1. What is Salary Hike Percentage?

The Salary Hike Percentage measures the increase in salary from an old amount to a new amount, expressed as a percentage of the old salary. It helps employees and employers understand pay raise amounts in relative terms.

2. How Does the Calculator Work?

The calculator uses the salary hike percentage formula:

Where:

• New Salary — The increased salary amount
• Old Salary — The original salary amount before increase

Explanation: The formula calculates the difference between new and old salary, divides by the old salary to get the relative increase, then multiplies by 100 to convert to percentage.

3. Importance of Salary Hike Calculation

Details: Understanding salary hike percentage helps in career planning, negotiation, and comparing job offers. It provides a standardized way to evaluate salary increases across different pay scales.

4. Using the Calculator

Tips: Enter both old and new salary amounts in the same currency. Values must be positive numbers with old salary greater than zero.

5. Frequently Asked Questions (FAQ)

Q1: What's considered a good salary hike percentage?
A: Typically 3-5% is standard for annual raises, 10-20% for promotions, and 20%+ when changing companies, but varies by industry and location.

Q2: Does this work for hourly wages?
A: Yes, the formula works for any consistent pay units (hourly, weekly, monthly, annual).

Q3: How to calculate net hike after deductions?
A: First calculate gross hike percentage, then apply tax/deduction changes separately.

Q4: What if my salary decreased?
A: The calculator will show a negative percentage indicating a pay cut.

Q5: Should bonuses be included?
A: For base salary comparison, exclude bonuses. For total compensation, include all earnings.