What Raise Do I Need?
Required Raise
Alternative Scenarios
How to Calculate Required Raise Percentage
Single Raise Formula:
Current salary: $55,000
Target salary: $65,000
Required raise: (($65,000 - $55,000) ÷ $55,000) × 100 = 18.18%
Multiple Years Formula:
Current salary: $55,000
Target salary: $65,000 in 3 years
Annual raise needed: (($65,000 ÷ $55,000)^(1/3) - 1) × 100 = 5.73% per year
Strategies to Reach Your Target
If You Need a Large Single Raise (15%+)
• Consider changing jobs for a significant increase
• Seek a promotion with expanded responsibilities
• Negotiate during major company changes or acquisitions
• Demonstrate exceptional value through major achievements
If You Need Moderate Annual Raises (5-10%)
• Focus on consistent high performance
• Take on additional responsibilities gradually
• Develop new skills that add value
• Build a strong case for annual merit increases
If You Need Small Annual Raises (3-5%)
• This is achievable through standard performance reviews
• Focus on meeting and exceeding expectations
• Stay current with industry standards
• Maintain good relationships with management
Feasibility Assessment
Realistic Expectations
Single Year: 3-8% is typical, 10-15% requires strong justification, 20%+ usually requires job change
Multiple Years: 4-6% annually is sustainable, 8%+ annually is challenging but possible
Factors That Affect Feasibility
• Company size and industry
• Your current performance level
• Market demand for your skills
• Company financial health
• Your negotiation skills and timing