The key to knowing how to ask for a raise successfully is to know when to ask for a raise. There are lots of reasons why you might decide to ask for a raise, including taking on more workplace responsibilities, receiving another employment offer, being considered for a promotion, and realizing you are being underpaid by industry standards. Many workers also ask for raises on account of inflation and increased costs of living.
It takes confidence to ask for a raise. This is why it’s important to do your research and know ahead of time what a good raise percentage is for your industry. In this article, we will discuss how to negotiate for the salary you deserve by reviewing how often to ask for a raise, how much to ask for a raise, and how to convince your boss that you are an asset to the company.
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When is it okay to ask for a raise? 5 examples of when to ask for a raise
There are many reasons why you might decide that it’s time to ask for a raise. In this section, we will review 5 common examples of when it’s time to ask for a raise. If any of the following 5 examples pertain to you, it’s probably time to schedule a meeting with your boss to negotiate your salary.
The market rate is higher than what you’re being paid.
Are you underpaid for your work? How much are workers being paid at other companies? It’s possible that you are being underpaid by your industry’s standards. If this is the case, do your research. Have a firm understanding of what the pay differential is and how much you’d like to be paid for your work. Make sure you have plenty of valid points when you sit down with your boss. Citing actual data will be a great strategy during this conversation, especially if the compensation rates really are skewed.
You’ll also want to keep in mind that while some companies may have higher salaries, this isn’t the only factor you should consider. Other factors include growth opportunities, job security, paid time off, and workplace culture. In other words, another company may offer higher pay, but what are the potential trade-offs?
You’ve taken on additional job responsibilities.
You’ve received an offer from a competing company.
Getting a job offer from a different company can be a bit risky while working at a reliable company. However, it could also be your ticket to getting the pay increase that you desire if you are looking to remain at the company you are currently working for. Training a new employee takes a lot of time and resources. Therefore, a company may decide that offering you a raise will save them more money in the long run, especially if you have a competing job offer.
If you receive a competing job offer, it’s important to really weigh out your options between both companies and choose the best one for you. Just because one company has a higher salary doesn’t mean that it is the right pick for you. Consider other factors such as employee retention, growth opportunities, workplace culture, and your benefits package. You should also have a plan for what you’d like to do if you aren’t given a raise. Are you prepared to walk away? Or will you stay at your current company?
You’re an asset to the company.
Whether the boss has asked you to take on more tasks or run a trade show, you’ve completed it. All of the additional tasks you’ve been asked to do should be recorded. Some career coaches suggest that you keep a work journal with details such as these that you can then present to your boss. This is a great strategy to help you achieve the salary increase you’ve been waiting for!
Remember, employers are in business to make money. If you’re the cash catalyst, you’re in the perfect position to ask for a raise. This is a great leverage point, especially if you are the one that is consistently helping the company bring in a vast amount of revenue. Your hard work is a great contributor to the raise that you deserve within your company.
You’re being considered for a promotion.
Whether you’ve been offered a promotion or have your eye on one, you should be given a raise with your new job title. Typically, companies will promote from within and refill the more entry-level positions. So, the chances of you moving up to a new job and gaining a new annual salary are right around the corner! If you’ve recently gained a promotion, congratulations! Step into your new position with newfound confidence by reviewing our article on confidence-boosting tips after earning a promotion.
How often should you get a raise?
How long should you wait to ask for a raise?
If you are new to a company or are in an entry-level position, you need to prove your worth to the company over the course of 6 months before asking for a raise. More generally speaking, how often you should get a raise depends on your industry and the company you are working for. Many companies offer the potential for a raise every year during an annual performance review.
Knowing how to ask for a raise in a small company without annual performance reviews, however, may take a bit more personal initiative. If there are no performance reviews within the company you are associated with, then the time to ask for a raise is at your 6-month and 1-year mark of employment.
If possible, ask for a raise when you know the company is doing well financially. Ideally, you should ask for a raise after you’ve successfully completed a project. You’ll also want to make sure that your boss is in a good mood!
How to ask for a raise during a performance review
If your company offers annual performance reviews, prepare a few talking points to touch on during your performance review. Bring a list of your accomplishments throughout the year. Take special note of anything you’ve accomplished that falls outside of your typical job description.
