildly different — 7.5% versus 2%. Thinking in percentage terms makes it much easier to compare offers, benchmark against inflation, and judge whether a raise is keeping pace with your actual cost of living or your market value.
After the raise
Once you know your new salary, run it through the Take-Home Pay Calculator to see how much of the increase actually reaches your bank account after tax, or the Salary to Hourly Calculator if you think in hourly terms.
Frequently asked questions
How do I calculate a raise percentage?
Divide the dollar increase by your old salary and multiply by 100. For example, a $3,000 raise on a $60,000 salary is 3,000 ÷ 60,000 × 100 = 5%. Enter either field here and the other fills in automatically.
What is a good raise percentage?
A typical annual cost-of-living raise is around 2–4%. A merit or promotion raise is often 5–15%, and switching employers can sometimes bring 10–20%+. Context matters — inflation, your performance, and market rates for your role all shift what "good" means.
Does this show my new take-home pay?
No, this shows the new gross salary only. For what actually lands in your account after tax and deductions, run your new salary through the Take-Home Pay Calculator.
How do I work out an hourly raise instead?
The same percentage math applies to an hourly rate — enter your hourly rate as the "old salary" and it works identically.
Last updated: June 2026