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How to negotiate a better raise

Do you know anybody who works for the fun of it? Everyone I know works for the money. Ideally, you like your work and have fun doing it. But, like my dad always said, "You got to eat and you got to pay your bills."

But that doesn't mean you have to settle for less pay than you deserve. Here are some tips based on a very positive experience I had a few years ago. (Your mileage and actual pay may vary.)

Getting in the door

Here's what happened. I moved to a new city and got work right away through a temporary services agency. My first assignment was doing Wang word processing for a law firm. It was a great experience, but there wasn't a permanent position available for me. So, when the assignment was over, I accepted a full-time position elsewhere, where my duties included programming in Basic and dBASE II.

Later, at a computer fair, I ran into the law firm's business manager, and she offered me a job as a programmer. There was a catch, though. Management wasn't convinced the firm needed a full-time programmer. So I hired on with the plan to do word processing three days a week and database programming two days a week.

That arrangement didn't last long. The programming projects quickly started stacking up and I became a five-day-a-week programmer.

When the time came in December for company-wide annual performance reviews, I was excited. I had blazed the technology trail throughout the company, earning a reputation for providing quality solutions, and I was sure I'd be getting a nice raise.

But no. I got the same "decent" little raise everyone else probably got. I was disappointed, and I decided to do something about it.

 

 

Be calm, be polite, and bring your facts, Jack

The first thing I did was write a memo to the business manager. Basically, I said, "I am writing in regard to my performance review. I appreciate the positive review, and I love the work I'm doing for the firm. However, I was disappointed in the amount of the pay increase. I was hoping the raise would bring my salary in line with what programmers in comparable positions in other companies are earning. I respectfully request that the compensation committee take another look at my pay."

In other words, I was saying, "Hey, you hired me in at word processing pay and now I'm a full-time programmer." I wasn't against paying dues and putting in my time, but I didn't feel comfortable working for another year at a salary well below what the market was paying.

The business manager called me in to talk about the memo, and she said she appreciated the fact that I approached the topic so politely. (Maybe she expected me to stomp and curse and pout?)

Then she asked me for facts to back up my assertion that programmers in comparable positions were being paid more than I was making. With that, I looked in the local paper and found two ads offering free computer salary surveys. When I received them, I was able to show the business manager that there was a deep chasm between my pay and the minimum pay for people doing comparable work. The business manager took this information to the next compensation committee meeting.

 

 

Let them show you the money

So, what was the outcome? I didn't get a raise right away. Instead, the decision was made to give me a review at six months—in June of that year—in addition to the next annual review in December.

I kept working hard, and in June I received a mid-year review and a nice raise. When December came, I received another nice raise that put my pay a full 20 percent higher than it had been the year before, bringing my salary in line with the industry standards at the time.

 

 

What should you do?

First, let me say that the most important negotiating you'll ever do is when you hire on (and that will be the topic of another article). In general, don't be afraid to ask for what you're worth. If you think the pay is too low, don't take the job. Find an employer who will pay you the salary you want.

Once you're employed, however, the rules change. It's all about performance, and you're responsible for making sure your manager knows what your contributions are. Here are some tips for making sure your next review goes the way you want it to:

 

Do a good job. Okay, this is a no-brainer. But you've got to do a good job if you expect to get a good raise. If you're a slacker, you know it, and so does everybody else. (If you're a hard worker, that's something that may not be apparent to everyone else, including your manager.)
Review your job description. Are you doing everything you're supposed to be doing, according to your job description? More importantly, are you doing more than what's listed in that job description? Some managers will deny your raise by pulling out the job description and pointing to something you haven't been doing. Don't get caught unaware. And if you're wearing two or three different hats—covering for someone who's left the company or just picking up extra work because you're so darned motivated—document that work. Then say to your manager, "I've been doing all this extra work. It needs to be added to my job description and I need to be compensated for it." (By the way, if you don't have a job description, write one and submit it to your boss.)
Document your achievements. Create a document or a database in which you keep track of your accomplishments, and update it every week or every month. Your manager may be patting you on the back for what you're doing in August. However, by the following February your boss may have forgotten your summertime brilliance. The paperwork for your raise will have to go through the mill long before your manager gets around to doing your review, so keep a running log of your successes and give a copy to your manager at least three months before the review comes up. And keep telling your manager how well you're doing right up until the day of the review.
Remind your boss about your review. Managers are busy people. If the human resources department doesn't remind your manager that your review is due, it might not come up on his or her radar. Start talking about your review three months in advance. You don't have to be obnoxious about it. Just be positive and show enthusiasm. It's better to be too confident than not confident enough.
Share positive customer comments. If you get an e-mail message from a colleague or a customer who thinks you hung the moon and the stars, forward that note to your manager. (If you get praise through snail mail, make a copy.) I always attach a note that says, "Please put this in Jeff's review folder."

Toot your own horn

Don't be shy when it comes to talking about money. It's okay to expect to be paid a fair wage for a job well done. 

 

 

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