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About

When numbers go up, whether it's the price of goods (inflation), a paycheck (raise), or profit margins (markup), understanding the specific mechanics of that increase is vital. This tool is designed to handle three distinct "increase" scenarios that often confuse users.

First, the standard mathematical increase. Second, the "Salary Mode," which breaks down a seemingly small percentage raise (e.g., 3%) into tangible weekly and monthly differences. Third, the "Retail Markup" mode, which calculates the necessary selling price to achieve a specific profit margin percentage - a calculation often performed incorrectly by simply adding a percentage to the cost. The tool also features a visual scale to help users instinctively grasp the magnitude of the added value relative to the base.

salary raise markup increase percentage

Formulas

For standard percentage increase:

Vfinal = Vstart × (1 + p100)

For Margin-based pricing (Break-Even):

Price = Cost1 Margin100

Reference Data

ScenarioFormulaExample (x=100)
Simple Addx × (1 + %)+10% → 110
Salary RaiseIncrease12 (Monthly)+5% on 50k$208/mo extra
Retail MarginCost1 − Margin%Cost 100, Margin 20% → Price 125
MarkupCost × (1 + Markup%)Cost 100, Markup 20% → Price 120

Frequently Asked Questions

This is a critical distinction in business. Markup is percentage added to the Cost. Margin is the percentage of the final Sales Price that is profit. A 50% Markup on $100 gives $150. A 50% Margin on $100 Cost requires a price of $200.
The tool calculates the total annual increase amount, then divides it by standard payroll frequencies: 52 for weekly, 26 for bi-weekly, and 12 for monthly.