Free Online Calculator

Salary Increase Calculator

See what a raise actually pays per hour and per year, and compare offers properly on hours worked and total compensation. Free, no signup.

New salary
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Annual increase
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New hourly rate
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Current hourly rate—
Daily rate—
Total compensation—

Hourly rates divide by paid working weeks, so unpaid leave and holidays reduce the real hourly rate below salary divided by 2,080.

For planning purposes. This tool produces an estimate to help you plan, not a filed return. Your real result can differ once credits, deductions, and individual circumstances are applied. Confirm important decisions with a qualified professional.

About this calculator

Comparing two offers by headline salary alone is misleading. One role may pay 10% more but require 60 hours a week, while another pays less for 40 hours. The number that matters is compensation per hour actually worked, plus benefits.

How it works

This calculator converts salary to a real hourly rate using the weeks actually worked, which is the only way to compare offers that differ in intensity. It also adds bonus and other compensation so the total package is visible.

Frequently asked questions

How do I calculate my hourly rate from salary?

Divide annual salary by hours actually worked per year, which is weekly hours multiplied by paid weeks. Using 2,080 overstates your rate if you take unpaid leave or holidays.

How much does a 5% raise cost an employer?

Roughly 1.07 times your current salary including employer payroll taxes, and more in states with unemployment insurance. This is why a salary increase does not always shrink a hiring budget as much as it looks.

Should I negotiate salary or bonus?

Base salary affects retirement plan matches, life insurance, and future raise percentages, while bonus is not guaranteed. When the offer is cash, prioritizing base salary is usually better if you are still early in your career.

How do I counter an offer without seeming greedy?

Anchor slightly above the midpoint of the range for the role, support it with market data, and frame it as enthusiasm for the specific position rather than a demand. Ask about the budget band if the offer is low.

What if I am paid hourly and want a salary?

Convert your annual hours to salary by dividing annual pay by total hours worked, then add a small premium. Hourly work can be worth 5 to 10% more for the flexibility and clarity, which is a legitimate factor.

Does location affect salary negotiation?

Yes, substantially, and it is legitimate information to bring to a negotiation. Compensation data for your role and region gives you an objective anchor rather than a guess.

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