Pay Raise Calculator
A raise sounds great as a percentage, but the dollars and the inflation-adjusted value tell the fuller story. Slide your current salary, the raise you expect, and inflation to see both the nominal and real change. The result updates the moment you move a slider.
How this math works
Your new salary is the current salary multiplied by one plus the raise percentage. The tool reports the dollar increase across a full year and the same amount split into months.
The real raise adjusts for rising prices using the formula one plus the raise, divided by one plus inflation, minus one. When inflation matches your raise, the real gain is near zero even though the number on your paycheck went up.
Common questions
What is the difference between a nominal and a real raise?
The nominal raise is the headline percentage added to your pay. The real raise is what is left after inflation, which reflects your actual change in buying power.
Why can a raise feel like no raise at all?
If prices climb as fast as your pay, your real raise shrinks toward zero. A 4 percent raise during 4 percent inflation leaves your purchasing power roughly flat.
Does this account for taxes?
No. The figures here are before taxes, and a higher salary can fall into higher tax brackets, so your take-home increase may be smaller than the gross numbers shown.
The Flourish Letter
One smart money idea each week, charts included. Join free and get the printable 2026 Money Calendar in your welcome email.