Are you being paid what you are worth? Do you deserve a salary increase? The chances are your boss won’t voluntarily shower you with a huge bonus or more than the annual inflation-related raise.
To rectify this, you have to make the first move, and it requires skill and preparation to negotiate a salary increase effectively.
Here are ten tips to get a better than average raise:
- Be honest with yourself
Do you deserve a raise? You need to believe you have delivered an outstanding and measurable performance within your company that justifies an increase. It helps if your company is doing well and that your boss is aware of your contribution.
- Think like the boss
Determine what standards your employer uses for measuring performance. Focus on the achievements that they value and concentrate your efforts in these areas. These accomplishments will help you achieve a higher than average increase.
- Have a plan
Successful salary negotiation requires clear and focused thinking. Be prepared for any objections and start the discussion by carefully explaining why you feel that you deserve an increase. Present your work accomplishments, especially records of excellent performance from customers and superiors. You should always keep a journal. Let your actions show you deserve an increase.
- Know the standards for your industry
Do some research to determine what others are earning in your industry and position. Look at recruitment adverts in the newspaper or online. Speak to friends or contacts in the industry at other companies. Be careful, though – companies do not enjoy people discussing salaries, but gaining this knowledge is vital in your preparation.
- Ensure you set the correct tone
Avoid ultimatums and threats. Let your employer know that you will understand their point of view, but make it clear that you expect the same courtesy.
- Be persuasive
There is a difference between being effectively convincing and being annoying and obstinate. Attempt to persuade your employer about the benefits of increasing your salary. Try not to argue, but be prepared with strong points on why you deserve this salary.
- Aim high, but be realistic
Be reasonable and professional in your approach. Use a win-win partnership style of negotiation. Base your figure on what the market is offering someone of your experience.
- Be objective
Your presentation will be more potent if based on objective criteria like what other related companies pay to people with similar experience.
- Be positive, enthusiastic and confident
People are sometimes reluctant and nervous to ask for an increase. Your research of the marketplace, coupled with adequate preparation, should give you the confidence to present your request for a raise. The worst thing that can happen is that your boss will say no, but you will have positively tabled your feelings, and this is valuable for your next meeting.
- Be patient
Your boss is probably rewarded for controlling costs and not for awarding better than average increases. You may therefore not succeed with your first attempt, and the negotiations could result in a series of meetings. Be patient, and remember that good increases are achieved with an effective strategy and a professional approach.
One of the biggest career mistakes we can make is not negotiating the correct salary at the commencement of a new job. Once you are the chosen candidate for a job, you have more power than you think. Your negotiation style and strategy will determine whether you gain the maximum starting salary. A company won’t just offer you the highest possible wage. You can pay a long-term financial price if you accept a lower starting salary than you or the job deserves. Don’t make this costly mistake.
The concluding step of effective salary negotiation is to meet with your manager and gain absolute clarity as to what kind of performance will lead to a more substantial increase or promotion in the future.
Agreeing on future performance, expectations, and rewards in advance helps both of you to understand what is expected of you, and simplifies the rewarding process. In essence, it’s all been worked out in advance. It also creates a favourable impression and helps conclude the negotiation on a positive note.
There is no time like the present to start making your case for a deserved salary increase.
Go for it! I wish you every success.
“I don’t pay good wages because I have a lot of money; I have a lot of money because I pay good wages.” Robert Bosch