Direct answer
The raise is $2/hour. Divide $2 by $20 to get a 10% raise, then multiply the $2 increase by expected paid hours for annual impact.
The percentage is useful for comparison, but the annual dollar impact is usually clearer for budgeting.
Use this answer for turning an hourly raise from $20 to $22 into percentage and annual impact. Before relying on it, compare the inputs with your pay stub, offer letter, payroll setting, benefits record, or employer pay policy.
Open Pay Raise CalculatorFormula and worked example
Formula: Raise percent = ($22 - $20) ÷ $20. Annual raise = $2 × weekly hours × paid weeks.
Example: At 40 hours per week for 52 weeks, a $2/hour raise adds about $4,160 gross per year.
Keep the formula and the example visible when you change inputs. That makes it easier to spot whether the difference came from hours, dates, pay frequency, or policy wording.
Comparison table
| Part | Value | Why it matters |
|---|---|---|
| Question | turning an hourly raise from $20 to $22 into percentage and annual impact | Defines the exact calculation |
| Formula | Raise percent = ($22 - $20) ÷ $20. Annual raise = $2 × weekly hours × paid weeks. | Keeps assumptions visible |
| Example | At 40 hours per week for 52 weeks, a $2/hour raise adds about $4,160 gross per year. | Shows the number in context |
| Calculator | Pay Raise Calculator | Tests real inputs |
Step-by-step method
Key checks
- Write down the pay rate, hours, salary, pay period, overtime, premiums, taxes, and deductions before calculating.
- Calculate the simplest version first so the baseline is clear.
- Apply the rule: Raise percent = ($22 - $20) ÷ $20. Annual raise = $2 × weekly hours × paid weeks.
- Adjust for gross versus net pay, pay frequency, overtime eligibility, tax assumptions, deductions, bonuses, and premiums only when those details are part of the real situation.
- Compare the result with your pay stub, offer letter, payroll setting, benefits record, or employer pay policy before using it for a real paycheck estimate, job offer comparison, raise review, or budget plan.
What can change the answer
The result can change when gross versus net pay, pay frequency, overtime eligibility, tax assumptions, deductions, bonuses, and premiums are involved. That does not make the calculator unreliable; it means the inputs need to match the real rule.
If the result is for planning, a close estimate may be enough. If it affects pay, PTO, notice timing, or a formal deadline, use the official record as the final source.
A good habit is to change one input at a time. That shows whether the schedule, pay rate, date range, or policy detail caused the new result.
Common mistakes
Key checks
- Do not calculate the percent using the new rate as the denominator.
- Do not forget weekly hours.
- Do not confuse gross raise with take-home raise.
Use the related calculator
Use Pay Raise Calculator when you want to test this question with real inputs instead of doing the math in your head.
After calculating, copy the result into a note, spreadsheet, payroll question, PTO request, or personal budget only after checking the assumptions.
If this answer raises a second question, use the related guides below rather than forcing one calculator to cover the whole decision.
Open Pay Raise Calculator