A 4% raise on a $75,000 salary adds $3,000 and lifts pay to $78,000, which is $250 more gross each month. After Ontario tax, CPP and EI, you keep about $2,026 of it a year. That’s $169 a month, or 67.5% of the raise.
Percent or dollars
Enter the raise the way your employer quoted it, as a percentage or as a dollar amount. The calculator converts one into the other, then shows the new salary, the monthly change and the change per pay period. The same raise gives the same answer either way.
Why you keep only part
Extra income is taxed at your marginal rate. At $75,000 the combined rate is about 29.65%, and in 2026 CPP takes a little more on income up to $85,000. A $3,000 raise therefore nets about two thirds. A raise that pushes you into a higher bracket loses a bit more.
Comparing offers
An offer can look better before tax and worse after it. Use the take-home figure to compare two offers on equal terms. Benefits, vacation, pension matching and commute costs matter too, and they can outweigh a small salary gap.
Cost of living
A raise below inflation is a pay cut in real terms, even though the number on the stub goes up. With inflation at 3% and a raise of 2%, you can buy slightly less than last year. Watch the yearly rate of price growth when you negotiate, and ask for at least enough to keep up.
Negotiating
Bring the number you want and the reasons behind it: market pay for your role, results you delivered, extra duties you took on. Employer can’t move on salary? Ask about a bonus, more vacation or a training budget. Each is taxed differently.
Small raises over several years
They add up. A 3% raise every year on $75,000 gives about $87,000 after five years, or $12,000 more than today. But if raises trail inflation, buying power falls even as pay rises. Look at both numbers at each yearly review.
Promotion or raise?
A promotion usually carries a bigger jump than a cost-of-living raise, along with new duties. Run both through the calculator. Ask about the pay range for the new role and where you sit in it, because the top of a range caps future raises.
Before you accept
Look at the whole package. The raise is one piece. Benefits, bonus, vacation and flexibility all change what the job is worth to you over a full year. Get the offer in writing and confirm the date the new pay starts. Decide on the take-home figure, since that is the money you can spend.
Switching employers
A move often brings a bigger jump than a yearly raise. Compare the new offer with your current pay using take-home figures, and count what you’d give up, such as seniority, vacation and benefits. A higher salary is worth less if the commute grows.
Where to go next
See the whole pay stub with the payroll deductions calculator. Find the tax on each extra dollar in the marginal tax rate calculator. Then turn the new pay into a budget with the monthly budget calculator.
Frequently asked questions
How much of a raise do I keep after tax?
In Ontario at $75,000, about two thirds, since extra income is taxed at roughly 30%.
How do I calculate a percentage raise?
Multiply your salary by the percentage and add it to your salary.
What is a $3,000 raise per month?
$250 a month before tax.
Does a raise ever leave me with less money?
No. Only the extra income is taxed at a higher rate.
Should I compare offers before or after tax?
After tax gives the true difference, so use the take-home figures.
Does the calculator include benefits?
No. It covers salary, tax, CPP and EI only.
Sources and updates
Last reviewed: . Full disclaimer. How we build calculators. Editorial policy.
Estimate only. This calculator gives general information for planning. It is not tax, legal or financial advice, and it is not affiliated with the City of Toronto, MPAC or the Canada Revenue Agency. Results depend on the numbers you enter and may differ from official amounts. Check official sources or a qualified professional before you decide.