twelve lakh to fifteen
- Salary before
- ₹12,00,000
- Salary after
- ₹15,00,000
Hike percentage25%
The same 3 lakh next time is only 20% of the new base
Open this exampleSalary & HRcareerIndia only
Salary Hike Percentage Calculator
The percentage rise between two salaries. Dividing by the new salary instead of the old is the standard error and always understates the increase.
Also called: hike percentage, salary increase percentage.
Hike percentage
25%
A 25% rise, ₹3,00,000 more a year or ₹25,000 a month. To get the same amount again you would need a further 20%, because the base has grown.
Annual increase
₹3,00,000
Monthly increase
₹25,000
Multiplier
1.25
Percentage needed to repeat the amount
20%
The old salary as a fall from the new
-20%
An estimate, not an offer or a guarantee. Projected returns assume the rate you entered holds for the whole term, which no market does.
Method and background
This is what the calculation gives for the numbers you entered. It is an estimate, not advice, and it knows nothing about your situation beyond those numbers. Rules for India change on a published schedule; the effective date is shown on every rule-based tool.
How this is calculated
The base is the old salary, because that is what grew. Dividing by the new figure gives a smaller number that answers a different question. The interesting second line is what it takes to repeat the same rupee increase next time: after a 25% rise, the same amount again is only a 20% rise, because the base is larger. That is why percentage hikes shrink over a career even when the money does not.
hike = the increase divided by the old salary, not the new one- S_old
- Salary before (currency)
- S_new
- Salary after (currency)
Worked examples
Each of these is asserted on every build. If a change to the engine ever moved one of these answers, the build would fail before the page could print it.
no change is no hike
- Salary before
- ₹12,00,000
- Salary after
- ₹12,00,000
Hike percentage0%
boundary
Open this exampleMethod and limits
What it assumes
- Both figures on the same basis, either both CTC or both take-home.
What it deliberately does not model
- A rise in CTC is not a rise in take-home if the structure changed.
Formula version 1.0.0 · definition 1.0.0 · India · Report a problem with this calculator
Frequently asked questions
- Why does my hike percentage fall each year even though the money rises?
- Because the base grows. The same absolute increase on a larger salary is a smaller percentage, which is arithmetic rather than a comment on your performance.