Salary Negotiation Calculator
See what a bigger counteroffer is really worth — the lifetime value of negotiating a higher raise, since every future raise compounds on top of it.
How it works
Offer salary = current × (1 + offer%) · Counter salary = current × (1 + counter%) · Each future year × (1 + future raise%) · Extra = Σ counter − Σ offer over N years
A raise is not a one-time bump — it resets the base that every future raise is calculated from. Winning a higher percentage today means each later raise is a percentage of a bigger number, so the gap widens every year. That compounding is why negotiating even one or two extra points at hire or review time can be worth many times the first-year difference over a career.
Worked example
On an $80,000 salary, a 3% offer gives $82,400 while a 6% counter gives $84,800 — $2,400 more in year one. Growing both at 3% a year for 5 years, the counter path earns about $12,700 more in total than the offer path.
Frequently asked questions
Why is the multi-year number so much bigger than the first-year gap?
Because future raises are percentages applied to your current salary. Starting from a higher base means every subsequent raise is larger in dollar terms, so the advantage compounds rather than staying flat.
Does this include bonuses or equity?
No — it models base salary only. Bonuses that are set as a percentage of base, and any raise-linked benefits, would make the negotiated difference even larger. Use the total compensation calculator to see the full picture.
Is a counteroffer always worth making?
Negotiating respectfully rarely costs you the offer, and the math shows the upside is durable. The right target depends on your market rate and the role, but the lifetime value of a few extra points is almost always significant.
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Educational estimate, not financial or tax advice. Real taxes, benefits and offers vary — confirm details with your employer or a professional.