Pay Rise Calculator UK
See how a pay rise could change your annual, monthly and weekly gross pay.
Pay Rise Calculator UK: Use the free WeFixPay calculator to compare your current salary with a percentage pay rise or a new annual salary. See the difference in your annual, monthly and weekly gross pay before deductions.
How the Pay Rise Calculator Works
The WeFixPay Pay Rise Calculator UK helps you see how a salary increase could affect your gross pay. Enter your current annual salary and either a pay rise percentage or your new annual salary. The calculator will show your new salary, percentage increase, annual increase, monthly increase and weekly increase. It also compares your current monthly gross pay with your new monthly gross pay before deductions.
Pay Rise Calculator UK Example
Suppose your current annual salary is £30,000 and you receive a 5% pay rise. Your new annual salary would be £31,500, giving you an annual increase of £1,500.
That works out to an extra £125 per month or approximately £28.85 per week before Income Tax, National Insurance, pension contributions, student loan repayments and other deductions.
You can use the calculator above to try different pay rise percentages or enter a new salary directly to see the percentage increase.
Pay rise amount = current salary × (pay rise percentage ÷ 100)
Does a Pay Rise Affect Tax and National Insurance?
A pay rise increases your gross income, so it can also change how much Income Tax and National Insurance you pay. The amount that reaches your bank account will usually be lower than the gross increase shown by this calculator because deductions may also rise.
Pension contributions, student loan repayments and other workplace deductions can also affect your final take-home pay. You can use the WeFixPay UK Tax Calculator and National Insurance Calculator to estimate these deductions after checking your new salary.
For official information about Income Tax rates and allowances, see the GOV.UK Income Tax guidance.
How to Calculate a Percentage Pay Rise
To calculate a percentage pay rise manually, multiply your current annual salary by the pay rise percentage and divide the result by 100. Add that amount to your current salary to find your new annual salary.
For example, if you earn £40,000 and receive a 4% pay rise, the increase is £1,600. Your new annual salary would therefore be £41,600. This is an increase of approximately £133.33 per month before deductions.
The same calculation can be used for different percentages. A 3% rise on £30,000 adds £900 per year, while a 10% rise adds £3,000. The Pay Rise Calculator UK above does these calculations automatically and also shows the estimated weekly and monthly increase.
- 3% pay rise – multiply your salary by 0.03.
- 5% pay rise – multiply your salary by 0.05.
- 10% pay rise – multiply your salary by 0.10.
- New salary known – enter the new annual salary and the calculator will work out the percentage increase.
Can a Pay Rise Affect Universal Credit?
A pay rise can affect Universal Credit because your award is linked to your earnings and household circumstances. A higher salary does not always mean you will be worse off overall, but your Universal Credit payment may reduce as your earnings increase. You can read our guide on How a Salary Increase Affects Universal Credit to understand the relationship between higher earnings and Universal Credit.
What Should I Check After a Pay Rise?
Once your pay rise takes effect, check your first payslip carefully to make sure the new basic salary or hourly rate has been applied correctly. Also review your Income Tax, National Insurance, pension and any other deductions, as these may change when your gross pay increases.
If the increase starts part-way through a pay period, your first payment may not show a full month at the new rate. Payroll cut-off dates can also affect when a salary increase appears.
When you receive your payslip, you can use the WeFixPay Payslip Checker to review the figures and highlight possible differences worth checking.