How to use the Salary Hike Calculator
- 1. Enter current salaryType your current yearly salary or CTC. Use 0 for a first job.
- 2. Pick what you knowEnter either the hike percentage or the new salary.
- 3. See the changeGet your new salary, monthly rise and real change after inflation.
How to calculate a salary hike
There are two simple formulas, one for each direction:
- New salary = current salary × (1 + hike % ÷ 100)
- Hike % = (new salary − current salary) ÷ current salary × 100
Example: a salary of ₹6,00,000 with a 15% hike becomes ₹6,90,000. That is ₹90,000 more a year, or ₹7,500 a month. An offer of ₹7,20,000 on the same salary is a 20% hike.
The tool also shows your real change after inflation: (1 + hike) ÷ (1 + inflation) − 1. A 15% hike with 5% inflation is a real rise of 9.52%. The inflation figure is your own assumption, so change it as you like.
If your current salary is zero, a percentage has no meaning, so choose the new salary option. The tool shows your numbers without a percentage. A lower new salary is shown as a pay cut.
Reading an offer properly
A CTC figure is not the same as your bank credit. Before you compare offers, split each one into parts.
- Fixed vs variable. A bonus that depends on performance may not be paid in full. Compare fixed pay first.
- Employer PF and gratuity. These are counted in CTC but do not reach your account each month. See the EPF calculator and gratuity calculator.
- Tax. A raise can move you into a higher slab. Run the new salary through the old vs new tax regime calculator.
- City. A move can change rent and your HRA. The HRA calculator helps here.
The five-year table shows what happens if the same percentage repeats. It is an illustration, not a forecast, but it shows how a better hike today lifts every later year. Leaving for the new job? The notice period calculator gives your last working day and any buyout cost.
Frequently asked questions
What if my current salary is zero?
Choose the new salary option. The tool shows your new salary and monthly amount, and explains why there is no percentage.
Should I use CTC or in-hand salary?
Use the same type for both numbers. Comparing old CTC with new in-hand pay gives a wrong answer.
What does the real change after inflation mean?
It shows how much your buying power changes once prices rise. The inflation rate is your own assumption.
Is this tool free?
Yes. It is free, and we ask for your name and WhatsApp number once when you view your result. All other Uncodemy tools then open without the form.