How to Request a Salary Increase in 4 Steps
Requesting a salary increase can be daunting, but with careful planning and preparation, you can increase your chances of success.
In this article, we will discuss some important rules to follow when asking for a raise:
1. Choose the Right Time.
Before initiating a discussion about a salary increase, it's crucial to gather some information about the company's current situation.
Read corporate newsletters, and reports, and pay attention to what is being said behind the scenes. You can easily access stock quotes and financial reports if the company is public. For non-public companies, indicators of success include active hiring, the number of open positions, the absence of layoffs, new projects, advertisements, market expansions, and enhanced benefits packages. This information will give you an understanding of the company's financial health and help you counter any budget-related objections from your manager.
Additionally, select a favorable time for you and your manager when there are no recent mistakes, breached agreements, complaints, or missed project deadlines.
2. Research the Market.
To determine a specific amount or salary range to negotiate, it's important to research the market. This can be done without attending interviews or receiving offers.
Look for public salary surveys and analyses on job boards and recruitment agency websites. Seek input from friends or even utilize search engines to find relevant information. Also, consider the inflation rate if salaries are not automatically indexed.
3. Prepare Strong Arguments.
When discussing a salary increase, focus on presenting strong arguments highlighting your company value. Avoid mentioning generic factors such as overall experience, time with the company, completed training, or responsibilities.
Instead, emphasize your specific achievements and results that have benefited the company. Examples include saving time, money, or resources, acquiring new clients, securing additional contracts, completing projects ahead of schedule, introducing innovative approaches or methods to the team, and exceeding goals outlined in your Personal Development Plan (PDP). If your company conducts performance reviews or annual assessments, a high score in these evaluations can also serve as an indisputable argument.
Additionally, if your current salary is significantly below the market rate, make sure to mention this based on your market research. However, avoid personal reasons unrelated to work, such as financial difficulties or receiving an offer from another company as a means of blackmail.
4. Rehearse the Conversation.
To boost your confidence and be prepared for objections, rehearse the salary increase conversation. Consider role-playing with someone who can play the role of your manager, challenging your arguments and presenting different scenarios. Maintain a professional tone throughout the discussion, remaining calm and concise. Avoid getting emotional, angry, timid, shy, or overly flattering. It can be effective to express your willingness to take on more responsibility and contribute to the company's long-term success.
Remember to maintain a professional demeanor and focus on highlighting your achievements and contributions to the company. Require additional guidance? Feel free to reach out to us for a prompt consultation. We're available to address any queries you may have.
Good luck with your salary increase request!