Salary Hike Calculator - Salary Hike Percentage Calculator For Payroll In India
Use our salary hike calculator to calculate the new salary after the hike. Also, calculate the hike percentage with your new salary.
Salary hike: What is a hike in salary?
A salary hike, also known as an increment is an increase in the current wage by a fixed percentage. This is expressed as a percentage of the current salary and is known as the percentage hike.
How to calculate new salary using hike percentage?
Here is how you can calculate the new salary after a hike using the hike percentage.
Step 1: Convert the hike percentage into decimals.
Step 2: Multiply it by your current salary. Now, this is your increment/hike amount.
Step 3: Add the hike amount to your current salary. The result is your new net salary after the hike.
Salary hike formula
Let us understand the math by calculating 30% hike in salary.
Step 1: Now 30% hike is 30/100 which is 0.3.
Step 2: Let us imagine the current salary being ₹20,000. So, 20,000*0.3 is ₹6000.
Step 3: Adding the increment of ₹6000 to the current salary makes it ₹26,000. Now this is the new net salary after the hike.
How to calculate the salary hike percentage?
Here is how you can calculate the salary hike percentage.
Step 1: Calculate the difference between your new salary after the hike and your old salary.
Step 2: Divide the result by your old salary.
Step 3: Multiply the obtained number by 100. Now, this is your hike percentage with respect to your old salary.
Salary hike percentage calculation formula
Let us understand this with an example.
Let us imagine the new salary to be ₹25,000 and the old salary to be ₹20,000.
Step 1: The difference between the new and old salary is ₹5000
Step 2: Now, 5000/20000 is 0.25.
Step 3: Multiplying 0.25 with 100 gives you 25. Hence, the salary hike is 25%.
Also read: What is variable comp and fixed comp?