Salary Negotiation is an important part of your life to encourage yourself and enhance your career. Average salary depends on the location, local market, demand and average pay based on your years of experience. But it is always depended on how you negotiate to get the best salary in the industry. The survey conducted to scale the salary difference between the person working for one company in his/her entire life and the person changed job frequently. There are pros and cons to changing job, and the survey revealed two scenarios which are as follows:
· The person who changed job frequently got twice the salary compared to the person who remained in the same company over the period of 10 years.
· The individual who asked for a raise in the same company got a significant salary hike.
· The job seeker who changed job frequently has also a hard time to find another job.
One of the best techniques to increase your income is through salary negotiations
But before that, you should know the value of your job roles and responsibility. If you know your job gives a huge impact on the business growth of the company. You must ask for a raise within that company. Your salary should always match your skills, qualification, and experience, demanding higher than that will never work. If you’re negotiating a salary, keep a check on the salary ranges of your position in your field.
There are many online tools available to compare and know about the market salary based on your sector, profession, and experience. Following are the online websites where you know about the industry salaries.
Salary.com is a good career based website providing a salary comparison in various sectors.
Payscale is a global website that provides detailed information on the salary benefits of the employees based on the industry, profession, and level of experience.
Glassdoor is a good resource website for salary research, company reviews, etc. It provides reviews from the previous employees and their previous experiences.
- LinkedIn Salary / Salary research through LinkedIn Contacts
There is a dedicated salary measurement tool integrated into LinkedIn which is called Linkedin.com/Salary. Also, your LinkedIn contacts are the gateway to your job profile, research, and salary knowledge.
Salary Discussion through Discussion with your coworkers and industry people will let you know more about how much to ask salary.
Estimation and Trials
Estimation and trial method will give you an idea of the salary negotiation. It depends on the country to country, but on an average, you must calculate based on number hours and hourly rate of your country. For example, if you have a minimum hourly rate of $9 per hour then you must add the number of years of experience and based on the industry, you must decide the hourly rate.
What is the Salary Negotiation?
Salary negotiation is a skill to ask your employer or boss to raise your salary or negotiating during switching career or starting your first career with a new job. It is a mutual negotiation between senior management or recruiter in which you request to increase payroll. Salary negotiation can be in the amount of their pay, proceeds, income, salary as well as wages. In other cases, salary negotiation is during a new job interview or switching career.
It is important to keep in mind that salary negotiation should not go out of control. It should be a simple conversation; you don’t need to show aggression in negotiations. People use various techniques to ensure getting high pay when they join a new job. Some of the techniques are based on common sense. You should not fear not getting the job or embarrassed about asking for a salary. It is very common, and people should not fear to ask for the right salary. It is always a mutual benefit for both employee and employer in work culture. Loyalty is always praised in any employment and people expect they get the good salary for their hard work.
Here are some tips to salary negotiation.
Being patient in this process is very important; your salary cannot be increased suddenly after a day and employer need time to think over the budget. But you can strategically improve your salary over a period. Annual Salary hike is common for people working in the 9-5 job, but if you want a steady growth in your salary, it is required to switch your job frequently or ask for a raise.
Justify your salary negotiation reason
The best way to negotiate is to justify your asking salary. The justification should highlight your professional experiences, your key achievements and how you can lead the business growth. Justify your salary with hard work, on-time delivery, and loyalty to the company. If you are going to a new job showcase your portfolio of what things you have done.
Provide a Description of the company with your cover letter and how you can contribute.
Cover Letter is an effective way to communicate and write about your professional career. Also, if you provide information about the company in your cover letter will boost chances of negotiating your salary.
It is not salary always, you can also negotiate with your company to give you a family trip, extra vacation, and adjustment is your timings. You can also ask them for medical insurance, bonus, transit passes and educational reimbursement. The secondary benefits are costly and if your company provide the secondary benefit then you can save a lot of money from your normal salary.
Ask regarding other benefits
Your salary may be less as compared to the figure you had in your mind, but it is packaged with other benefits, you realize a good offer. Ask for house allowances, travel, and medical cover. Such benefits are there in many companies.
Take your time
You can get an offer while negotiating salary but you don’t have to accept the offer unless to find it perfect for you. You can think over it and come back to it later.
Consider saying no
If you are uncertain about the position, a simple no can do wonders for you, and they can kick you with better offers. If they found you best for the position and you add a lot of value to them, they will surely come back with a great offer to you.
Do not reject the offer if it’s same you thought
Grab the offer if it suits your expectations. By rejecting that there is a risk that the employer may accept your rejection and move on to the next candidate
Negotiating a Raise
Before you start, decide what matters to you and where you’re ready to compromise.
You should be tough while negotiating; it will not go easier as you think you should be able to bear the pressure under the unpleasant circumstances.
You should have all the information which can help you to reward in salary raise.
But in case all this is not working for you there can also be possibilities that company don’t have the budget to increase your salary or company don’t want to create inequities by paying one person more
Promotions and Salary Raise
Everyone wishes to step up the ladder of success. The first and foremost requirement is a job. Once this want is fulfilled, the next important factor is the increase in salary. With time all of us wish to get higher needs fulfilled. It might not be possible staying in the same job. To get the promotion and salary raise, it is important to switch company. This is not at all a wrong attempt leaving the previous job as soon as you get a new job with the salary hike. You must be thinking that your previous employer may be annoyed to know your leaving job. But, this is a vital step to get a growth in your career.
Salary increase – job change
You are working for a company for more than 2 years. Yet, you are not getting an adequate salary increase. What do you do? Changing job is the best option. The market is flooded with several vacancies. You just need to figure out the job that suits you. The increase in salary is an important factor over here. The employer will always ask you about your previous package. Based on it they will offer you a salary hike. Sometimes the employer may even don’t require the pay package of your previous job. They will fit it based on the current market rate.
Reasons for a higher salary offer
There are several factors responsible for getting a hike in your salary. Some of them are as follows:
- The new job that you are offered have much more responsibilities than your previous job
- You must have gained good experienced in the previous job. But, the previous employer did not bother to recognize you. Thus, you were getting just a modest increment of 2-4% of salary. But, the new employer wishes to recognize your experience and offer you a good package.
- Maybe you have totally changed the industry.
- You may have moved to a different city with the changed job. Naturally, the cost of living in that city is too high. Employer understands this issue and gives you a reasonable increase in salary as per the geographical area.
Promotion without raise – acceptable
Sometimes, the current employer announces the promotion of an employee. Say, the designation changes from junior executive to a senior executive. But, then again, the employer says that there won’t be any salary raise. Some employee may take it sportingly as the designation can add a value to his or her resume. But, some employee also wishes to get a salary hike as per the promotion offered. But, there is more than 50 per cent of employees who accept a promotion without a raise in salary. This can be due to recognition and higher positions in a job.
When to expect a salary raise?
It is not always that an employee in an organization will expect a raise in salary. Every year the company has a rule of increasing the salary of each employee. You can expect the hike in salary at that point in time. Also, when you are promoted to a higher position, salary increment can be expected. Some employers increase salary in the mid-term if you can achieve the target or fulfil the sales as asked by the employer.