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Salary Increment Calculator

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New salary after a percentage increment, monthly and yearly, and its worth after inflation

Estimates only, not financial advice. What you type stays on your device. Updated on 24 Oct 2026.

Multiply the current salary by one plus the hike to get the new salary, or divide the difference by the old salary for the hike. A 10% increment on ₹6,00,000 gives ₹6,60,000 a year and ₹55,000 a month. Add inflation and the calculator shows the real raise.

Your salary
You know
Salaries entered
₹
%
%
India's latest consumer price inflation is published monthly at mospi.gov.in. Leave 0 to skip the real raise.
CurrencyChanges the symbol only; no exchange rate is applied.
After the incrementUpdates live
New salary, a year

₹6,60,000

+₹5,000 a month, +₹60,000 a year
New monthly salary₹55,000
New annual salary₹6,60,000
Hike+10%
Extra a month+₹5,000
Gross pay, before tax. Add the year's inflation to see how much of the raise is real.

Gross salary before tax and deductions. A hike that moves you into a higher tax slab leaves less in hand.

BeforeAfterChange
Monthly₹50,000₹55,000+₹5,000
Annual₹6,00,000₹6,60,000+₹60,000

New salary = old × (1 + hike ÷ 100). Hike = (new − old) ÷ old × 100. Monthly = annual ÷ 12.

Next:
  • Gratuity Calculator Gratuity from your last basic pay and years of service, with the tax-free part
  • Salary Calculator CTC to in-hand pay, month by month, with every assumption on screen
  • Leave Encashment Calculator What unused leave pays on leaving a job, and how much of it is tax free

How to calculate salary increment and the new salary

1

Under "You know", choose "The hike %", and under "Salaries entered" pick Per year or Per month.

2

Type your "Current salary" and the "Hike" percentage from your letter.

3

Add "Inflation over the year (optional)" to see how much of the rise is real.

4

Read "New monthly salary", "New annual salary" and "Extra a month", then press "Share result" to copy a link.

About the Salary Increment Calculator

An increment letter, an appraisal or a new offer usually states a percentage, while the question that matters is what the monthly pay becomes. This calculator works both ways: enter the current salary and the hike to see the new salary, or enter the old and new salary to see the hike. Monthly and annual figures appear together, whichever you type in.

The formulas. The new salary is the old salary times (1 + hike ÷ 100). The hike percentage is (new − old) ÷ old × 100. Monthly pay is the annual figure divided by 12. Moving from ₹50,000 to ₹57,500 a month is a 15% hike, or ₹90,000 more a year.

The real raise. A raise is worth what it buys. If prices rose 5% over the year, a 10% hike is a real raise of 4.76%, not 5%: the exact figure is (1.10 ÷ 1.05) − 1. The calculator also shows the new salary in today's money and whether the raise beats inflation at all; a 3% hike in a 6% inflation year is a real pay cut. Inflation is left at 0 until you enter it. For India, the latest consumer price inflation is published monthly by the Ministry of Statistics (mospi.gov.in); elsewhere, use your national statistics office.

Before tax. Every figure is gross pay. A hike that pushes income into a higher tax slab leaves a smaller rise in hand than the percentage suggests, and a CTC hike may include employer PF or variable pay that never reaches the monthly salary. To see in-hand pay from an Indian CTC, put the new figure into the Salary Calculator.

What it does not do. It does not predict hikes, compare against industry averages or split a CTC into its parts. It covers one year's change; for a raise over several years, run it once per year. Currency changes the symbol only.

Frequently asked questions

How do I calculate a salary increment?

Multiply your current salary by the hike percentage and divide by 100 to get the increase, then add it to the old salary. A 10% increment on ₹6,00,000 is ₹60,000, so the new salary is ₹6,60,000 a year, or ₹55,000 a month. The calculator does both steps and shows monthly and annual figures.

How do I calculate the hike percentage from old and new salary?

Subtract the old salary from the new one, divide by the old salary and multiply by 100. Going from ₹50,000 to ₹57,500 a month gives 7,500 ÷ 50,000 × 100, which is a 15% hike. Use the same period for both figures: two monthly salaries or two annual ones.

What is a real salary increase after inflation?

A real increase is the rise in what your pay can buy. Divide one plus the hike by one plus inflation and subtract one. A 10% hike with 5% inflation is a real raise of 4.76%. When the hike is lower than inflation, the real raise is negative and the salary buys less than before.

Where do I find the current inflation rate?

India's consumer price inflation is published every month by the Ministry of Statistics and Programme Implementation at mospi.gov.in. Use the year-on-year figure for the period the raise covers. Readers elsewhere should use their national statistics office, such as the US Bureau of Labor Statistics or the UK Office for National Statistics.

Is the increment calculated on CTC or in-hand salary?

Most Indian employers state the increment on CTC or on fixed pay, not on in-hand salary. Because tax, provident fund and professional tax come out of the higher figure, a 10% CTC hike usually raises take-home pay by a little less than 10%. Enter the figure the letter uses, then check in-hand pay separately.

Does the calculator show tax on the new salary?

No. Every figure is gross, before income tax and other deductions. A raise that moves income into a higher slab loses a larger share to tax. For take-home pay from an Indian CTC, put the new annual figure into the Salary Calculator, which applies both tax regimes.

Formula only: no rates or limits are read from an official source.

Built by Saifuddin, Omnikit.

Still stuck? Ask about Salary Increment Calculator and anybody who knows can answer. No account needed.

Common uses

  • Salary Hike CalculatorTest hikes for a job switch or a raise and see the new monthly and annual pay
  • Hike Percentage CalculatorThe percentage hike between your old and new salary, and the real raise after inflation

Same job, other tools: Salary After Tax Calculator – Old regime or new regime, and what each leaves you every month · PF Calculator – What your PF account will hold when you retire · CTC Calculator – Break a cost to company into its parts and see what each one is for · Earned Leave Encashment Calculator – Earned or privilege leave turned into rupees at your basic pay and DA.

Also works as: Appraisal Calculator.

Related tools

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Gratuity CalculatorGratuity from your last basic pay and years of service, with the tax-free partEPF CalculatorYour provident fund balance at retirement, with the EPS split and a yearly tableSalary CalculatorCTC to in-hand pay, month by month, with every assumption on screenLeave Encashment CalculatorWhat unused leave pays on leaving a job, and how much of it is tax freeNotice Period CalculatorLast working day from the day you resign, and the cost of leaving soonerRetirement Date CalculatorYour last day of service from your date of birth, under the rule your employer usesESI CalculatorEmployee and employer ESI contribution from monthly wages, with the ₹21,000 coverage checkProrated Salary CalculatorPay for a partial pay period by calendar days, working days or hours, holidays excluded
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