If your boss has already been raving about the work you’ve been doing, you should remind them! Prove that you are an asset to the company. Don’t forget to provide a list of your accomplishments.
It’s likely that your boss will offer you a raise at your annual performance review. It’s also possible, however, that you may need to learn how to ask for a higher raise. This is why you should enter your performance review with a clear goal in your mind. How much you should get for a raise depends a lot on your industry, so make sure you do your research ahead of time and know what’s standard for your position.
Your performance review is also a great time to discuss your career goals with your employer. Show your enthusiasm for your role within the company. A good attitude and company loyalty go a long way!
How much is a good raise?
Should you get a raise every year? Depending on the length of time that you have been with the company determines how often you should receive a raise. Typically companies operate on an annual raise and review. If you’ve been with a company for 1 year, the typical rate for a raise is about 10%-20% above what you are currently making. Again, it is all based on your performance and what you have brought to the company.
Keep in mind that you can negotiate benefits when asking for a raise as well. There is more than one way to negotiate a raise, and it doesn’t only have to be for higher pay. You could ask for more vacation time, more sick days, the ability to work remotely, or even revisit the specifics of your health insurance plan.
5 practical steps to take when asking for a raise
Regardless of whether you want to know how to ask for a raise based on an increased workload or how to ask for a raise due to inflation, there are lots of tips on how to ask for a raise! Consider these 5 tips to get you ready to ask for the raise that you deserve.
List your accomplishments
One of the best things you can do is prove how you’ve positively impacted the company. You should write down everything you’ve brought to the table. Whether that’s generating an influx of leads or making systems and processes run smoother.
Discuss your competitive salary
There are free sites you can use to research your salary and what you should be paid according to your industry’s standards. That said, keep in mind the size of the company you are working for, as well as your existing benefits package.
Remember to be confident when you walk into the boss’s office. It may seem intimidating, but you have everything you need to support your case. Plus, you deserve this!
Prove to your boss you deserve a raise
After explaining what you have done for the company’s success, consider telling your boss about your future career goals and how you plan to grow with the company. Show them that you are a creative and passionate member of the team.
Deliver your request in writing
Not only should you have a talk with your boss about receiving more money, but you should submit your request in writing too. Review our article on How to Write a Professional Work Email in order to learn how to ask for a raise in an email. Chances are your boss will have to discuss your request for a raise with higher-up bosses, so it’s helpful to have your formal request in writing.
Key takeaways and moving forward
It can be difficult to know when it is acceptable to ask for a raise. Many workers wonder: When can I ask for a raise? And can I ask for a raise after 6 months? Hopefully, this article helped clarify the answers to these questions!
Whether you find the salary you’re looking for in your current company or at a new company, you have to know when the best time to ask for a raise is. If your company offers annual performance reviews, advocate for your ideal raise then. If your company doesn’t offer a formal review process, don’t be afraid to reach out about a raise on an annual basis. In the meantime, keep a work journal detailing all of your achievements and any new task you are given outside of your job description.
If you are struggling to find a career you love, consider reaching out to learn more about our services. Here at Prepory, our career coaches analyze, improve, and optimize everything from your resumes, cover letters, online presence, interview skills, and more. We help you build, thrive and grow while earning the salary you deserve and propelling your career to greater heights.
The questions you may have and the best answers for them!
When should I ask for a raise when I'm new in the company?
The recommended period is 6 months after you start a new job or 6 months with an entry-level role. You have to wait that long period to show your employers that you’re an asset to the company.
How much of a raise should I ask for after 1 year?
The typical rate is about 10%-20% above what you are currently making. Again, it is all based on your performance and what you have brought to the company.
Can you negotiate benefits when asking for a raise?
There is more than one way to negotiate a raise within a company. It doesn’t only have to be for higher pay. Keep in mind what you want to negotiate and make sure you have the supporting evidence to make it happen. Whether it’s for more sick time or vacation time they could honor all of those as a “raise”.
Should you get a raise every year?
Depending on the length of time that you have been with the company determines how often you should receive a raise. Typically companies operate on an annual raise and review.
When can I ask for a raise if the company has no performance review meetings?
If there are no performance reviews within the company you are associated with, then the time to ask for a raise is at your 6-month and 1-year mark of employment.