Pay Gap Calculator
Percentage gap between two pay levels.
Calculate the percentage gap between two pay levels and its cumulative lifetime value. Enter salary a and salary b to see annual gap and lifetime cumulative.
What this tool does
Enter two salaries and remaining working years. The tool shows annual gap and lifetime cumulative.
Enter Values
Formula Used
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Disclaimer
Results are estimates for educational purposes only. They do not constitute financial advice. Consult a qualified professional before making financial decisions.
45,000 vs 55,000: 22.2% pay gap = 10,000/year. Over 20 working years, cumulative gap 200,000 — material difference from a single promotion or negotiation.
Run it with sensible defaults
Using salary a of 45,000, salary b of 55,000, years remaining of 20, the calculation works out to 22.22%. Nudge the inputs toward your own situation and the output recalculates instantly. The defaults are meant as a starting point, not a recommendation.
The levers in this calculation
The inputs — Salary A, Salary B, and Years Remaining — do not pull with equal force. Not every input has equal weight. Flip one at a time toward extreme values to feel which ones move the needle most for your situation.
How the math works
Percentage difference from lower salary. The working is transparent — you can verify every step yourself in the formula section below. No black box, no opaque "proprietary model".
Using this in pay negotiations
Knowing the exact figure behind a headline rate gives you specific numbers to anchor to in conversations about pay. "The difference is £X per month after tax" lands harder than "a couple of grand a year". Concrete numbers move decisions.
What this doesn't capture
Tax bands, pension contributions, student-loan deductions, and benefits-in-kind sit outside this calculation. The figure is the headline; your actual position depends on local tax rules and personal circumstances. Pair with a dedicated take-home calculator for the full picture.
Related calculations worth running
Plans get firmer when you triangulate. Alongside this one, the raise negotiation calculator, the commission vs base tradeoff calculator, and the two income household gap calculator tend to come up in the same conversations. Running two or three together exposes inconsistencies in any single assumption — which is usually where the useful insight lives.
Pay gap produces a percentage based on the inputs provided.
Inputs
This example uses typical values for illustration. Adjust the inputs above to match a specific situation and see how the result changes.
Sources & Methodology
Methodology
Percentage difference from lower salary.
References
Frequently Asked Questions
Use higher or lower as base?
Cumulative over career?
Compounding raises?
How to close?
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