Pay Raise Calculator
See what a raise is worth after taxes, not just on paper.
Estimate only, for one US earner using the standard deduction. Take-home uses the same assumptions as the US paycheck calculator.
Why a 5% raise is not 5% more take-home
A raise is taxed at your marginal rate: federal income tax, Social Security, Medicare and usually state tax all apply to the extra pay. For many workers the combined rate on the extra dollars is roughly 20% to 35%, so many workers keep about two thirds to four fifths of a raise.
Example
A single worker in Texas earning $60,000 who gets a 5% raise moves to $63,000. The gross increase is $3,000 a year ($250 a month), but take-home rises by about $2,410 (you keep about 80% of the raise), or around $93 per biweekly paycheck. Hourly pay goes from about $28.85 to $30.29 on a 40-hour week.
Using the result
When comparing job offers, convert each salary to take-home pay rather than comparing gross numbers; see how to compare offers. If you are moving to hourly work, check the salary to hourly converter. If you also received a bonus, try the bonus tax calculator.
FAQ
How do I calculate a raise percentage?
Subtract the old salary from the new one, divide by the old salary, and multiply by 100.
Will a raise push me into a higher tax bracket?
Only the part of income above a bracket threshold is taxed at the higher rate, so a raise never lowers your total take-home.