Pay Raise Calculator 2026
See your new salary and exactly how much more lands in each paycheck — weekly, biweekly, or monthly. Works for salary and hourly, percentage or fixed raises.
By Sammy S. · Founder · AuthorUpdated for 2026
Enter current pay
Annual salary or hourly rate. For hourly, also enter hours per week.
Enter your raise
Pick a percentage like 5%, or enter a fixed annual amount like $3,000.
See your results
New salary, raise amount, and extra per paycheck for every pay frequency.
Your raise
Extra per paycheck
5% raise on $50k, $75k & $100k — plus 3% & 10%
Same engine as the calculator. Gross (pre-tax) annual raise and extra per biweekly / monthly paycheck.
$50,000 salary
how much is a 5% raise on $50,000
+$96biweekly
5% → +$2,500/yr · new $52,500
$75,000 salary
how much is a 5% raise on $75,000
+$144biweekly
5% → +$3,750/yr · new $78,750
$100,000 salary
how much is a 5% raise on $100,000
+$192biweekly
5% → +$5,000/yr · new $105,000
5% raise · quick reference
What is a fair raise in 2026? The BLS Employment Cost Index benchmark
The Bureau of Labor Statistics Employment Cost Index (ECI) is the most rigorous measure of wage growth in the US — it controls for changes in the mix of jobs, making it more reliable than simple average-wage comparisons. The Q1 2026 release (12 months ending March 2026) shows:
| Period | Nominal wage growth | Real (inflation-adj) growth |
|---|---|---|
| 12 mo ending Mar 2026 | +3.4% | +0.1% |
| 12 mo ending Dec 2025 | +3.3% | +0.7% |
| 12 mo ending Sep 2025 | +3.6% | +1.1% |
| 12 mo ending Mar 2025 | +3.4% | +1.2% |
How to use this as a benchmark
A raise below 3.4% in 2026 is below the private-sector median — most workers around you got at least this much. A raise above 3.4% means you outperformed the average. With real wage growth at just +0.1%, even a 3.4% raise barely keeps pace with inflation (~3.3% required just to break even at recent CPI levels).
The real-wage reality
The Q1 2026 real wage growth of +0.1% means the median private sector worker gained almost nothing in purchasing power despite a 3.4% nominal raise. Only workers who received 5%+ saw meaningful gains in what their paycheck can actually buy in 2026.
How much of your raise do you actually take home? The 2026 federal tax math
The calculator shows gross (pre-tax) figures. Your actual take-home increase is meaningfully smaller once federal income tax, FICA (Social Security + Medicare), and state income tax take their shares. Here's the breakdown for a common scenario:
| Tax / deduction | Rate applied | Taken from $5,000 |
|---|---|---|
| Federal income tax (22% bracket) | 22% marginal | −$1,100 |
| Social Security | 6.2% (wages < $176,100) | −$310 |
| Medicare | 1.45% | −$72.50 |
| State income tax (est.) | ~5% (varies by state) | −$250 |
| Net take-home from $5K raise | +$3,267/yr · ~$126/biweekly |
2026 federal brackets at a glance
22% bracket: single $50,401–$105,700 / MFJ $100,801–$211,400. 24% bracket: single $105,701–$201,775 / MFJ $211,401–$403,550. Most workers with salaries of $65K–$150K are in the 22% bracket — meaning 22¢ of every marginal dollar goes to federal taxes alone.
Raise + 401(k) match compound
If your employer matches 4% of salary and your salary rises from $75K to $80K, your employer's maximum match rises from $3,000 to $3,200 — an additional $200 in free money per year (assuming you contribute at least 4%). This isn't reflected in the raise calculator's output.
No state income tax states
If you live in a state with no income tax (FL, TX, WA, NV, TN, WY, SD, AK, NH), your take-home on that $5,000 raise is roughly $3,517/yr (~$135/biweekly) — about $250 more per year than the example above.
How employers actually calculate raises: merit matrices, compa-ratio, and the three raise types
Understanding how your raise is determined — not just whether you got one — gives you the data to negotiate effectively.
