Hello everyone and welcome to Pay Day Friday. I’m James from Paysa, and it’s my job to help you get paid.
On today’s episode, we are going answer one of the toughest questions in the book. How do I ask my boss for more money? Because It doesn’t matter if you are a ten-year veteran in your career, or this is your first job out of college, I guarantee at some point you will ask yourself “Do I deserve to make more money?” and when you do I want you to keep in mind the fastest, easiest ways to do that is to get a raise. So today we are going to help you prepare to have a conversation and ultimately have a conversation with your boss about your compensation package. And we are going to do it with our five-step process.
- Do our research
- Then we’ll start with the end in mind
- List our contributions
- Practice your pitch
- And last but not least have the conversation
Alright, let’s start unpacking this. We’re going to start with step number one,
Step 1: Do your research
This will be the most important step for success. When it comes to asking for a raise, never underestimate the power of cold hard facts. You can’t just walk into your boss’s office and just say “Show me the money.” They might appreciate the Jerry Maguire reference, but that’s probably as far as it will go.
For this research, you’re going to want to use Paysa. We actually help you establish your personalized market value. Taking your unique skills and experience and comparing those to others in your same role at similar companies.
Our platform takes a data science approach which means we take your skills and experiences and compare them others and actually put together a customized report just for you. We can even show you what other team members in your role are already getting paid at your company.
Once you have this information, I encourage you to print it up. This might go without saying, but make sure you understand what’s in your customized report. Highlight certain pieces so you can take this report with you into your conversation and show your boss the facts, don’t tell them your feelings.
Step 2: Start with the End in Mind
We’re borrowing some logic here from Stephen Covey and his Seven Habits of Highly Effective People. Basically, before you start out on a journey, understand exactly where’s the destination. Where are you going? What does success look like? Grab a piece of paper and determine what does success look like for you. Here are some examples to get you thinking:
- Work experience
- Time flexibility
Now as we continue to start with the end in mind I want you to think of your negotiating range. Your negotiating range is that top end “Wow if I made this much money I would be so happy” and the low end “If I make anything less than this I’m walking away.” That negotiating range is going to give you some confidence when you walk into your boss’s office.
Step 3: List your contributions.
While you have your pad of paper out, I want you to start writing down all the accomplishments that you’ve made since the last time you talked to your boss about your performance. Keep in mind this is not the time to be humble. I give you permission to write down every single accomplishment. Write down examples of how you’ve:
- Helped increase profits
- Saved the company money
- Grown new opportunities
- Streamlined processes
- Or a time when you helped the company avoid disaster
While you’re at it start writing down what are those projects you’ll be working on in the next 2-6 months. This is going to help show your boss that you’re committed to the team. It’s also going to be a friendly reminder of what your boss stands to lose if they can’t make you happy.
Step 4: Practice your Pitch
I promise you practice will always make perfect, so if you want a raise, I encourage you to find a friend that you trust and invite them out to coffee. Once you get there, buy them something nice Like a grande caramel macchiato, upside down, with an extra shot of espresso, whatever their poison is and then ask them to pretend your boss. Ask them to have that raise conversation with you.
Ask your friend to throw you some curveballs and tough questions. The more you prepare, the better off you’ll be. Make sure you practice both a passive and aggressive approach. You never know what direction a conversation like this will go, so it’s better to be safe rather than sorry. Do it a few times until you feel comfortable with the tone and message.
Step 5: Have the conversation
Make sure this conversation is 30 minutes on your boss’s calendar. Make it official. Keep in mind there are good and bad times to ask for your meeting. Bad times include, but are not limited to: when the company is having trouble (No one wants to pay their employees more when the company is tight on cash. When your supervisor is busy or stressed, or It’s too soon to ask for a raise — six months on the job is the bare minimum for you to show your value to the company. Keep in mind it’s never too early to start planning though!
Here are some good times to ask. When the company is doing well (and everyone’s high-fiving wolf of wall street style), When you are earning less than others in a similar position (and you have the data to prove it), or Your boss is in a good mood.
Once you’re sitting in front of your boss take control of the conversation. Start by sharing with your boss 2-3 of the biggest accomplishments that you’ve achieved. Reconfirm your commitment to the company and to the projects you’ll be working on over the next 2-4 months. Remind your boss that it is a competitive market and you’re concerned that your current salary is not in-line with salaries for people like you. Now pull out your Paysa data and show your boss what other people are making with your skill set. Finish strong and ask your boss directly, what is it they can do to help remedy the situation.
Once you ask for their help… Stop talking! I guarantee this will be the hardest part, but this is where the real magic starts to work. Once they start talking, make sure you talk less and listen more. Depending on how your boss responds, you can decide on your next course of action.
Okay so now you know how to prepare for and have a raise conversation, but what if your boss gives you one of those standard responses like “We only give raises at the end of the year.” What should you do then? Tune into our next episode of Pay Day Friday when we explain the five most popular “sorry we’re not giving you the money you deserve” responses managers give their employees and the best ways to overcome those objections and get what’s yours
Until next time. Go Get Paid!
This was our list on how to have a successful raise conversation, but we’d love for you to join the conversation. Let us know what works for you in the comments.
For more information on Paysa go to www.paysa.com