1. What is Salary Hike Percentage?

The salary hike percentage measures the increase in salary from an old amount to a new amount, expressed as a percentage of the original salary. It's commonly used in Australia to evaluate pay raises, promotions, or job changes.

2. How Does the Calculator Work?

The calculator uses the salary hike formula:

Where:

• \( \text{New Salary} \) — The increased salary amount in AUD
• \( \text{Old Salary} \) — The original salary amount in AUD

Explanation: The formula calculates the difference between new and old salary as a percentage of the old salary.

3. Importance of Salary Hike Calculation

Details: Calculating salary hike percentage helps employees understand their pay increase in relative terms, compare job offers, and negotiate salaries effectively in the Australian job market.

4. Using the Calculator

Tips: Enter both salary amounts in Australian Dollars (AUD). The old salary must be greater than zero for the calculation to work.

5. Frequently Asked Questions (FAQ)

Q1: What's considered a good salary hike in Australia?
A: Typically 2-5% for annual increments, 10-20% for promotions, and 15-30% when changing jobs, but varies by industry and role.

Q2: Should I include superannuation in the salary amounts?
A: For accurate comparison, use either base salary (excluding super) or total package (including super) consistently for both values.

Q3: How does this differ from salary sacrifice calculations?
A: This calculates gross increase percentage. Salary sacrifice affects take-home pay but not the gross salary hike percentage.

Q4: What if my salary decreased?
A: The calculator will show a negative percentage, indicating a salary reduction rather than an increase.

Q5: Does this account for inflation?
A: No, this calculates nominal increase. For real increase, you'd need to adjust for inflation separately.