Merit matrix
- Most Fortune 500 companies use a matrix grid with Performance Rating on one axis and Compa-Ratio on the other
- Compa-ratio = Your salary ÷ Band midpoint × 100. Below 90% = underpaid for your band; above 110% = at the top
- Someone at 85% compa-ratio rated 'Exceeds' typically gets 6–9%; the same rating at 115% compa-ratio gets 2–4%
- The total raise budget is fixed (often 3–4% of payroll), so not everyone can get above-market increases
Three raise types
- Merit raise: performance-based, typically 2–8%. Tied to your performance rating vs. peers
- COLA (cost-of-living adjustment): inflation-based, typically matches CPI (~2–3%). Keeps purchasing power flat
- Equity / market adjustment: one-time correction when your salary falls behind the market rate for your role. Often larger (5–15%) but given less frequently
- Promotional raise: tied to a title change, typically 10–20%. Distinct from any merit or COLA component
Data-backed negotiation
- Use the BLS OES (bls.gov/oes) for median wages by occupation and metro area — this is the same data HR uses
- Use our Inflation-Adjusted Salary Calculator to show exactly how much purchasing power you've lost since your last raise
- Anchor high: ask for 10–15% to settle at 5–8%. Most managers have discretion within their matrix
- Best timing: 2–3 months before your review cycle, after a visible project win, or after receiving a competing offer
The new salary and per-paycheck increases above come from your current pay, raise percentage or fixed dollar amount, and pay type—not a third-party feed. We compute the annual raise, add it to your current annual pay, then split the increase across standard pay frequencies. Below are the formulas, the order we follow, and worked examples you can check by hand.
Formulas
| Line | Formula |
|---|---|
| Current annual pay (salary) | Annual salary as entered |
| Current annual pay (hourly) | Hourly rate × hours per week × weeks per year |
| Raise from percentage | Annual raise = current annual × (raise % ÷ 100) |
| Raise from fixed amount | Annual raise = fixed $ entered (overrides percentage) |
| New annual salary | Current annual + annual raise |
| Effective raise % | (Annual raise ÷ current annual) × 100 |
| Raise per paycheck | Annual raise ÷ pay periods per year (52, 26, 24, or 12) |
| Real raise after inflation | ((1 + nominal raise %) ÷ (1 + inflation %)) − 1 |
Order of operations
Convert to annual pay
Salary input used directly; hourly × hours × 52 weeks
For hourly workers we annualize your rate using hours per week (default 40) and 52 weeks per year unless you change hours in the calculator.
Compute the annual raise
Percentage of current annual, or fixed dollar amount if provided
A fixed annual dollar raise takes priority over the percentage field. The effective raise percentage is derived from the dollar increase divided by current pay.
Calculate new annual salary
Current annual + annual raise
This is your new gross annual compensation before taxes, benefits, or bonus changes.
Split across pay frequencies
Divide annual raise and new salary by 52, 26, 24, or 12
Weekly (52), bi-weekly (26), semi-monthly (24), and monthly (12) figures are even splits of the annual amounts—they do not model your employer's exact pay calendar.
Update hourly rate (hourly mode)
New hourly = new annual ÷ total hours per year
When you enter an hourly rate, we also show the equivalent new hourly pay after applying the same raise logic.
Worked example
$60,000 salary · 5.00% raise
Raise: $60,000 × 5.00% = $3,000/yr
$60,000 + $3,000 = $63,000 new annual salary
Biweekly increase: $3,000 ÷ 26 = $115.38/pay
Monthly increase: $3,000 ÷ 12 = $250.00/pay
| Line item | Amount |
|---|---|
| Current annual pay | $60,000 |
| Raise percentage | 5.00% |
| Annual raise | $3,000 |
| New annual salary | $63,000 |
| Biweekly increase | $115.38 |
| Monthly increase | $250.00 |
| New biweekly gross | $2,423.08 |
| New monthly gross | $5,250.00 |
Fixed raise: Fixed $3,000 annual raise instead of a percentage → $63,000 (5.00% effective).
Hourly: Hourly: $30/hr, 40 hours/week, 5% raise → $62,400 annual, new rate $31.50/hr.
Inflation context: 5% raise vs. ~3.1% inflation → real wage growth 1.84%.
Constants we use
| Parameter | What we use |
|---|---|
| Default annual salary | $60,000 |
| Default raise | 5.00% |
| Default pay type | Annual salary |
| Hours per week (hourly) | 40 |
| Weeks per year (hourly) | 52 |
| Pay period divisors | 52 / 26 / 24 / 12 |
What we do not model on this page
All figures are gross (pre-tax) pay—we do not withhold federal, state, FICA, or local taxes, and we do not model bonuses, equity, benefits, or overtime unless you annualize hourly pay yourself. Per-paycheck splits assume standard divisors (52/26/24/12), not your employer's exact pay dates. Inflation and real purchasing power are shown separately for context, not deducted from the raise in the main calculator. Results are illustrative, not HR or tax advice.
