Budget results
Budget utilization
Department payroll comparison
Department summary
| Department | Employees | Current payroll | Raise cost | New payroll | Average raise |
|---|
Formula used
How to use this calculator
- Choose a currency and enter the available raise budget.
- Set payroll taxes, benefits, retirement, and timing assumptions.
- Select an allocation method and enter global raise rules.
- Add employees manually, import CSV data, or paste rows.
- Review warnings, salary-band limits, and budget utilization.
- Compare scenarios before exporting or saving the plan.
Example data
| Employee | Department | Annual salary | Rating | Proposed raise | New salary |
|---|---|---|---|---|---|
| Alex Morgan | Engineering | $82,000 | 4 | 5.00% | $86,100 |
| Jordan Lee | Sales | $68,000 | 3 | 3.00% | $70,040 |
| Sam Rivera | Operations | $54,000 | 5 | 7.00% | $57,780 |
Frequently asked questions
What is a salary increase budget?
It is the planned cost of employee salary raises. It may use a fixed amount or payroll percentage. Employer costs can extend beyond direct salary increases.
Can the calculator handle hourly employees?
Yes, hourly wages are annualized using standard working hours. You can also use daily, weekly, or monthly frequencies. Annual totals make employees easier to compare consistently.
How does performance-based allocation work?
Each rating maps to a recommended raise percentage. You can edit the matrix for company policies. Employees below the minimum rating become ineligible automatically.
What does compa-ratio mean?
Compa-ratio compares salary with the salary-band midpoint. A ratio below one indicates below-midpoint pay. It supports salary-band and market adjustment decisions.
Can raises be normalized to the budget?
Yes, proportional normalization scales all eligible raises downward. The calculator can also cap increases sequentially. Choose the behavior matching your compensation policy.
Are bonuses included in payroll?
Bonuses are included in total employer cost calculations. They do not change recurring base salary totals. This keeps permanent and one-time expenses separate.
How is the prorated cost calculated?
The annual employer increase is multiplied by applicable months. Enter twelve months for a full-year impact. Use fewer months for midyear implementation planning.
Can departments use different raise rates?
Yes, enter department names and percentages in allocation rules. Matching employee departments receive their assigned rates. Unmatched departments use the global base rate.
Does the calculator replace compensation review?
No, results are planning estimates based on entered assumptions. Legal, payroll, and equity reviews may still apply. Confirm final decisions with qualified organizational advisors.
Disclaimer
This calculator provides planning estimates, not payroll or legal advice. Actual costs depend on local laws and benefit structures. Review final budgets with qualified finance and compensation professionals.