menajobs
  • Resume Builder
  • Pricing
Post a Job
HireLoginStart freeGet Started — Free
  1. Home
  2. Free HR tools
  3. Annual Increment Calculator

Free HR tool · No sign-up

Annual Increment Calculator

How much does a salary increment add to an employee's package and to payroll?

Work out a pay rise by percentage or fixed amount, on basic salary or the whole package: the new salary, the monthly increase and the extra payroll cost per year.

How the increment is calculated

Increase = percentage × basic salary (or × the whole package), or the fixed amount you enter. On basic, the whole increase goes on basic salary; on the whole package, it is spread across basic and allowances in their current proportion. New package = current package + increase; yearly cost = monthly increase × 12. The calculator also shows the increase as a percentage of the total package, so a 5% rise on basic can be compared with a rise on the whole package.

Before you use it

  • Figures are before any change to benefits or bonuses.
  • Not legal or financial advice.

Related

Confirm the new salary with the promotion letter generator and base the decision on a performance review.

Frequently asked questions

Is there a legal annual increment in the GCC?

+

No. GCC labour laws don't set a yearly pay-rise percentage for the private sector; increments are a company decision, usually linked to performance reviews.

Should the increase go on basic salary or allowances?

+

In the UAE, end-of-service gratuity and leave pay are calculated on basic salary, so raising basic also raises those future costs. Raising allowances doesn't. Choose 'Whole package' to keep the current split.

How do I confirm the increment to the employee?

+

With a salary revision or promotion letter showing the new split and effective date, and update the contract record and WPS payroll from that month.

Does the calculator include bonuses?

+

No — it covers fixed monthly pay only. Add one-off bonuses separately.

Every week this role stays open costs you. Post it free today.

Post the job on MenaJobs free in about 2 minutes. We review every post, and once approved it reaches job seekers across the UAE, Saudi Arabia, Qatar, Kuwait, Bahrain and Oman.

Post a job free

More free HR tools

Promotion Letter Generator

Confirms a new title, effective date and revised salary package.

Open tool

Performance Review Template

A one-page review form: goals, ratings, strengths, development plan and sign-off.

Open tool

Payslip Generator

A monthly salary slip with earnings, deductions and net pay.

Open tool

Offer Letter Generator

A Gulf-format offer letter with basic pay, allowances, probation and notice, in English and Arabic.

Open tool

See all free hiring tools →

menajobs

AI-powered GCC job board with resume optimization tools.

Serving:

UAESaudi ArabiaQatarKuwaitBahrainOman

Product

  • For Employers
  • Job Bundles
  • Resume Tools
  • Pricing
  • ATS Checker
  • Offer Evaluator
  • All Tools

Resources

  • Resume Examples
  • Resume Templates
  • Resume Summaries
  • Resume Mistakes
  • Cover Letters
  • Achievement Examples
  • ATS Resume Guide
  • Fresher Resumes

Career Guides

  • CV Format Guides
  • Skills Guides
  • Salary Guides
  • ATS Keywords
  • Job Descriptions
  • Career Paths
  • Interview Questions
  • Career Change
  • GCC Salary Report

Country Guides

  • Jobs by Country
  • Visa Guides
  • Cost of Living
  • Expat Guides
  • Work Culture

Free Tools

  • Gratuity Calculator
  • Final Settlement Calculator
  • Visa Grace Period
  • Resume Keyword Matcher
  • Cover Letter Generator

Company

  • About
  • Contact Us
  • Privacy Policy
  • Terms of Service
  • Refund Policy
  • Shipping & Delivery
  • Sitemap

Browse by Country

  • Jobs in UAE
  • Jobs in Saudi Arabia
  • Jobs in Qatar
  • Jobs in Kuwait
  • Jobs in Bahrain
  • Jobs in Oman

Browse by City

  • Jobs in Dubai
  • Jobs in Abu Dhabi
  • Jobs in Sharjah
  • Jobs in Riyadh
  • Jobs in Jeddah
  • Jobs in Doha
  • Jobs in Kuwait City
  • Jobs in Manama

