How to Negotiate Salaries and Raises Effectively 

Do one thing: Don’t let a fear of being fired keep you from asking for a raise. The worst that can happen is your employer may say no, or not right now. But you won’t know for sure until you ask.

Low Employee Confidence

Not feeling so jazzed about your current job? It’s certainly understandable. Confidence among American workers was hovering near a record low point this spring, according to respondents in a national survey. Less than half (some 47%) of U.S. adults polled expressed some degree of optimism when asked about the future of the jobs market. That number was down from 61% at the start of the year, according to the Society for Human Resource Management’s (SHRM) April Current Events Pulse survey. 

How to Get the Pay You Deserve

There’s a lot that can contribute to uneasiness at work, especially if you don’t feel like you are being paid enough for your efforts. Unfortunately, many people find it incredibly difficult to get up the courage to ask for a raise – even when they know their contributions are above average. However, here’s the thing: you may not ever get a meaningful pay bump unless you make a case and make the ask.

If you aren’t exactly sure of how to go about asking for a raise or promotion, take heart. Here are some time-tested strategies and tactics to consider to help you more confidently ask for more money at work.     

Take the Pulse of the Office

While there may never be a perfect time to negotiate for a higher salary, you should always read the room (and do your homework) before you hit your boss up for more money. That means if there have been recent layoffs, salary reductions, or furloughs, it might not be the best time to ask for a raise. 

On the other hand, if your company is not filling certain positions, which leads some team members to pull double (or triple) duty, it could be the perfect time to request a pay increase.

Casey Brown, an expert negotiator and pricing expert who founded the company Boost Pricing, says that how valuable you are to a business can potentially increase when the road gets rocky, noting “your essentialness goes up in difficult times.” 

Know Your Worth

Before you ask for more money, it’s important to do some research so you know how much people with your job title and similar experience and training are making in your geographic location. How can you do that? Fortunately, some states are now required to be transparent about what employees are paid. If that’s not the case for you, there are other online resources to find this information, including job sites such as Glassdoor and Payscale.

Map Out an Authentic Strategy

Sometimes, when we gear up to do something outside our comfort zone, such as asking for a raise, some people tend to try and channel someone else they see as more confident. In these situations, says Brown, it’s almost always better to be yourself.

“It’s important to be authentic to your voice,” Brown says. “Stay true to your personality.” To do that, she says, you should find a way to make your natural voice lead the conversation. To help with this strategy, think about how what you do serves your manager and the company.

Also, consider and know the answers to the following four questions.  This information should be part of your pitch when you talk to your supervisor:

• What are you doing to serve the business?
• What do you love most about the work you do? 
• What intangible benefits do you bring to the table?
• How can you solve problems the way no one else does?  

Determining What Your Manager Needs Most

Before negotiating salaries and raises, Samantha Mockford, CFP, an advisor with Citrine Capital, says it’s also important to put yourself in your manager’s shoes to see things from their point of view.

“Listen to and get to know your manager,” she explains. “What do they value? What are sources of stress? Keep that in mind as you articulate what value you bring and could continue to bring to the team.” 

How to Ask for More Money 

When you finally get to the table, you’ll want to ask for a specific dollar amount, not a rounded number, with reasons to back up your ask, says Mockford. Often, experts suggest shooting a little higher than you believe you’ll ultimately get because it gives your employer a number to anchor to. Even if they negotiate down from that point, it’s still a win for you. Also, you’ll want to be able to cite reputable studies for the salary you request. (Payscale and SHRM can be sources for this info.)

Have Other Options on the Table

When it comes to asking for more money at work, we may not always get exactly what we want when we want it. That’s why it’s a good strategy to have some other options on the table. Mockford suggests including other requests, when needed, that ultimately add to your total compensation package. 

Options to consider include bonuses, equity compensation, additional benefits, the ability to work remotely part of the time, flexibility in your work schedule, access to continuing education for career development, mentorship, or other ways to supercharge your growth potential. 

With reporting by Casandra Andrews