It’s not as scary as it sounds.
Don’t know where to start with your salary negotiations? Here is a step-by-step guide to help you out.
Spend time researching and preparing all the things that will affect your request.
Personal
The more you can prove your value to the organisation, the stronger your case will be, so determine how you have positively contributed to the business and find stats that can back it up. Thumbs up if you can find stats that show you have exceeded your targets.
Business
Spend some time looking into your organisations and your team’s performance using accessible reports and company updates. If it’s growing strongly and exceeding revenue budgets, that will help.
External
Compare your rate to others in the industry by checking out job advertisements, reading trade publications, speaking with business organisations, and chatting with industry contacts.
Don’t rush into requesting a new salary; it may be in your best interests to hold off until the time’s right. Most importantly, ensure you seek a meeting with your boss before the business’s budgets are set. It may also be best to hold out until your next annual review, as it’s common practice for salaries to be reviewed then.
Note: If your role has recently changed in terms of its duties and responsibilities, then you have every right to request a salary review straight away.
To avoid delays, best to deal directly with the person with the authority to increase your salary.
Method
Before you send off an official meeting request, mention your intentions to meet face to face via an email. Give them at least a few working days notice to prepare for it, too.
Location
This may not be possible, but if you can organise your catch up at a nearby cafe rather than in the office, it will be to your advantage. Research shows that negotiations made over a coffee are more likely to be mutually beneficial.
Day and time
Meeting time is crucial to ensure both parties are focused and energised. Plan your meeting on a Tuesday, Wednesday or Thursday, between 10am and 12pm, or between 1pm and 3pm.
The more prepared you are, the calmer you’ll be when negotiating and the more likely you’ll be to succeed.
Documentation
Source relevant documents from your research to justify a salary increase. For example, sales reports, company statements, past performance appraisals and industry reference material.
Prepare Responses
Your boss may respond with explanations as to why they are unable to give you a raise, so anticipate what these may be beforehand and plan suitable responses.
Other remunerations
Consider other employment benefits to use in the negotiation like more flexible working hours, bonuses, high commission rates, memberships and education funding. Don’t underestimate the value of these.
Now that you have done your homework, feel confident you’re in a strong position to make your request.
Shoot first
Fire first with a figure to act as an anchor. Go high enough to give you negotiating room, using your salary research to back you up. Best if this is an exact figure, because it’ll show that you’ve done your homework.
Tone and body language
Speak slowly in a calm, friendly and logical manner. Also, sit up straight, keep your hands above the table, make eye contact, keep you arms uncrossed and avoid fidgeting.
Reaction
Be humble and appreciative if things go you way. If they don’t, hold steady. Whilst you have the right to show disappointment, don’t get angry or threaten to leave ¬– it’ll leave a sour taste in your boss’s mouth and likely have negative repercussions.
If you are unsuccessful, get as much feedback as possible, including the circumstances, and targets you need to hit, to be successful in the future. Best if you can get this via email for future reference.
Note: If you are contemplating leaving, make sure you consider a number of other factors before doing so, such as the non-financial employee benefits of the role and current job market.
