We all want to make more money. Employers want to feel valued and they are getting paid fairly for their work. But wanting more money and being able to justify a higher salary are different things. If you want to get paid more, you’ll need to make a strong case to your manager. With experience working on more than 10,000 projects over the past years, our executive recruiters know a thing or two about salary negotiations. Below, we pass on some of our expert knowledge to help you negotiate a higher salary.
When Is The Best Time To Negotiate A Higher Salary?
When you choose to negotiate a higher salary can have a big impact on your success. Choosing the wrong time and you might get denied right away. There are two main times when employees have an opportunity to successfully ask for a higher salary:
- When they take a new job: Receiving a job offer from an employer is the ideal time to negotiate a higher salary.
- When you are up for your annual performance review: Did you have a great year? Leverage your great performance and justify a higher salary.
There is another time when you can negotiate a higher salary – when you have another job offer. This can happen when you’re interviewing for multiple jobs or receiving a job offer from another employer. In this situation, you must be careful and ensure your employer doesn’t feel you are strongarming them into giving you a raise.
How To Justify A Salary Increase – 6 Tips to Increase Your Annual Salary
Whether you are negotiating your salary with a new employer or negotiating a raise with an existing employer, you need to build your case for why you deserve more money. Our recruiters offer you the following advice to help you have the right approach when negotiating a higher salary:
1. Quote the industry average salary
Perhaps the most important thing that you can do before you plan to talk about compensation with an employer is to know where you stand. Research the salary range for people in your position with your level of experience in your region. This information will give you what you need to know in terms of how much money you should be asking for. If you are requesting a raise, try to learn about what others in your company in similar roles are making. This should give you an idea of what percentage of raise to request.
Use salary tools or reports (like Glassdoor, PayScale, or LinkedIn) to find the average salary for your role, industry, and geographic location. This shows that your request is in line with the market. Salaries can vary based on the company’s size and location. If the company is in a high-cost living area or is a large organization, they may have more budget for compensation.
2. Focus on performance
Performance is a huge consideration when negotiating your salary. Being able to provide solid examples of your performance track record can help you justify the pay increase you’ve requested. Use metrics, stats, and data to justify your arguments about your performance.
Provide examples of your past accomplishments, such as projects you led, sales goals exceeded, or processes you improved. Use quantifiable data where possible (e.g., “I increased sales by 20%” or “I saved the company $50,000 annually”). Show how your role directly impacts the company’s bottom line through cost savings, efficiency improvements, or revenue growth.
3. Talk about new skills and certifications
What have you done recently to make you a better professional? What type of experience do you have that others in your field do not? Talk about new skills, certifications, training courses, and professional development that you have completed recently. Talk about how you are always on the path to improving yourself and being a greater asset to the company.
Emphasize any specialized skills, certifications, or knowledge that set you apart from others. If you possess skills that are rare or in high demand, you have the leverage to ask for a higher salary.
4. Discuss your responsibilities
The tasks and responsibilities you take on in your job play a role in determining your salary. Are you willing to take on a little more to justify your salary request? If you are asking for a performance raise from an existing employer, be sure to talk about additional responsibilities you’ve taken on recently.
5. Highlight what makes you unique
If you want to get paid more, especially if you want to get paid higher than the average salary for your role, you need to make it clear how you are unique. What makes you different from other professionals in your position? Why should a company invest more money in you?
6. Focus on the future
Show how you plan to contribute to the company’s goals, growth, and long-term vision. Explain how your skills will help solve specific challenges the company faces. This helps to demonstrate your commitment to the organization. Employers are more likely to invest in employees they believe will stay long-term. Express your commitment and how you see yourself growing with the company.
How Much of A Salary Increase Should I Ask For?
It’s a smart strategy to request a salary increase of 10% to 20% above your current earnings. Depending on your performance, tenure with the company, and other relevant factors, you might be able to aim for even more. When negotiating, be well-prepared and approach the conversation with confidence.
A Final Word On Salary Negotiation
By combining a clear demonstration of your value with thorough market research and a confident yet flexible approach, you increase your chances of successfully negotiating a higher salary. If you use the above tips, you will be in a strong position to justify a higher salary with a new or existing employer.
Get More Salary Negotiation Advice From Our Engineering Recruiters
Jobs That Increased Entry Level Salary Last Year
Know Your Worth: How a Recruiter Can Help You Figure Out What Your Salary Should Be in a Hot Market
