A recent study conducted by Payscale found that only 37% of employees have ever asked for a raise. The main reason? Fear of rejection or discomfort with discussing money.
When feelings like these cloud our sense of self-worth, we might undervalue what we earn. But asking for a raise is less about getting money and more about speaking up for your contributions. It’s also about taking control of your career and getting the salary you deserve.
Whether you’re just starting your career or already have 30 years under your belt, it’s essential to approach this process the right way. That’s why we’ve created the following guide for employees of all backgrounds. Below, you’ll discover actionable, research-backed steps for boosting your income effectively and appropriately.
When to Ask For A Raise
Timing is critical when asking for a raise. While the best opportunities often arise during performance reviews, there are other times you can make your case. Consider the following scenarios as green lights:
- Following Major Accomplishments: If you just made a big contribution to your company, this is a great time to ask for a raise. This could look like landing a new client or finally completing a year-long project. These events help quantify your success.
- During Company Success: Align your request with the company’s financial health. This demonstrates you’re attuned to its goals and needs. It also makes it easier for your employer to justify the raise. Company success might look like securing a significant contract or announcing expansion plans.
- When Industry Standards Rise: Keep up with salary trends for your position. When overall rates are rising, consider it the signal to ask for a raise. This will help you maintain your competitive market value. Sites like Glassdoor, PayScale, and LinkedIn Salary Insights are helpful resources.
- Before You Get Promoted: It’s best to negotiate your raise before a major transition. That way, you’re compensated for your new duties and set the tone for future raises.
- Take Action: Review your recent achievements and schedule a conversation with your manager. This, of course, should be done during favorable circumstances.
How Much Of A Raise Should I Ask For?
Knowing how much of a raise to ask for is hard, but research is your friend. Do some background work to get a sense of what would be appropriate. Research salary ranges for your position and experience level in your industry. Consider these factors:
- Performance And Duties: A typical increase is between 3% and 5%. However, if you’ve taken on additional responsibilities, consider requesting more. If you’ve moved into a supervisory role or spearheaded a successful new initiative, that’s your cue to ask.
- Balance Company Constraints: If your company is instituting a hiring freeze, be prepared to negotiate. They could keep you on at a smaller raise now and return to the conversation in six months. Or you could ask for a phased raise, with a minor increase now and another six months down the road.
- Use A Mentor: Before making your request, talk to someone you consider a mentor. Hearing a story from someone who’s negotiated for a raise is especially helpful.
- Geography And Industry: Salaries vary greatly depending on location and industry. Look at the cost of living in your part of the world and how that impacts expectations of salaries.
How to Ask For A Raise
Ensure you’ve done all your homework before going to your supervisor for a raise. Figure out exactly what you’ve done for the company and follow these tips on how to ask for more money:
- Focus on results, not personal circumstances.
- Provide sufficient examples of measurable achievements.
- Take ownership of your results.
Handling Different Responses
After you request a raise, you might get one of three responses: a grant, a deferral, or a negotiation. It’s essential to prepare for both positive and negative responses. This way, you can be professional and achieve your desired outcomes.
Handling Acceptance
If your request is approved, thank your manager and confirm the details. Ask what the timeline is for the raise to go through. How should you fill out paperwork? Is additional paperwork involved? Continue to perform well and set new goals to solidify the decision.
Handling Deferral
If your request is tabled, ask for feedback on improvement. Work with your manager to set shared goals and a timeline for reassessing your request. Keep the conversation upbeat and write down the discussion to reference later.
Handling Negotiation For Alternative Benefits
Occasionally, a raise might not be possible, but other rewards are. These could include extra vacation days, work-from-home flexibility, or a professional development budget. Make a case for why they’d be mutually beneficial and negotiate specific terms.
Negotiating different benefits can also set you up for success farther down the road. For example, you can use professional development benefits to create more value for your employer or help you qualify for a raise.
Long-Term Career Planning
A request for a pay raise is part of your career strategy—not the whole thing. After your conversation, it’s essential to keep investing in your worth and building a long-term road map.
- Set New Goals: Whether your raise is granted or postponed, the feedback you gain from the discussion is invaluable. Use it to set new professional objectives for yourself, like improving your skill set or landing a leadership position.
- Plan For Raises Ahead Of Time: Regularly check in with your compensation and contributions. Being proactive will help to put you in a good position for future raises and promotions. For example, commit to checking in with your salary every 12 months and your contributions before the discussion.
- Stay Informed: Monitor benchmarking and compensation. Reevaluate your market worth regularly, especially as your career progresses, to ensure you’re at (or very close to) your desired pay rate. Also, keep in touch with your professional network for new opportunities.
- Invest In Your Development: Upgrade your skills by earning certifications or signing up for conferences. Also, check out online courses that enrich your knowledge and strengthen your skills. The more marketable you are, the more competitive you will be and the more valuable you will remain to your organization.
Conclusion
Requesting a raise requires meticulous preparation, polished performance, and professional handling of outcomes. Whether it is a raise, alternative perks, or a plan for future success, it feels great when you set an agenda to get what you deserve.
When it comes down to how to ask for more money, just know it’s as much an affirmation of your worth and potential as it is about receiving an equal share. Review your accomplishments, research salaries, and schedule that crucial conversation today. After all, few things in life are as rewarding as earning what you deserve.
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