TenorOpsPayroll, Shift & Time Calculators · Compensation Planner
Free Pay Raise Calculator | Hourly, Weekly, Monthly & Annual Salary Increase
Calculate how a percentage or flat-dollar pay raise impacts hourly, weekly, monthly, and annual salaries in real time.
Current Compensation & Raise
Pay Raise Details
Updated Salary Breakdown
New Pay After Raise
Step-by-step guide
How to Use the Pay Raise Calculator
- 1Enter current pay and weekly hours
Fill in weekly hours (default 40) and either current hourly rate or annual salary.
- 2Set the raise percentage or fixed dollar increase
Choose Percentage (%) or Fixed Dollar ($/hr) raise and enter the increase value.
- 3Compare current vs. new salary across all periods
See the exact new annual, monthly, weekly, and hourly pay plus the total annual budget impact.
Formula & methodology
Percentage vs. Fixed-Dollar Pay Raise Formulas
Whether you grant a merit percentage or an across-the-board hourly increase, the annual impact scales by annual paid hours (Hours per Week × 52):
Annual Increase (Percentage) = Current Annual Salary × (Raise % ÷ 100) Annual Increase (Hourly Raise) = Hourly Raise ($) × Hours per Week × 52 New Annual Salary = Current Annual Salary + Annual Increase
Common questions
Frequently Asked Questions
How much does a $1/hour raise cost per year?
For a full-time employee working 40 hours per week (2,080 hours per year), a $1.00/hour raise equals $2,080 per year in base wages before employer payroll taxes.
What is a standard annual merit pay raise?
Annual merit and cost-of-living raises typically range between 3% and 6%, while promotions or skill-tier jumps often carry an 8% to 15% increase.
Does a pay raise also increase employer payroll taxes?
Yes. Remember to factor in FICA (7.65%) and workers' compensation on top of the base raise using our Labor Burden Calculator.
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