Salary Increment Calculator (with Tax Impact)
Enter your salary and the raise (percent or amount) to see the new gross, how much extra income tax you'll pay under the 2026-27 slabs, and what actually lands in your account.
Pre-filled from Searchable Data: CPI inflation (latest month) 4.5 (1 Aug)
How this is calculated
New salary = current × (1 + increment%) or current + amount. The tax impact applies the Tax Year 2027 (FY 2026-27) salaried slabs to the annualised salary before and after the raise; the difference is the extra tax, and the marginal rate shows how much of every extra rupee goes to FBR (1% to 35% depending on the slab). The real-terms line deflates the raise by the CPI figure: real = (1 + raise) ÷ (1 + inflation) − 1.
Frequently asked questions
- How do I calculate increment percentage?
- (New salary − old salary) ÷ old salary × 100. A raise from Rs 150,000 to Rs 165,000 is 10%.
- Why is my take-home increase smaller than the raise?
- Because the extra income is taxed at your marginal slab rate (11% in the Rs 1.2–2.2M band, rising to 35% above Rs 7M a year), and a raise can push part of your income into a higher slab.
- What is a good increment in Pakistan?
- Anything above inflation (about 4–6% in 2026) is a real increase; market moves for skilled roles run 20–40%. Compare the real-terms line here, not the headline percentage.
- Does the increment affect EOBI or provident fund?
- EOBI is fixed on the minimum wage, so no. Provident fund is usually a percentage of basic salary, so it rises with the raise.
Sources
- Finance Act 2026: First Schedule, Part I, Division I (salaried slabs revised; s.4AB surcharge withdrawn for salaried): Federal Board of Revenue
Version 1.0.0 · reviewed 15 Sept 2026. Rates change with the Federal Budget and regulator notifications; we update this tool when they do. Confirm with the primary source before making financial decisions.