Is my raise actually good? The 3-number test every employee should run

You got a raise. You're vaguely happy. But was it a good raise, a mediocre raise, or a raise that actually made you poorer? Most people never run the math. Here's how to do it in under a minute.

Number 1: Your inflation-adjusted "real" raise

The headline percentage on your offer letter is not your real raise. You need to subtract inflation.

Formula: real_raise = raise_percent - inflation_rate

Current US CPI is running around 3.0% year-over-year in 2026. So:

A 3% raise = 0.0% real raise (you're treading water)
A 4% raise = 1.0% real raise (barely a real raise)
A 5% raise = 2.0% real raise (decent)
A 6% raise = 3.0% real raise (good)
A 7%+ raise = genuinely a good raise

If your "real raise" is 0% or negative, you did not get a raise. You got a slightly better-looking flat paycheck.

Number 2: The market-comparison test

Are you getting paid what the market is paying for your role? This is the most common blind spot — you can get a 5% raise from your current company and still be $15,000 below market.

Check two data points:

Your role on Levels.fyi, Glassdoor, Payscale, or BuiltIn — filter for your city and years of experience. Take the median (50th percentile) of total comp, not base.
At least one real job posting for your role at a competitor company. These often list salary bands now. Use the top of the band, not the bottom.

If the market median is more than 10% above your new salary, you're underpaid and should consider negotiating or switching.

Number 3: The peer delta

The most uncomfortable question, and the most revealing: what are your peers at the same level getting?

If you have a good relationship with any coworker, ask. If you don't, check your company on Blind or Levels.fyi for anonymous salary data. If the median person at your level is making more than you, that's a gap you can explicitly point to in your counter-offer.

Running the 3-number test on a real example

Scenario: You make $95,000. You're offered a 3.5% raise → $98,325.

Real raise: 3.5% - 3.0% inflation = 0.5%. You got a $475 real raise on a $95,000 salary.
Market check: Levels.fyi says your role at your experience level in your city pays $108,000-$120,000 median. You're $10k-$22k under.
Peer delta: A coworker hired 6 months ago at the same level is making $105,000.

Verdict: This is a bad raise. Not because 3.5% is low — it's average — but because you were already underpaid, and this raise didn't close the gap.

The 4-sentence counter-offer script

When you have the three numbers above, you have actual leverage. Here's the script:

"Thanks for the raise — I want to be direct with you because I want to stay here long-term. I've done some research and the market for my role at my experience level is running $108,000-$120,000 in this city, and I know a recent hire at my level started at $105,000. The 3.5% raise keeps me roughly $10,000 below where the market is. Can we talk about what it would take to get to $108,000, whether through base, a signing bonus, equity refresh, or a mid-year review tied to specific targets?"

This works because: it's specific, it's not emotional, it names an alternative (competitors), and it gives your manager multiple face-saving ways to say yes.

Or run the whole test in 30 seconds

We built RaiseCheck to run all three numbers automatically. You enter your salary, raise, industry, location, and experience. You get: your inflation-adjusted real raise in dollars, the market range for your role, a verdict (Good / Fair / Below Average / Poor), and a 4-sentence counter-offer script personalized to your exact numbers. $9.99, no account, no subscription.