What is this Tool?
The Salary Hike Calculator helps you instantly calculate your new salary after an appraisal or increment. Whether you've received a 10% hike or a 25% raise, this tool breaks down exactly how much more you'll earn monthly and annually. It's also useful when negotiating a job offer or comparing two salary packages.
Recommended — Career & Negotiation Books
⚠️ Affiliate disclosure: We may earn a small commission if you purchase through these links at no extra cost to you. Learn more
📖 Interview Ready for Finance Jobs
Resume, finance interview questions and salary negotiation guide by CA Shivam Palan — Zebra Learn Books.
View on Amazon →
🤝 Art of Negotiation
How to get what you want every time — essential reading before your next appraisal or salary discussion.
View on Amazon →
Frequently Asked Questions
What is CTC?
CTC stands for Cost to Company — the total amount a company spends on you in a year, including basic salary, allowances, the employer's PF contribution, gratuity, insurance and any variable pay or bonus.
Is CTC the same as take-home salary?
No. Your in-hand pay is CTC minus the employer's PF and gratuity, your own PF, professional tax and income tax — and variable pay is often paid separately. Depending on salary structure and tax regime, monthly take-home is often somewhere around 70–85% of CTC ÷ 12.
What is a good salary hike in India?
Aon's annual salary survey projected an average increase of about 9% for India in 2026, after roughly 8.9% in 2025. A hike clearly above your company's and industry's average is usually considered good; switching jobs often brings a bigger jump.
How do I negotiate a higher hike?
Bring evidence: your measurable results, market salary data for your role and city, and any extra responsibility you've taken on. Ask for a specific number, and if the hike can't move, ask about a promotion timeline, bonus or learning budget instead.
How do I calculate my new salary after a hike?
New salary = current salary × (1 + hike% ÷ 100). For a 10% hike on ₹6,00,000 CTC: 6,00,000 × 1.10 = ₹6,60,000 — an increase of ₹60,000 a year or ₹5,000 a month. The calculator above does this instantly.
How do I calculate my hike percentage?
Hike % = (new salary − old salary) ÷ old salary × 100. If your CTC goes from ₹8 lakh to ₹9.2 lakh, the hike is (9.2 − 8) ÷ 8 × 100 = 15%.
What is a 30% hike on ₹5 LPA?
30% of ₹5,00,000 is ₹1,50,000, so the new CTC is ₹6,50,000 — about ₹54,167 a month before deductions, up from ₹41,667.
What does LPA mean?
LPA means lakhs per annum. A salary of 6 LPA is ₹6,00,000 a year, or ₹50,000 a month in CTC terms (before deductions).
Is variable pay included in the hike?
It depends on your company. Some apply the hike to fixed pay only, others to total CTC including variable pay. Since variable pay depends on performance, compare the increase in fixed pay separately.
When do appraisals happen in India?
Many Indian companies follow the April–March financial year, so appraisal results and hikes are often announced between April and July. Some companies use the calendar year or the employee's joining date.
What is a good hike when switching jobs?
Job switches often come with bigger increases than internal appraisals, but there's no fixed number. Judge an offer on the fixed pay, variable pay, benefits, role and growth — and check what you'll actually take home each month.
Why is my in-hand increase smaller than the hike?
Part of the increase goes to PF contributions, and a higher salary may move you into a higher tax slab. Variable pay may also be paid quarterly or yearly. So your monthly in-hand increase is usually smaller than CTC increase ÷ 12.
Recommended — Money Saving Boxes
⚠️ Affiliate disclosure: We may earn a small commission if you purchase through these links at no extra cost to you. Learn more
🐷 Wooden Money Bank — 2 Lakh Target
Big size wooden piggy bank with lock — 1 lakh saving box with numbers. Start saving your salary hike!
💰 Premium 1.2 Lakh Saving Box
Wooden gullak with saving challenge tracker & marker — reusable money bank for adults & kids.