Working at a company or business for an extended amount of time can be great. It means you’re either committed to the company, you love the company or both. However, after a while, it’s important to evaluate your worth as an employee. Negotiating your salary can be intimidating and difficult. Here’s a list of tips and tricks to consider when making this decision:
- Know Industry Standards
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It’s important to do your research first. Do an extensive search to gather information on the pay range for someone with your experience level. More experienced candidates will earn more than those who are just starting out. Do research on competing companies that are offering more money for your position.
- Set A Range
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Assess your company’s budget and set a reasonable range. Decide the maximum you would like to be paid and the minimum. Use those numbers as a range to give to your employer. Use your skills, experience, growth plans and industry connections as reasons to justify a raise. Your range should be based on how much fellows employees are paid. Keep in mind that asking for more than your employer makes would be unreasonable.
- Understand Your Benefits
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A paycheck should only be part of your compensation. Before discussing a pay raise, be prepared to discuss the benefits your company has to offer. This is a tactic to make the company more attractive for employment. You could ask for additional paid vacation, better health insurance or transportation allowances such as a bus pass or gas card.
- Expect A Counter
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Creating a range of potential salaries allow you to adjust your expectations and gives you room to negotiate. Giving the first offer is called “anchoring,” where you show employers how much you value the position you want to work at. Instead of offering one number that employers may reject, you are opening up space to find a middle ground.
- Be Direct
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Being direct will show you’re serious. Be transparent when discussing the company’s resources and why you deserve to be paid what you offered. Set a firm limit that you know is within their budget. They can either accept or reject your offer.
Negotiating for better pay can be scary, but at the end of the day, you will know whether a company values you as an employee or not. If they don’t accept your terms, the worst that will happen is that you find a place that will.