Salary negotiation calculator for evaluating total compensation, doing counter-offer math, and making strategic career decisions.
Four tabs: total compensation value (base + bonus + equity + benefits), counter-offer math, raise vs. job-switch over 1/3/5 years, and a freelance hourly-rate calculator.
Disclaimer: Salary ranges vary by industry, location, and experience. Pull market data from Glassdoor, Levels.fyi, or H1B salary databases for accuracy.
Calculator information
📋 How to use this calculator
- Enter annual base salary components (USD) before tax.
- Add annual bonuses (cash bonus, performance bonus, profit sharing) as a percentage or dollar amount.
- Enter equity value: number of RSUs/stock options, current share price, vesting schedule (typically 4 years with a 1-year cliff).
- Calculate benefits: health insurance, 401(k) match, HSA contributions, commuter benefits, training budget - estimate fair market value.
- For the counter offer tab, enter the initial offer and your target; the calculator computes a reasonable anchor zone.
- For raise vs job switch, enter the internal raise (typically 3-5%) versus a new offer (typically 15-30%) and project 1/3/5 years out.
- For freelance, enter target annual take-home, billable hours, and overhead to compute the minimum hourly rate.
🧮 Total Compensation and Counter Offer Anchor
TC = Base + Bonus + (Equity_value / Vesting_years) + Benefits
- Base = annual base salary
- Bonus = (target_bonus_pct x Base) + sign-on bonus / tenure
- Equity_value = number_of_RSUs x current_share_price
- Vesting_years = typically 4 years (RSUs) or up to 10 years (stock options)
- Benefits = market value of insurance + retirement match + perks
Counter offer anchor: target = midpoint of the company's salary band + 10-15% premium. For freelance: hourly_rate = (target_income + overhead) / (annual_billable_hours x utilization_rate of 60-70%).
💡 Worked example: Software Engineer moving from Stripe to Google
Given:- Google offer: Base $180k/yr, 15% bonus, RSUs $200k vesting over 4 years
- Stripe current: Base $160k/yr, 12% bonus, no liquid equity
- Benefits difference at Google estimated at $5k/year better
Steps:- Google annual base = $180,000.
- Bonus 15% = $27,000.
- Annual equity = $200,000 / 4 = $50,000.
- Benefits diff = $5,000.
- Total Google TC = 180 + 27 + 50 + 5 = $262,000/year.
- Stripe TC = 160 + (12% x 160) = 160 + 19.2 = $179,200.
- Difference = $82,800/year or +46%.
Result: Moving to Google increases TC by 46% ($82,800/year), driven mainly by larger equity and bonus. A counter offer from Stripe would need at least +40% TC, difficult without a level promotion. Also weigh equity risk (share price can drop) and team/culture fit.
❓ Frequently asked questions
What is a reasonable salary increase when changing jobs?
US tech and finance market norms (2024-2026): 15-30% base salary increase when switching companies. Junior 20-35%, mid-level 15-25%, senior 10-20%. If an offer is below 15%, it's usually not worth switching unless culture or career trajectory is significantly better. During market downturns, increases can be only 5-15% due to talent oversupply.
How do I determine a counter offer target?
Three steps: (1) research salary bands via Glassdoor, LinkedIn Salary, levels.fyi, or BLS OEWS for your role + level + location; (2) define your reservation point (minimum acceptable) and aspiration point (ideal target); (3) anchor 10-15% above your aspiration to leave negotiation room. Always justify with concrete skills, certifications, or a competing offer.
Are RSUs counted as salary?
Yes. Restricted Stock Units are treated as ordinary income for federal tax purposes at the time of vesting (not grant), reported on your W-2. Employers typically withhold 22% federal supplemental tax (or 37% above $1M), plus state, Social Security, and Medicare. RSU value is volatile - shares can drop 50% in a year. When calculating TC, use a conservative valuation (grant-date price or 30-50% discount to current price) for planning purposes.
When is the best time to negotiate salary?
Three key moments: (1) when receiving a new offer - leverage is highest because the company has committed; (2) during annual performance reviews with concrete contribution evidence; (3) when promoted to a new level. Avoid negotiating during layoffs, a bad earnings quarter, or before you have 12 months in the role. Always negotiate in writing (email) for documentation.
How do I calculate a fair freelance hourly rate?
Formula: (Target annual income + Overhead [health insurance, software, office, self-employment tax]) divided by (billable hours x utilization rate). Example: target $120k + overhead $25k = $145k; available hours 2,000/year x 60% utilization = 1,200 hours. Rate = $145,000 / 1,200 = $121/hour. Add a 20-30% buffer for revisions and unpaid work. Benchmark against Upwork, Toptal, or industry rates for comparable roles.
📚 Sources & references
Last updated: May 11, 2026