How this calculator works
A percentage raise applies to your current hourly rate. A 4% raise on $25 per hour adds $1 per hour, not $4. This calculator then turns the new rate into weekly and annual gross-pay estimates using the hours and paid weeks you enter.
The starting schedule is 40 hours each week for 52 paid weeks, or 2,080 hours a year. Change those numbers for part-time work or unpaid weeks. All results are before taxes and deductions. Hours are paid at the same rate; overtime premiums, bonuses and irregular schedules are not modeled. A negative raise represents a pay cut, down to a 100% cut.
Worked example: $25/hour with a 4% raise
- Multiply $25 × 0.04 = $1 more per hour.
- Add $1 to $25 = $26 per hour.
- At 40 hours, $26 × 40 = $1,040 per week.
- At 52 paid weeks, $1,040 × 52 = $54,080 per year.
New gross pay is $26/hour and $54,080/year, an annual increase of $2,080 at this schedule.
Raises from $25/hour at 40 hours × 52 weeks
| Raise | New hourly | Annual gross |
|---|---|---|
| 0% | $25.00 | $52,000 |
| 2% | $25.50 | $53,040 |
| 4% | $26.00 | $54,080 |
| 10% | $27.50 | $57,200 |
Annualized pay is not take-home pay
The annual figure assumes your entered hours are paid each week for the entered number of weeks. Taxes and deductions lower take-home pay; unpaid time can reduce actual gross earnings too.
Questions people ask
- Why use 40 hours and 52 weeks?
- They provide an editable year-round full-time example, not a promise about your schedule. Change hours and paid weeks to reflect your own work.
- Does this include overtime?
- No. Every entered hour is multiplied by the same hourly rate. Overtime premiums and local overtime rules require a separate calculation.
- Can I calculate a pay cut?
- Yes. Enter a negative percentage, such as −4 for a 4% cut. Percentages below −100 would imply negative pay and are not accepted.