But is this really true? First, it’s important to understand why organizations give raises — or at least, why they should. Compensation strategies and budgets obviously vary from company to company. Employers value different things, and aren’t always consistent in how they reward those factors.
Understanding that, here are a few reasons why companies give raises. According to PayScale’s 2017 Compensation Best Practices Report, the top three reasons why employers increased pay last year were:
- Performance (68 percent)
- Retention (42 percent)
- Market Adjustment (37 percent)
So, Are You Due for a Raise?
If your boss is threatening to clone you, it would appear that the first two reasons apply: your performance evidently exceeds expectations and you’re therefore worth retaining. You might even fit the last criteria, and be due for a market adjustment. But you won’t know for sure until you do your research.
The first thing to do is to find out where your salary stands in relation to the market. Take the PayScale Salary Survey, and get a free salary report comparing your pay to that of your peers. This will tell you whether you’re well-compensated, relative to others in your industry with your experience and skills … or whether you’re due for an adjustment.
Next, review your goals and achievements for the past year. Can you quantify your accomplishments and measure them against your formal goals? Can you provide evidence that you’ve exceeded requirements and made the company money?
If so, your performance might merit a raise.If your boss is threatening to clone you, it would appear that your performance exceeds expectations.Click To Tweet
A Few Notes About Asking for More Money
Unfortunately, when it comes to getting a raise, deserving more money isn’t always enough. Managers must contend with budgets and company priorities, which means that they sometimes find their hands tied — even when they’d like to pay a valued employee more.
But you won’t know until you ask. When you do, keep the following in mind:
- The end of the year is not always the best time to ask for a raise, because budgets are often closed. But it is a good time to talk to your manager about your professional goals and hopes for the coming year.
- Don’t mention your boss’s specific statement when you ask for a raise. You don’t want her to think that compliments are becoming too expensive for the organization. Instead, focus on your quantifiable achievements and value on the job market.
- Be ready to hear no and listen to constructive feedback. You may learn that you need to upskill yourself before the company will consider giving you a raise. That’s not what you want to hear, but it is valuable advice. Listen, and you might learn something that will help you boost your pay down the road.
Tell Us What You Think
Have you successfully negotiated a raise? We want to hear from you. Share your story in the comments or come talk to us Twitter.