More in Income
What this calculator does
A 4% raise feels good until inflation and taxes eat most of it. This calculator shows your real raise after both.
The math
Real raise = nominal raise − inflation − (nominal raise × marginal tax rate). Take-home multiplier = (1 + nominal raise) × (1 − tax rate) ÷ (1 + inflation).
Worked example
A 4% raise with 3% inflation and a 22% marginal tax rate leaves a real raise of roughly 0.9%.
Why this matters
Your salary and your spendable income are not the same number. This calculator shows what you actually keep and what that means for your budget.
Methodology and transparency
This page publishes the exact formula used to compute the result, so you can verify it in a spreadsheet or check the assumptions against your own situation. The worked example uses the tool default inputs; change any number and the result updates live in your browser. No data is sent or stored.
Common questions
Why does the tax rate matter?
Raises are taxed at your marginal rate, not your average rate. A higher bracket eats more of the new money.
What if inflation is higher than my raise?
Then your buying power shrinks. You effectively took a pay cut.
How do I negotiate a real raise?
Ask for a raise that beats inflation plus your marginal tax rate, or negotiate non-taxable benefits.