Guide
Understand your Salary hike result
A salary hike calculator applies a percentage increase to your current monthly salary. It shows the increase amount and the estimated new monthly and annual figures before deductions or changes in salary structure.
Results are for general information. Review the site disclaimer before using a result for an important decision.
Apply the hike to the same salary basis
Multiply the current monthly salary by the hike percentage and divide by 100. Add that increase to the current salary to estimate the revised monthly amount.
Use gross salary, fixed pay, or another figure only when the appraisal communication uses that same basis. A percentage applied to basic pay will not produce the same result as a percentage applied to total cost to company.
Monthly and annual figures answer different questions
The revised monthly amount helps with budgeting. Multiplying it by 12 gives a simple annual estimate and makes it easier to compare the change across a full year.
A mid-year hike will not increase the current financial year's earnings by a full 12 months. Use the effective date when you estimate the actual income for a particular year.
Check the revised salary structure
Taxes, retirement contributions, bonuses, allowances, insurance, and variable pay can change take-home salary. The calculator does not estimate those deductions or components.
Compare the old and revised salary breakups before relying on the headline percentage. The written compensation letter is the final source for the structure and effective date.