1. What is a Pay Increase Calculator?

Definition: This calculator determines your new salary after a percentage increase and shows the monetary value of the raise.

Purpose: It helps employees and employers understand the impact of pay raises in both percentage and absolute terms.

2. How Does the Calculator Work?

The calculator uses the formula:

Where:

• New Pay — Your salary after the increase
• Old Pay — Your current salary before the increase
• Increase Percentage — The percentage raise you're receiving

Explanation: The calculator converts the percentage increase to a multiplier, then applies it to your current salary.

3. Importance of Pay Increase Calculations

Details: Understanding your pay increase helps with financial planning, comparing job offers, and negotiating salaries.

4. Using the Calculator

Tips: Enter your current salary in GBP and the percentage increase you're expecting or negotiating. Both values must be ≥ 0.

5. Frequently Asked Questions (FAQ)

Q1: How do I calculate my take-home pay after the increase?
A: This calculator shows gross pay. For net pay, you'll need to account for tax, NI, and other deductions using an income tax calculator.

Q2: What's a typical pay increase percentage in the UK?
A: Average increases range from 2-5% annually, but this varies by industry, role, and performance.

Q3: Does this work for hourly wages as well as salaries?
A: Yes, enter your current hourly rate as the "Old Pay" to see your new rate after the increase.

Q4: How do I calculate multiple pay increases?
A: Run the calculator sequentially, using each new pay amount as the next "Old Pay" value.

Q5: What if my pay increase isn't a percentage?
A: For fixed amount increases, simply add it to your current pay. This calculator is for percentage-based increases.