Salary Hike Calculator
By Sagar Kumar · Updated 23 October 2026
Find out your new salary after an increment, or work out the hike percentage between your old and new salary. Works for monthly or yearly salary, and also shows your real hike after inflation.
| Increase | — |
| New monthly salary | — |
| New yearly salary | — |
| Extra per year | — |
| Real hike after inflation | — |
| Change in salary | — |
Salary hike formulas
Hike % = (New − Old) ÷ Old × 100
Real hike % = [(1 + Hike) ÷ (1 + Inflation) − 1] × 100
Use the same basis for both salaries — monthly with monthly, CTC with CTC — otherwise the percentage will be wrong.
Examples
| Situation | Working | Result |
|---|---|---|
| ₹50,000/month, 10% hike | 50,000 × 1.10 | ₹55,000/month (+₹5,000) |
| ₹6,00,000 CTC, 12% hike | 6,00,000 × 1.12 | ₹6,72,000 CTC (+₹72,000/year) |
| ₹35,000/month, 8% hike | 35,000 × 1.08 | ₹37,800/month (+₹2,800) |
| ₹45,000 → ₹52,000 | 7,000 ÷ 45,000 × 100 | 15.56% hike |
| Job switch, ₹8 lakh CTC, 30% hike | 8,00,000 × 1.30 | ₹10,40,000 CTC |
Why the real hike matters
If prices rise 5% in a year and your salary rises 8%, you can only buy about 2.86% more than last year — not 8%. With a 10% hike and 6% inflation, the real gain is about 3.77%. A hike lower than inflation means your buying power has actually fallen, even though the number on your payslip went up.
To see how much of the new salary reaches your bank account after PF and tax, use the Take Home Salary Calculator; to check tax on the new amount, the Income Tax Calculator.
Tips before your appraisal or job switch
- Compare fixed pay separately from variable pay and bonuses — a high CTC hike can hide a small fixed increase.
- Check what the hike means in rupees per month, not just the percentage.
- Look at benefits that change too: PF, insurance, gratuity and joining bonus.
- Keep a record of your work and results through the year — it makes the conversation much easier.
हिंदी में समझें
नई सैलरी = पुरानी सैलरी × (1 + हाइक% ÷ 100)। जैसे ₹50,000 पर 10% हाइक = ₹55,000। हाइक प्रतिशत = (नई − पुरानी) ÷ पुरानी × 100। अगर महंगाई 5% है और हाइक 8%, तो असली बढ़त सिर्फ़ लगभग 2.86% है।
Frequently asked questions
How do I calculate salary hike percentage?
Subtract the old salary from the new salary, divide by the old salary and multiply by 100. ₹45,000 to ₹52,000 is (52,000 − 45,000) ÷ 45,000 × 100 = 15.56%.
How do I calculate new salary after a hike?
Multiply the old salary by (1 + hike ÷ 100). ₹50,000 with a 10% hike = 50,000 × 1.10 = ₹55,000 per month.
What is a real hike?
Your hike minus the effect of inflation. An 8% hike when prices rise 5% gives a real increase of about 2.86% — that is how much more you can actually buy.
Should I calculate hike on CTC or in-hand salary?
Companies usually announce hikes on CTC (or fixed pay). Your in-hand amount may rise by a slightly different percentage because PF, tax and other deductions also change. Use the Take Home Salary Calculator to see the in-hand figure.
What hike should I ask for when switching jobs?
It depends on your role, skills and market demand. Use this calculator to see what a given percentage means in rupees, compare it with the market range for your role, and remember to compare total CTC, not just fixed pay.
Does a hike always increase my tax?
A higher salary can push more income into a higher tax slab, but you only pay the higher rate on the part above each slab limit — you never take home less because of a raise. Check with the Income Tax Calculator.