How to Negotiate for a Higher Paycheck

If you don’t ask for it, chances are you’ll never get it.

Many employees today are unhappy in their jobs because they feel they are underpaid. However, only a handful of these employees would ask for a raise because most of them are either shy or afraid of being thought of as greedy by their employers. Unknown to them, job dissatisfaction relating to low salary might cause their downfall later on if it will affect their day-to-day work performance.

Below are our top tips on how to break away from a salary rut.

Know your worth

In terms of your education, accomplishments, job experience, trainings and work potential, it is important to evaluate your worth in the industry before asking for any amount of salary or salary increase. Take time to ask friends or people doing similar jobs and with the same experience as you have, to give you a ballpark figure in what they are earning. It is also helpful to look on job sites such as salary.com or careerbuilders.com for insights on pay scales corresponding to your overall worth.

Moreover, you need to research the salary scales of your company. Up to how much can they pay? I had a friend who recently accepted a job from a multinational company thinking he went away with a great deal in terms of basic salary and based on the average market pay. Later on however, he discovered that most of the staff in the company at his same level are getting a far higher paycheck. It was too late when he realized that his company has an above average salary scale and was willing to give a higher than entry-level pay if only he knew how much or had researched further.

Update your skills

In negotiating for a higher salary, employers will normally look for basis of an increase. Why should they give in to your demand? What is your edge over others, the deciding factor that will make them give you the pay that you want. Bottom line is, the more knowledgeable you are of more skills, or the more flexible you are, the higher are your chances of getting a higher salary.

Avail of the various trainings offered in and out of your company. Ask your HR for a list of general or job-specific trainings planned for the year and enlist in those you think are relevant to your skills or interest.

You may also delve into self tutorials for a particular computer application for example, if you feel that it will lighten your work process. In this regard, you can ask for assistance from your IS department. Some companies allow this, but from time to time, you may ask your boss if you can work with or sit in a department whose function requires your assistance or skills. This could be one effective way of exchanging skills and knowledge about the business with others, therefore making you a more valuable employee.

There may come a time when a position in the company suddenly opens wherein your acquired skills and knowledge would be needed and you could be considered for a higher salary. If your boss finds that you’re valuable and would want you to stay in the department, that in itself is an opportunity for you to negotiate.

Be confident

To be confident requires that you build up a good case. You probably won’t walk away with an increase if you are not prepared at least with a bottom line figure. However, don’t mention the amount as soon as you’re asked. Say something along the lines of “according to the salary scale…,” or “according to the industry rate…” If you’re new to the company, you may ask back, “How much can you offer your best candidate?” The company will have a higher regard for you if you know you are professionally sought- after.

State your facts in a matter-of-fact manner. Much as you wanted to stress that aside from the salary, you would also be thrilled by the challenges the job can offer and how much else can you contribute, you might not be able to convince your employer by stating “I won’t settle for anything less than $60,000” unless you really mean it.