Salary Increment Calculator

Find the percentage increase between an old and new salary.

How it is calculated

The reverse of the salary hike calculator — starting from two salary figures instead of applying a percentage to one.

Formula

Increment %: (New − Old) ÷ Old × 100

What is the Salary Increment Calculator?

Sometimes you know both your old and new salary but not the percentage. This calculator works backwards from the two figures to give the rupee increase and the increment as a percentage of the old salary.

It is useful when an appraisal letter states only the revised CTC, when comparing a new job offer with your current pay, or when an HR team wants to compare increments across employees. A teacher in Kochi whose salary moved from ₹8,50,000 to ₹9,52,000 can see what increment that really is. The calculator answers: by what percentage did my salary increase?

How to calculate it by hand

1. Write down the old annual salary O and the new annual salary N.

2. Increase in rupees = N − O.

3. Increment % = (N − O) ÷ O × 100.

4. Always divide by the old salary, since the increment is measured from where you started.

5. If N is smaller than O, the result is negative and shows a pay cut.

6. Use the same basis for both figures, for example CTC to CTC, not CTC to in-hand.

Why the base is the old salary

A percentage change compares the change with the starting value. Dividing by the new salary gives a smaller number that answers a different question: what share of the new salary is the increase. For a move from ₹8,50,000 to ₹9,52,000, the increase is ₹1,02,000. Divided by the old salary it is 12%. Divided by the new salary it is about 10.7%. Appraisals and offers always use the first, so the calculator does too.

Increments are not symmetric

A 20% cut followed by a 20% increment does not restore the original salary. A salary of ₹10,00,000 cut by 20% becomes ₹8,00,000, and a 20% rise on that gives only ₹9,60,000. To return to ₹10,00,000 you need a 25% increment. This is why comparing percentage changes across different bases can mislead, and why stating the rupee amounts alongside the percentage is helpful.

Like with like

The increment is only meaningful if both salaries are measured the same way. Comparing an old in-hand figure with a new CTC will exaggerate the increment, since CTC includes employer PF, gratuity and sometimes variable pay. If the new structure includes a performance bonus that the old one did not, compare fixed pay with fixed pay separately. The calculator does the arithmetic; choosing comparable figures is up to you.

Worked example, step by step

Anjali, a school teacher in Kochi, has received her revised pay letter. Her annual salary has gone from ₹8,50,000 to ₹9,52,000.

Answer: Increment 12%; Increase amount ₹1,02,000

Common mistakes to avoid

Dividing the increase by the new salary instead of the old one.

Comparing CTC with in-hand salary.

Including a one-time joining or retention bonus as part of the increment.

Treating two successive percentage changes as if they add up.

Where it is used

Checking the real increment in an appraisal letter.

Comparing a job offer with your current salary.

HR analysis of increments across teams.

Tracking salary growth across several years.

Frequently asked questions

How do I know if my increment is good?

Increments vary a lot by industry, role, and how well the company is doing. Comparing your increase to your industry's usual yearly range gives more useful context than one single number.

Loading Gananayantra…