Browse by Category

  • Technology Jobs
  • Healthcare Jobs
  • Finance Jobs
  • Construction Jobs
  • Oil & Gas Jobs
  • Marketing Jobs
  • Hospitality Jobs
  • Education Jobs

Browse by Nationality

  • UAE Jobs for Indians
  • UAE Jobs for Filipinos
  • Saudi Jobs for Indians
  • Saudi Jobs for Pakistanis
  • Qatar Jobs for Nepalis
  • Qatar Jobs for Filipinos
  • Kuwait Jobs for Egyptians
  • Bahrain Jobs for Indians
  • Oman Jobs for Bangladeshis
  • UAE Jobs for Pakistanis

Popular Searches

  • Tech Jobs in Dubai
  • Healthcare Jobs in Dubai
  • Finance Jobs in Dubai
  • Engineering Jobs in Dubai
  • Marketing Jobs in Dubai
  • Oil & Gas Jobs in Dubai
  • Tech Jobs in Riyadh
  • Healthcare Jobs in Riyadh
  • Finance Jobs in Riyadh
  • Engineering Jobs in Riyadh
  • Marketing Jobs in Riyadh
  • Oil & Gas Jobs in Riyadh
  • Tech Jobs in Abu Dhabi
  • Healthcare Jobs in Abu Dhabi
  • Finance Jobs in Abu Dhabi
  • Engineering Jobs in Abu Dhabi
  • Marketing Jobs in Abu Dhabi
  • Oil & Gas Jobs in Abu Dhabi
  • Tech Jobs in Doha
  • Healthcare Jobs in Doha
  • Finance Jobs in Doha
  • Engineering Jobs in Doha
  • Marketing Jobs in Doha
  • Oil & Gas Jobs in Doha
  • Tech Jobs in Kuwait City
  • Healthcare Jobs in Kuwait City
  • Finance Jobs in Kuwait City
  • Engineering Jobs in Kuwait City
  • Marketing Jobs in Kuwait City
  • Oil & Gas Jobs in Kuwait City

As featured on

Featured on Better LaunchFeatured on neeed.directoryFeatured on Aura++ViesearchList on SimilarlabsLaunched onTiny Startupstinystartups.comFeatured on Findly.toolsFeatured on LaunchVerified on DANG!Featured on FoundrList
Featured on Better LaunchFeatured on neeed.directoryFeatured on Aura++ViesearchList on SimilarlabsLaunched onTiny Startupstinystartups.comFeatured on Findly.toolsFeatured on LaunchVerified on DANG!Featured on FoundrList
Featured on Better LaunchFeatured on neeed.directoryFeatured on Aura++ViesearchList on SimilarlabsLaunched onTiny Startupstinystartups.comFeatured on Findly.toolsFeatured on LaunchVerified on DANG!Featured on FoundrList
Featured on Better LaunchFeatured on neeed.directoryFeatured on Aura++ViesearchList on SimilarlabsLaunched onTiny Startupstinystartups.comFeatured on Findly.toolsFeatured on LaunchVerified on DANG!Featured on FoundrList

© 2026 MenaJobs. All rights reserved.

HireLoginStart freeGet Started — Free
Increase by
%
Apply the increase to

Whole package spreads the raise across basic and allowances in their current proportion.

ANNUAL INCREMENTUAE · AED

New monthly package

Current monthly package
AED 14,000

Basic AED 9,000 + allowances AED 5,000

Increase per month
AED 450

5% of basic salary

New basic salary
AED 9,450
New allowances
AED 5,000
Increase as % of total package
3.21%
Extra payroll cost per year
AED 5,400

Monthly increase × 12 (before any bonus or benefit changes)

New total monthly packageAED14,450

Was AED 14,000

  • Increments are a company decision — GCC labour laws don't set a yearly pay-rise percentage.
  • The whole increase goes on basic salary. In the UAE, end-of-service gratuity and leave pay are calculated on basic salary, so raising basic also raises those costs.
  • Pay the new salary through WPS from the effective month and issue a salary revision letter so the employment contract record matches.

Get this result in your inbox plus the promotion and salary revision letter formats.