When you have been working at a company for a while, there usually comes a time when you start wondering whether your compensation matches your output. After all, you have gotten better and more effective at the tasks you do now than you were when you started out, have you not? If this is the case, and you believe you can prove that you deserve a raise, it might be the right time to negotiate your salary.
If you want to be able to do this effectively, however, you first need to understand the basics. This article will provide some of the best tips for negotiating your salary, of which are the following:
- Be prepared: You should never go into a negotiation unprepared. You need to know what the company is looking for and what they are willing to offer in order to get a good deal.
- Know your worth: The first thing that you should do is research how much other people in similar positions are making and then use that number as a starting point for negotiations with your employer.
- Know the employer’s budget: It’s important that you know how much money they have allocated for salaries before negotiating with them, so that you can make sure not to ask for more than what they can afford, if at all.
- Make your case: When you have prepared, you know your worth, and you know your employer’s budget, you’re ready to negotiate your salary.
Be Prepared: Don’t Wing It
The worst thing you could do if you want a higher salary, is to not be fully prepared with the arguments that show why you even deserve a raise. At our core, we humans need a good reason as to why a certain change should be made, before we actually make it. The same is especially true for an employer who already has a lot of other things on their mind.
There are several ways to prepare for salary negotiation. We will go into two of the most critical now.
Know Your Worth: Leverage Your CV and Track Record
The two main tools you should use to communicate your worth is to point to your CV and track record, as well as the results you have achieved in your current position.
First, in order to use your CV as leverage, you need to make sure that it’s as professional and presentable as you can make it. To do this, it helps to receive guidance from professionals as you either construct or reconstruct your document. (Note: This does not mean that you have to pay for guidance. It is often supplied for free.)
A good source of information is CVGuru, Norway’s #1 leading company that helps people tailor their cover letters and resumes. In their article with CV-writing advice, “Slik skriver du en god CV,” they place special emphasis on finding a good template. The reason for this is that when you follow a template, there are few things you can do wrong; you already know what information you need to supply where.
Second, think about the track record you have in the company you’re working for now, and the contribution you have made. This might translate into concrete results like sales or production metrics, but it can also include your efforts towards improving the working environment for other employees, giving the extra push when it’s needed, or eagerly taking on new tasks and responsibilities.
Know the Employer’s Budget
Before you head over to your employer’s office, you would be wise to reflect on their budget. Whereas it might not be appropriate to directly ask them or admin staff about the finances of the company, there are some markers that can help you get a better grip on the budget. For example, has the company had any large successes lately, or has your employer even mentioned that things are going well now?
Depending on how well you believe things are going financially in the company, you should try to adjust your expectations according to that. Although your hunch might not be correct, it can at least help you think more about all the factors that go into salary negotiation. After getting clear on this, you’re ready to…
Make Your Case
When you have thoroughly prepared yourself by polishing your CV, clarifying your track record in the company for yourself, and reflected on the financial situation of the company, you are ready to set up a meeting with your employer to negotiate your salary. Good luck!