How much is a 5% raise?
A 5% raise on a $60,000 salary adds $3,000 per year — about $115 more per biweekly paycheck, or $250 per month. On $50,000 it's +$2,500/yr (~$96 biweekly); on $75,000 it's +$3,750/yr (~$144 biweekly); on $100,000 it's +$5,000/yr (~$192 biweekly). Use the calculator above for your exact salary and any raise percentage or fixed amount.
How much is a 5% raise on $50,000, $75,000, or $100,000?
Gross (pre-tax) figures from the same engine as the calculator: $50,000 → new salary $52,500 (+$2,500/yr, ~$96 biweekly). $75,000 → $78,750 (+$3,750/yr, ~$144 biweekly). $100,000 → $105,000 (+$5,000/yr, ~$192 biweekly). Actual take-home is lower after federal, FICA, and state tax.
How much more per paycheck will I get?
It depends on pay frequency. For a $3,000 annual raise: weekly +$58, biweekly +$115, semi-monthly +$125, monthly +$250. Enter your details above to see the exact number for your pay schedule.
Can I calculate a raise for hourly pay?
Yes. Switch to "Hourly Rate" at the top of the calculator, enter your current rate and hours per week, and we'll convert to annual and show your new hourly rate and per-paycheck increase.
What if my raise is a fixed dollar amount?
Use the "Fixed $ amount" field instead of a percentage. Enter the annual dollar increase (e.g. $3,000) and the calculator shows your new salary, effective raise %, and extra per paycheck.
Does the calculator account for taxes?
No — these are gross (pre-tax) figures showing how your pay changes. Your actual take-home increase will be smaller after federal, state, and FICA taxes. Use the US tax calculator for after-tax estimates.
Is a 3% raise good in 2026?
3% is roughly in line with typical cost-of-living adjustments. If inflation runs higher, a 3% raise may still mean a real pay cut in purchasing power. Merit raises often run 5–10%, and promotional raises 10–20%.
What is the average wage increase in 2026 according to the BLS?
According to the U.S. Bureau of Labor Statistics Employment Cost Index (ECI) for Q1 2026 (12 months ending March 2026), private sector wages and salaries grew 3.4% year-over-year. After accounting for inflation (~2.7–2.9% CPI-U in 2025), real wage growth was approximately +0.1% — barely above flat. This means the median worker saw almost no gain in purchasing power despite a 3.4% nominal raise. A raise above 3.4% in 2026 beats the market median; below 3.4% is below the average for private sector workers.
How much of a raise do you actually take home after taxes?
Less than the gross amount. For a $5,000 annual raise, a single filer in the 22% federal bracket (2026: $50,401–$105,700 taxable income) pays approximately $1,100 in additional federal income tax (22% × $5,000) and $382 in FICA (7.65% employee share — 6.2% Social Security + 1.45% Medicare). Adding a typical ~5% state income tax adds another ~$250. Net after-tax take-home on a $5,000 raise: roughly $3,268/year — about $126 per biweekly paycheck, not the $192 gross figure. Use the US Tax Calculator for a precise after-tax estimate based on your specific situation.
How do employers calculate raises? What is a merit matrix?
Most large employers use a merit matrix — a grid that determines raise percentage based on two factors: (1) your performance rating and (2) your compa-ratio (your current salary divided by the midpoint of your salary band × 100). An employee at 90% compa-ratio who scores 'Exceeds Expectations' typically receives a larger % increase than one at 110% compa-ratio with the same rating. There are also three distinct raise types: merit raises (performance-based, typically 2–6%), COLA increases (inflation adjustment, often 2–3%), and equity/market adjustments (one-time corrections when the market rate for a role outpaces your salary). Understanding which type you're being offered is key — a 3% COLA raise is very different from a 3% merit raise in a year where inflation is 2.7%.
Related tax tools
Real Raise by State
See how much of a 5% raise survives tax and inflation in your state.
US Tax Calculator
Estimate after-tax take-home on your new salary.
Inflation-Adjusted Salary
Check if your raise keeps pace with inflation.
Hourly to Salary Calculator
Convert hourly raises to annual pay.
Promotion Impact Calculator
Compare staying vs switching for a bigger bump.
Related calculators
5% after tax + CPI
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5–15 yr projection
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Want to see your actual take-home after taxes?
The raise calculator shows gross numbers. The tax calculator shows what you keep.