How to Successfully Negotiate a Salary Raise
Negotiation skills – we need them everywhere. Whether you recognize it or not, our days are filled with negotiations. You might negotiate about many things, like what goals to set at work or what to have for dinner at home. So that in mind – we all should be masterful at negotiating.
So why does it feel so difficult when the topic of negotiation is money? And to be exact; a salary raise.
Negotiating about money is often complicated and uncomfortable because it is taboo to talk about money, especially when you should price your resources: time, skills, know-how, and abilities.
This fact also makes it way harder to come back with a constructive argument when someone doesn’t agree with your ideas and justifications instantly.
Here are a few tips that will help make you get that raise:
Change the mindset from beggar to provider. Instead of talking about your value, think about it the other way around: how the company benefits from your resources and contributions. Take the self out of the equation and focus on the results you’ve been delivering and the successes you have helped to build. Showcase past achievements, but don’t forget to emphasize how the company will continue to benefit from your efforts in the future.
Remember, it is not the world's end if you are told NO. Instead of taking this as proof of your self-worth (or lack thereof), please take it as an opportunity to grow. Ask the person what you must do to get where you want to be. Agree upon the metrics and how you measure success. (A motivated employee is a great employee – so in case your boss doesn’t take this as good news, then consider finding a new job).
BE PREPARED and showcase your contributions. List all the projects, tasks, and assignments you have delivered. How the company benefited? Are these solutions currently in use? Do they save money or time; make money directly or indirectly by supporting the organization and making it more efficient? Save all the good feedback you have received. If you find it hard (like most of us do) to promote yourself, then focus solely on how your company has benefited from your work and how it will continue to do so. Track any changes in your responsibility area. List all your tasks and showcase successes.
Rehearse the negotiation with someone you trust (a friend, a coach, or a diary). What are the most-likely counterarguments to arise in the negotiation? Typical ones are “the company isn’t in good financial standing to give a raise”, “this is not the right time”, “your responsibilities haven’t changed enough to justify a raise”, and “your performance doesn’t support a raise”. Think of as many possibilities as you can and then prepare yourself an answer. If it’s about your responsibilities and performance, remember that your contributions are not necessarily so visible to your supervisor, and it is YOUR job to make them aware.
Final word: An employer who respects their employees should consider checking their performance and salary regularly. Despite this fact, often (especially) smaller companies do not have these processes in place; even if they don’t, don’t give up.
You are selling your time, skills, abilities, and know-how, so don’t be too afraid to ask for a raise when you feel a raise would be reasonably justified. Salary negotiations are a perfect Estrada to showcase your negotiation skills to your employer and earn their respect yet on a new front.
Don't feel too depleted in case your first round went sour. You learned something and can be better prepared for the next round.
And whatever you do – do not take a NO as a personal insult (unless you have a very sound reason for it, in which case you are probably not considering staying for too long).
Be respectful, and thank them for the negotiations and the time they took to sit down with you. Leave the situation on a positive note - it is not an argument but a negotiation, and how you handle it makes the basis for future negotiations and cooperation.
