Salary hike calculator — new CTC from a percentage
Turn a hike percentage into the actual new CTC, annual increase and monthly difference — the arithmetic your offer letter and appraisal letter should match.
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Estimate. The method and sources are on this page — check them against your own case before you act.
How it is calculated
A hike percentage is applied to the current CTC, not to your take-home. That is why a 10% hike usually adds less than 10% to the monthly bank credit.
New CTC = current CTC × (1 + hike ÷ 100) · Annual increase = current CTC × hike ÷ 100
Apply the percentage
Multiply the current CTC by the hike percentage to get the increase for the year. A 10% hike on Rs 8,00,000 is Rs 80,000.
Add it to the current CTC
New CTC is Rs 8,80,000 in this example. Divide by 12 for the monthly CTC figure, which is useful for comparing offer letters.
Check the take-home
Basic pay, PF, HRA and tax decide how much reaches your bank. Run the new CTC through the in-hand salary calculator instead of assuming the hike percentage carries through.
What most pages get wrong
Hikes are calculated on CTC, not on gross salary
If your company quotes a hike on fixed pay or on gross salary, enter that base instead of CTC so the result matches your letter.
Rs 80,000 a year is about Rs 6,667 a month
Divide the annual increase by 12 for the monthly change in CTC. The change in take-home will be smaller once PF and tax are applied.
A 10% hike on a modal salary is common, a 30% switch hike is not
The calculator makes no judgement about whether a hike is fair — it simply converts the number. Compare the new CTC and role, not only the percentage.
Frequently asked questions
How do I calculate a 10% salary hike?+
Is a hike calculated on CTC or basic salary?+
Why is my in-hand increase smaller than the hike?+
Can I use this for a job switch offer?+
What does a negative hike mean?+
Does the hike calculator include bonus or variable pay?+
Sources, dates and a changelog.
Every number this calculator uses is either an input you control or a value from the sources below. The formula is compiled and tested at build time, so the page cannot ship with a broken calculation.
Sources
- Income Tax Department — salary income and TDS on salary
- Checked by hand, not scraped
This page
- Last verified: 29 October 2026
- Next review: 29 April 2027
- Vertical: Salary & Tax
- Build tests: 4 passed
- Changelog: 1 entry
How we handle errors
- Spotted a mistake? Report it — we correct and log it.
- Corrections appear in the changelog below.
- Read the methodology and the disclaimer.