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Basic Pay:
Dearness Allowance:
House Rent Allowance:
Travel Allowance:
Other Allowances:
Deductions:
Total Salary (Before Increment):
Total Salary (After Increment):
New Gross Salary:
Hike Percentage:
Net Salary:
Present Value (Inflation Adjusted):
New Gross Salary:
Hike Percentage:
Net Salary:
Present Value (Inflation Adjusted):
Want an easy way to figure out your updated take-home salary after a raise or calculate how much your salary has increased? You can now quickly and precisely do that with the help of our Salary Hike Calculator. This tool is your go-to resource for learning how your pay is changing, regardless of whether you receive a fixed amount or a percentage increase.
When your current income grows to some extent, usually as an absolute value or a percentage, it is referred to as a salary hike. Raises come from employers when you switch jobs, get promoted or during annual review time.
In order to retain talent and reward achievement, to maintain parity with industry pay norms, salaries should be modified to account for living expenses and inflation.
A permanent increase in your base pay is known as a salary hike. Businesses frequently offer it once a year or during special events. This implies that you will always receive higher wages in the future.
But a bonus is a one-time payment, like a festival prize, performance incentive, or a portion of the company's profits. Unless it is given again, it has no effect on future earnings and does not increase your base pay.
Whether you’re changing job positions, experiencing a promotion or making a request for a raise, calculating the pay increase percentage is important. It helps you to understand how your real income is growing and to negotiate more effectively.
Use this easy formula to determine the percentage pay increase:
(New Salary - Old Salary) / Old Salary × 100
This tells you how much your salary has increased in terms of percentage.
Example 1:
You currently make ₹7,50,000, but you received a new offer of ₹9,00,000.
Hike percentage = ((9,00,000 - 7,50,000) / 7,50,000) × 100
20% is the hike percentage (1,50,000 / 7,50,000) × 100
Your earnings increased by 20%
Example 2:
Fixed ₹1.5 L Hike on ₹7 LPA
Assume that your employer offers you a fixed raise of ₹1.5 lakh in addition to your current salary of ₹7,00,000 annually.
Use the fixed increment formula to determine the percentage of the pay increase.
Formula:
Hike % = (Increment Amount / Current Salary) × 100
Hike % = (1,50,000 / 7,00,000) × 100
Hike % = 21.43%
Your salary has increased by 21.43% through a fixed hike of ₹1.5 LPA.
Understanding the math behind salary increases turns you into a more informed negotiator and consumer of your own money. Whether your raise will be in the form of a percentage or a fixed payout, the following formulas can help you calculate both your raise as a percentage and the dollar value of a pay hike.
Formula:
New Salary = Current Salary × (1 + Hike % / 100)
Example:
Current Salary = ₹8,00,000
Hike = 12%
New Salary = ₹8,00,000 × (1 + 12 / 100) = ₹8,96,000
Result: You get a new gross salary of ₹8.96 LPA.Use our hike percentage calculator to skip the math and get instant answers!
Sometimes, especially in startups or smaller firms, a fixed increment amount is offered instead of a percentage.
Formula: New Salary = Current Salary + Fixed Hike Amount
Example:
Current Salary = ₹7,00,000
Fixed Hike = ₹1,50,000
New Salary = ₹7,00,000 + ₹1,50,000 = ₹8,50,000
Result: That’s an absolute increase of ₹1.5L with a hike of ~21.43%.
For such cases, you can use our salary hike calculator to convert that number into a hike percentage easily.
The gross hike may look impressive, but your actual take-home depends on deductions and taxes.
Formula:
Net Salary = (New Gross Salary + Bonus – Annual Deductions) × (1 – Tax Rate / 100)
Inputs Needed:
Annual Bonus / AllowanceMonthly Deductions (like PF, loans, insurance)Tax Rate (in %)
Example:
New Salary = ₹9,00,000
Bonus = ₹50,000
Monthly Deductions = ₹5,000 → Annual = ₹60,000
Tax Rate = 20%
Net Salary = (9,00,000 + 50,000 – 60,000) × (1 – 0.20) = ₹7,16,000
Your net take-home salary would be ₹7.16 LPA
Even with a raise, your purchasing power can shrink if inflation is high.
Formula:
Inflation-Adjusted Salary = New Salary / (1 + Inflation Rate)^Years
Example:
New Salary = ₹10,00,000
Inflation Rate = 5%
Years = 1
Inflation-Adjusted = ₹10,00,000 / (1.05)^1 = ₹9,52,380
This means your ₹10L salary feels like ₹9.52L after accounting for inflation.
This is why our CTC hike calculator includes inflation projections to help you see the real value of your hike.
So that you can prepare for a job change, an appraisal discussion, or a meeting with your boss, our Salary Increase Calculator is everything you need. It makes the picture [of your earnings], and it’s not just numbers. It gives you clarity on what it is, confidence in what that amount is, and control over that amount.
Have you ever wondered, “Is this hike actually good?” This hike calculator gives you a clear view of your new salary based on percentage or fixed increases. It shows how these changes affect your net take-home pay and adjust for inflation. Knowing your worth helps you negotiate better during appraisals or job offers.
Switching roles? Moving to a new city? Don’t leave things to chance.
Use this hike percentage calculator to:
Compare old and new salaries.
See how much your raise really affects your lifestyle.
Decide if a job offer makes sense financially after taxes, deductions, and inflation.
Whether you’re offered a ₹2L hike or 20%, you’ll know exactly what that means in real terms.
Have you ever wondered, “Is this hike actually good?” This hike calculator gives you a clear view of your new salary based on percentage or fixed increases. It shows how these changes affect your net take-home pay and adjust for inflation. Knowing your worth helps you negotiate better during appraisals or job offers.
Everything is broken down by this CTC hike calculator:
Salary comparison between gross and net
Impact of bonuses and deductions
Income adjusted for taxes
Actual value following inflation
You can now make better financial decisions thanks to this clarity, particularly when negotiating a raise or a promotion.
Inflation can gradually reduce your purchasing power, so even with the same salary, you will be able to buy less. Therefore, even though a 10% raise might seem fantastic at first, it won't be as impressive if inflation is 6%. Our inflation-adjusted salary calculator is useful in this situation!
In India, the average annual pay increase ranges from 8% to 12%, depending on the industry, position, and output. Nonetheless, the tech and finance industries may give 15% or more to high performers or job changers.
Use our salary increment calculator to find out how much your take-home pay actually increases and whether your raise complies with industry standards.
The increment percentage is the total increase applied to your base or gross pay. However, your increase in take-home pay may differ due to:
Tax deductions
Bonuses or allowances
Repayment of loans, insurance, and PF
For example, a 20% raise may only result in a 12–15% increase in your actual monthly salary after deductions. Our increment percentage calculator shows both the gross salary and net (take-home) pay so you can see the full impact of your raise.
Of course! You can use our CTC Hike Calculator to work out how your Cost to Company (CTC) will change after a raise. Just enter your current salary and hike details, and don't forget to include any bonuses, allowances, or deductions. The tool will then figure out your new CTC and take-home pay for you. Knowing the full impact of your hike—not just the bump in your base pay—can help you evaluate job offers and negotiate your salary more .
