Pay Raise Calculator
Enter your current pay and raise to see the difference.
Ask about this result
AI-powered explanations that use only this calculator's formulas, your result and its listed sources.
Enter valid inputs above to ask about your result.
- Tax / data year
- Your inputs
- Source
- Your inputs
- Last verified
- 5 Oct 2026
- Version
- 1.0.0
What this calculator tells you
A raise sounds bigger as a percentage and smaller as an hourly figure. Seeing all of them together makes it easier to judge an offer or prepare for a salary conversation.
When you add inflation, we show the real raise: how much more you can actually buy. A raise below inflation is a pay cut in real terms.
Formula and methodology
Increase (percentage)
increase = current × raise% ÷ 100Percentage increase
pct = increase ÷ current × 100Real raise
real% = ((1 + pct/100) ÷ (1 + inflation/100) − 1) × 100Hourly increase
annual_increase ÷ (hours_per_week × weeks_per_year)
Hourly and annual figures use the working hours saved in your profile (set them in the Salary to Hourly calculator). Default: 40 hours × 52 weeks.
Data sources
- Inflation rate— entered by you from your national statistics agency's CPI release
Last updated · Calculator version 1.0.0
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Frequently asked questions
How do I calculate a percentage pay raise?
Multiply your current pay by the raise percentage and divide by 100. A 5% raise on £40,000 is £2,000, giving a new salary of £42,000.
What is a real pay raise?
A real raise is what is left after inflation. If pay rises 5% while prices rise 3%, your real raise is about 1.94%: (1.05 ÷ 1.03) − 1.
Where do I find the inflation rate?
Use the annual consumer price inflation published by your country's statistics agency, for example the ONS in the UK or KNBS in Kenya. We do not fill this in for you.
Is the raise before or after tax?
Before tax. Tax can take a larger share of the extra income, so your take-home increase may be smaller.

