How To Get A Raise: Stress Value, Not Need

No one likes to ask for a raise. But there are situations when it makes common sense to say to the boss, "I believe I am worth more to this organization than I am being paid. I would appreciate a raise."

Never try to make a case for a raise on the basis of need. Organizations can stay in business only by paying people what they contribute to the bottom line, not their needs.
You are justified in asking for a raise when one or more of the following conditions exist.

• You are making a contribution toward your employer's goals above and beyond what is expected from your position. . You have been filling a more demanding position, which usually pays more money, for a considerable time.
  
• There is no formal system in place for performance reviews and you haven't had a raise in a reasonable period of time.
  
• You have an offer from another employer for more money and you are prepared to make a change if necessary.

Before you rush in to ask for a raise, you should understand that one of three things could happen. One, you may get the extra money. Two, you may find out you are not nearly as valuable as you thought you were, and that your future is limited to your present position. Or, three, you could lose your job when you cause the boss to focus on your performance in terms of hard cash.

Be prepared; be sure of your facts. Remember, you are making a sales presentation for a product (your service to the organization) to a buyer (your boss) who has a limited budget from which to buy answers to a number of highly competitive needs.

Make sure you know how things are going with your boss and the company.

Common sense tells us not to ask for a raise when the company is in the doldrums or when the boss, himself, has just been passed over for a raise. Choose the time and place when your boss is most apt to give you a fair hearing.

Find out how your compensation compares to other jobs in the company and in terms of what other employers are paying for people with similar responsibilities and experience. Know what the fair market value is for your talents.

Get a reading on how your fellow employees and your boss rate your performance. (It had better be a reasonably good report before you ask for more compensation.)

Get directly to the point when you meet with your boss.

Review your contributions, being as specific as possible in such terms as savings, increased productivity, growth in sales.

Underscore your loyalty to the organization. Suggest your potential for even greater contributions based on demonstrated performance.

Present hard data to prove you are not paid up to scale when compared to similar jobs inside the organization and in your employer's business category.

Be prepared to define a range of increase you think is fair, if you are asked to do so. Do not demand. Be ready to discuss the pros and cons of your performance. Keep your cool. It will be a rare boss who will not be a bit annoyed that you have had to ask, either because he has allowed you to lose touch with reality or because he has failed to recognize your worth and frustration. Don't be surprised at some backlash. Accept both praise and criticism with equanimity. Be ready to work out a compromise.

It is unlikely you will get an answer on the spot ... unless it is a resounding negative. Leave the door open for a positive answer or at least further negotiations later.

If the final answer is "yes," express appreciation (but do not go overboard) and work twice as hard to prove your boss made a good decision. Start right then earning the next raise. If it is "no," buckle down, do a better job and prepare for another chance. Or leave for a more rewarding environment.

Are You a 'Value-Added' Employee?

What is your focus when you go to work? Are you thinking "What can I give today?" or "What can I get?" Both questions are important, however, the former will get you further faster. It's that simple.

Often, when I am consulting with a company or team, the hew and cry is "The company/ management does not do enough for me/us." This may certainly be true, however, my first question is the opposite, 'What are you doing for the company/management?'. That's the way the equation works best. You give and then you get. Strangely, that's the way it works best in any relationship. Have you noticed that?

What you pay attention to expands. If you are focused on what you think you are not getting, that overshadows everything. Attitudes shift and conversations turn into whining sessions. Soon, morale dips and everyone is complaining. Often, the complaints have grown completely out of proportion and no one remembers why they were attracted to the company in the first place.

You can change this. Be a 'value-added' employee. Build your strengths rather than focusing on company weaknesses. What a concept! You choose your focus and attitude. You choose how you use your time. You choose your perceptions and perspectives. Use that power to become 'value-added'!

Now, I'm not talking about giving 'til it hurts. No, I'm talking about the way you use your energy to focus on your career path. Sure, there are employers who devour employees and spit them out spent, burned out and disillusioned. They exist. If you're working for one of those...and examine it carefully to be sure...move on.

I am talking about your choices to create the career you want. How do you want to be seen in the workplace? How does your current position further your progress towards your goals? Why did you choose it? What is your plan and how can you best follow that blueprint in your present position? Be pro-active in your own life.

