Frequently Asked Questions
What inflation rate should I use?
Use the most recent year-over-year CPI-U rate from the Bureau of Labor Statistics (BLS.gov). This is the headline inflation number reported in the news.
Does this include taxes?
No. This calculator uses gross salary. Use AfterTaxSalaryCalc.com to see after-tax impacts.
Why does my real raise feel smaller than the calculator shows?
Your personal inflation rate may be higher than the national CPI. Housing, healthcare, and food often rise faster than the headline number.
Can I use monthly salary instead of annual?
Enter your annual salary for consistent results. Multiply your monthly salary by 12 first.
What if inflation is negative (deflation)?
The calculator handles negative inflation. In a deflationary environment, your purchasing power increases even without a raise.
How is the inflation-adjusted salary calculated?
Real salary = New salary ÷ (1 + inflation rate). This adjusts your nominal income backward to show what it could have bought in the previous period's dollars.
Is this financial advice?
No. This is a planning estimate. Consult a financial advisor for compensation and career decisions.