If you currently make $11/hr and get a 3% pay raise, your new pay level is $11.33/hr.

**How to Calculate Pay Raise by Percentage** (shared by TimeSheets.com):

**Step 1: Convert your percentage into decimal form.**

## This will give you a number that you can use to multiply by the employee’s current pay rate. To do this simply take the percentage you wish to use, say 3%, and move your decimal over to the left two places. .03 gives you a real number you can work with.

**Step 2: Multiply by the employee’s current pay rate by that decimal.**

## If your employee makes $15/hour, then you have: 15x.03=.45. So your employee’s increase is 45 cents per hour. For an employee who makes a salary of $45,000/year, then you have: 45,000x.03=1,350. So your salaried employee’s pay increase is $1,350 per year.

Calculate your new pay rate after receiving a raise or salary increase (includes conversions to other pay periods) using AJ Design Software's Pay Raise Calculator.