How it's calculated
New = Current × (1 + r ÷ 100)
Current = current pay, r = raise percent, New = new pay. Flat raise: New = Current + amount. Inflation-adjusted (real) raise = (1 + r ÷ 100) ÷ (1 + i ÷ 100) − 1, where i = inflation rate.
Common questions
What is the difference between a nominal and real raise?
Nominal is the headline increase in dollars. Real subtracts inflation, so a 3% raise during 3% inflation is roughly a 0% real raise.
Can I enter a flat-dollar raise instead of a percent?
Yes. Switch the mode to flat amount and the calculator works out the equivalent percentage for you.