Home › Business › Pay Raise Calculator
FREE · NO SIGN-UP · TRANSPARENT FORMULAS

Pay Raise Calculator

Apply a percentage or fixed pay increase, then compare annual, monthly and hourly gross equivalents.

Your numbers

Make it your own
Updates as you type
New annual gross pay
$52,500.00

USD · rounded to the nearest cent

New monthly equivalent$4,375.00
New hourly equivalent$25.24
Annual increase$2,500.00
Percentage increase5%

Gross pay arithmetic. Excludes taxes, deductions, overtime premiums and unpaid leave not reflected in entered weeks.

Your calculation, step by step

No black boxes
  1. Apply the raise to the selected annual or hourly pay basis.
  2. Convert using the entered paid hours per week and weeks per year.

What if things were different?

Save up to three scenarios, then change your inputs to compare the possibilities.

How to use this calculator

  1. Enter your own values in the labeled fields. Check the units and assumptions before comparing results. Only the fields needed for your selected calculation mode are shown.
  2. Your answer updates automatically. Review the calculation steps to see exactly how it was calculated.
  3. Copy, share, save, or download your result. Saved inputs stay on this device.

How the calculation works

New pay = current × (1+raise%/100), or current + fixed raise

Apply the raise to the selected pay basis before annualizing it. Hours and weeks determine the hourly equivalent, rather than assuming every employee works 2,080 paid hours. Results are gross and exclude deductions or overtime premiums. Review the units, period and assumptions before comparing scenarios. Displayed values are rounded, while the underlying calculation retains its available precision.

A worked example

A 5% raise on $50,000 annual gross pay gives $52,500 per year, an increase of $2,500.

Reading your result

Use the main result together with its units and supporting figures. Display values are rounded; calculations keep their underlying precision. A change in inputs or assumptions can change the answer. Compare the step-by-step working with your intended use before relying on an estimate.

Frequently asked questions

What assumptions does this calculation use?

Apply the raise to the selected pay basis before annualizing it. Hours and weeks determine the hourly equivalent, rather than assuming every employee works 2,080 paid hours. Results are gross and exclude deductions or overtime premiums.

Can I save or check a scenario?

The result includes the working and supporting values. Save and Restore keep inputs on this device; Copy, Download and Print export the result. Sharing a scenario explicitly includes the inputs in its link.

Sources & methodology

This calculator uses the mathematical identity and assumptions stated above. No current rates, prices, or external data are loaded. Conversion tools use international unit definitions.

Formula review: October 24, 2026. Read our methodology.