GOLDEN VALLEY, Minn. — Is this the year to get that raise you've always wanted? Maybe.
Many experts are predicting companies will spend the cash this year to keep employees happy. And if you’re looking to find a new job, we’ve got tips to get the most out of your starting salary.
A labor shortage, combined with the record inflation, and people just up and quitting in every sector, you'd think that it would all somehow equal more money for you. And it might. Experts think base pay may increase by an average of 3.9% in 2022.
"Some organizations, slash industries, you know really flourished last year, and in those situations, they probably have an absolute ability to pass on greater raises to employees. Other organizations struggled and industries, so they may not have that same thing,” says Elizabeth Hang with Robert Half Management Consulting Company.
Hang says employers know they have to pay more to get good talent and to keep the ones they already have, but it all starts with having the conversation. Yes, it’s okay to talk about money.
TIP ONE: IT’S OKAY TO TALK ABOUT MONEY
“You are there to advocate for yourself, to get the best salary offer that you can, and companies expect that," says Hang.
If you're staying with your current company, they might not be willing to bump your base pay as much, because that's what your future raises will be based on, so try asking for a retention bonus. And if you're negotiating a new salary, at a new company, be prepared.
TIP TWO: DO YOUR RESEARCH
“There's so many resources out there, so do your research, you know you want to look at maybe things like location, years of experience, industry, what the role is. There are websites where you can gather all that information so you're going in prepared,” she says.
That could include role playing the conversation with someone for practice, and remember, there's more to all of this than just straight up cash.
TIP THREE: TAKE A WIDER APPROACH TO NEGOTIATONS
“It's knowing what's most important to you when you say yes to a job. Is it base salary? Is it flexibility? Is it working remote? Is it what benefits they have? Things along those lines,” says Hang.
TIP FOUR: GET IT IN WRITING
Once you've come to an agreement, get it in writing to avoid misunderstandings in the future. Hang says as long as you approach with the right attitude, and armed with information, your employer, or future employer, is not likely to be turned off. But one thing is for sure.
TIP FIVE: IF YOU DON’T ASK, YOU WON’T GET IT
“Well, if you don't ask for it, you're for sure not going to get it,” she says.
TIP SIX: DON'T SELL YOUSELF SHORT
If you settle for pay lower than you deserve, you set the stage for your entire tenure at a company, and possibly even beyond that.