A salary hike percentage tells you how much your pay went up relative to what you earned before. Recruiters, appraisal letters and job offers all talk in hike percentages, so being able to compute it quickly helps you compare offers and set expectations.
The formula
The hike percentage is simply the increase as a fraction of your current salary:
Hike % = (Revised − Current) ÷ Current × 100
For example, if your current CTC is ₹4,00,000 and your revised CTC is ₹5,20,000:
- Increase = ₹5,20,000 − ₹4,00,000 = ₹1,20,000
- Hike % = ₹1,20,000 ÷ ₹4,00,000 × 100 = 30%
Use the same basis for both figures
The single most common mistake is comparing your current in-hand with a revised CTC, or vice versa. CTC includes employer contributions and variable pay that never reach your bank account, so mixing the two inflates the number. Decide whether you are measuring a CTC hike or a take-home hike, then use that basis for both inputs.
When this helps
- Appraisals — translate a "your revised CTC is X" letter into the percentage everyone quotes.
- Job offers — compare a new offer against your current salary on a like-for-like basis.
- Negotiation — check whether a proposed number matches the hike you asked for.
If you only know the percentage and want the resulting salary, use the new salary after hike calculator. To turn an annual package into a monthly figure, the LPA to monthly salary calculator does that in one step. For interview and offer strategy, the CodeBegun career guides cover how to evaluate an offer beyond the headline hike.