Do You Want to Ask For a Raise?

The 4 Chinese characters say, “I want a raise.”

There are seven factors to consider before you ask for a raise:

1.       Profitability and cash flow: Is the company making money? Is there sufficient cash flow to cover normal operating expenses? These are important things to find out before you ask for your pay increment. If you are not working in the finance department, you have to get the correct information from your co-workers who are working there. Actually, you just need to be observant and know the telltale signs like slow business and suppliers are always pressing for payment. If the establishment is making losses or there is an insufficient fund to cover day-to-day operation, don’t ever think of asking for it.      

2.       The power of your immediate boss: Do you have an immediate boss? Do you think he or she is capable of asking for a raise on your behalf? Hopefully, your immediate superior is a valued department head in the eyes of the big boss and what he says carries weight.

3.       What does your boss think of you: Are you being noticed by your boss? If you are just busy working and without notifying your boss regularly about your progress, he or she may not be thinking too highly of you. 

4.       The way you ask for it: There is a right way to ask for a raise. Don’t ask as if you are entitled to it and it is not an ultimatum. You should go to your boss when he or she is not busy and in a good mood and request a raise with valid reasons. The way to go about it is to ask your boss to consider your request. In this way, the boss will be more than happy to comply and if the worst should happen, it is not the end of the world.  More likely than not your boss will accede to your request, if not, ask for the reasons and be more prepared the next time. 

5.       Don’t ask for the wrong reasons: Don’t tell the boss you need more money. Money is always in short supply and it has nothing to do with the company. Don’t say you are paid less than somebody else in the company. There is no way to find out how others get paid because it is confidential. 

6.       Are you underpaid: Do your homework and find out the current salary trend relating to your job scope. There is a good reason to ask for a raise when you are paid less than what you should be getting. 

7.       What have you done for the company: This is a crucial factor when all other things are in your favor.  Are you contributing to the company? Do you manage to cut expenses?  Are you generating more revenue for the company? When the answer is affirmative, go for it, and best of luck to you.

Do you have other effective ways to get a raise?