How To Ask For A Raise
Getting a raise in this economy is very difficult for two reasons: management is rewarded for controlling costs and the bar for employee performance keeps going up. Before you walk into your boss’s office and have a discussion about a raise, read through this newsletter to learn how to do it successfully.
Do Not Use The Word “Raise”
Use the phrases “increasing my compensation”, “moving up in my pay scale”, “earning a promotion”…etc. These phrases sound more polished and they lead to more professional conversations about money - which is an awkward subject for most people anyway.
You Get Paid For Results And Productivity
I hate to break this to you but getting a college degree does not automatically qualify you for a raise. Being in the same job for the last 10 years does not automatically qualify you for a raise. And working hard doesn’t necessarily earn raises either. If you have to work hard to accomplish what others do more easily, you may be admired for your work ethic, but you probably won’t receive a raise because of it. You get paid for what you deliver and how you deliver it, period.
Not Wanting A Raise Is Not Good
If you’re reading this newsletter and thinking “I’m happy with where I am; I don’t need any more money”, I would caution you to be very, very careful about your attitude. While management does not like pushy people, they also do not respect unambitious people. They just don’t tell you that to your face. If you don’t show any desire to move up and make more, you can be sure that you are at risk.
Start Early
Start inquiring now because a raise is not going to happen overnight. Asking about it ahead of time and framing it as a “future event” makes it less awkward and more comfortable to talk about. A very diplomatic and polite way of inquiring about a raise is to ask your manager, “I’m interested in increasing my compensation/moving up in my pay scale in the future. How would you do that if you were me?” By asking the question using the third person, this will make the conversation more relaxed and friendly.
What To Ask
Find out what pay grade you are currently in. What is the salary range in that grade and where are you are in that range? How is your performance evaluated? What are the opportunities for advancement? What skills and accomplishments do you have to demonstrate to qualify for those opportunities? What is the timing for increases and promotions?
You Must Sow Before You Reap
Now that you know what it takes to get that extra compensation, do what you need to do to acquire and demonstrate those skills ahead of time. Be honest with yourself. Most people think they are far more competent than they really are. It’s not enough to be good anymore; you have to be in the top 10% to get the money.
Document Your Progress
Keep track of your accomplishments and results. Notice that I used the words “accomplishments” and “results”, not “activities”. Quantify improvements where you can. For example: “I took 4 courses and passed the certification exam in 6 months.” or “I negotiated better prices from two of our vendors and saved $15,000.”
Be Patient And Have Faith
Most managers like promoting and rewarding their people. But they have to go through a lot of hoops to do so and they are not always successful. Try to view your manager as your advocate and “help them help you”. Know that if you are delivering more value and contributing at a higher level, the right thing will happen - either at your current company or frankly, somewhere else.
Be Realistic
Come to terms with the fact that some occupations just don’t pay well, no matter how hard you work or how many degrees you have. You are never going to make a lot of money as an administrative assistant, a teacher, or a claims processor. It’s a competitive world; if you want more, you need to offer more to the market.
Danger Signs
There are plenty of bad managers out there. They either don’t know how to successfully obtain more money for their people or they are too lazy to do so. If your manager won’t have a salary discussion with you, that’s a danger sign. If you repeatedly increase your skills and add more value and you still don’t see an increase, that’s a danger sign. At that point, you need to make a judgment call as to what’s really going on. Trust me - if you are really and I mean really good at what you do, someone will pay for those skills.
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