How do you want to be seen in the workplace? As competent, confident and valuable, or, as adequate, mediocre and expendable? Unless you are working for Attila, the Hun, the way folks see you is mostly in your control. Good employees come to work on time, do their tasks well, and cause few waves. Great employees do all that and more. They are focused on the company's mission and vision. They can be excellent team-players and excellent leaders when needed. They are clear about their own purposes and visions and know why they have chosen to work where they work. They care about others and help them to achieve their goals. They do these things because it clearly moves them further along their career paths. It is in their own best interest to do so. They have their 'eyes on the prize'.

Here are a few secrets. Many folks would rather complain about things than fix them. By being a 'fixer', you are being 'value-added'. Many folks would rather find fault than good. By catching people doing things well and commenting on it, you are being 'value-added'. Many folks would rather see what they can get away with than see what they can give. By giving just a little more than expected, you honor yourself and you are being 'value-added'. Many folks would rather feel 'done wrong' than state their needs and boundaries. By being clearly communicating what you need and want, you are saving time and energy...and being 'value-added'.

Which side of these equations are you working from? Only one will get you where you want to go...although you'll have much more company on the other. Your choice!

Knowing your personal market value

Different jobs and industries have vastly different pay scales. As you work out your real worth in the job you are in now or hope to move into, do everything you can to research the market.

Understanding the relationship
Just like many areas of business, employment is a deal done on the basis of supply and demand. The workers with the skills and experience influence supply in the job market, and the companies currently hiring for certain positions influence the demand. How rare you and your skills are and how much your employer needs you is the fundamental basis for calculating your worth in salary and benefits.

One example of this in practice is within popular industries such as journalism. There are many talented writers around and a finite amount of jobs which means newspapers can offer very low pay rates to entry-level employees. The combination of few opportunities and the fact that people after these roles often do it for the love, not the money, puts the employer in a very strong bargaining position.

Finding the going rate
The Internet is a priceless tool for salary research. Using an online salary calculator will give you a rough idea of what you can expect in your particular role, industry and location. They are however limited in the amount of information they can provide as everyone’s skills, experience and situation is unique.

Search through various job descriptions to benchmark your role against. It will give you a good idea of the key attributes companies are looking for in certain jobs, which means you can emphasise these in your CV to make yourself a more attractive prospect. If you are lacking in any important areas, make an effort to brush up on your skills to maximise your value.

An individual's salary is not something that is generally discussed in the open, even within close groups of friends so try and steer away from asking people outright what they earn. Online it is a different matter as you have a certain level of anonymity. Ask a question such as “Is £25k a good salary for a Marketing Manager in Newcastle in the telecoms industry?” in a forum and see what your peers have to say.

This isn’t an exact science as all companies use various bonuses and benefits to bolster their employee’s salary packages, but it should give you a good idea of what to expect.

Using your findings
If you’re approaching your boss for a pay increase in your current role, you can expect some scepticism when you present your results, so be ready to back them up with specific examples. Make sure that any job description comparisons you make are fair, and that you are not exaggerating your own importance or qualifications.

Work with your manager to examine your role in detail. There may be things you are doing that your boss is not actively aware of, such as working unpaid overtime at home or skills you have developed, which are a real benefit to the business. All these can be used as extra leverage when you get down to the actual numbers.

If you’re discussing the possible salary for a new job, your potential employer will usually have a salary range in mind set by their management team. When you’re made a job offer, you’re immediately in a good position to negotiate as they obviously think you’re the right fit for the job. Consider the offer and match it up with your research to see if it’s fair. As you will probably be unaware of their other options, you shouldn’t get too over enthusiastic and go back to them with an unrealistic number, but if you think the offer could be topped up a little, there’s no harm in asking.

However strong your case, an employer simply may not be able to pay the figure you’re asking for. Budget constraints operate in every business and it’s impossible to accommodate every pay demand from every employee. If money really does end up as a stumbling block, consider using transferable skills to move into a more profitable and high-paying industry or job.

Choosing the right company to work for is an important decision at every step of your career, and if one doesn’t appreciate your value in the market, there will be another out there that does.