Average US Salary Budgets to Rise Just 0.1% in 2027

Companies in the United States are planning to give their workers slightly bigger raises next year, but just a tiny bit.

The average raise budget is expected to go from 3.4% to 3.5%, which means for every $100 someone earns, the extra money would rise from about $3.40 to $3.50.

Many companies give everyone the same size raise, which experts call 'peanut butter pay,' because the increase is spread out evenly like peanut butter on bread.

About one in four companies say they are losing workers because their raises aren't big enough.

Fewer people are quitting their jobs these days, a trend called 'The Great Stay.'

Some workers are so worried about finding a new job that they stay even when they're unhappy, which is called 'job hugging.'

But people who do change jobs often get much bigger raises, around $7 for every $100, compared with about $4.40 for people who stay.

Different industries get different amounts, with Business Services and Legal Services planning bigger increases than Technology, and New York leads the states at 3.6%.

Consultants at Deloitte and J.P. Morgan say the job market is improving but not booming, and one economist calls it 'moderating, not collapsing.'

Companies feel more hopeful than they did last year, but they are still being careful about how much extra money they give.