As the cost of living continues to rise, securing a higher salary is top of mind for many tech professionals. And after a hard year marked by layoffs at some of the nation’s biggest tech companies, those tech professionals absolutely deserve a raise. But how do you properly ask for a raise? What kind of information should you bring to that discussion (such as a breakdown of your additional responsibilities) to help secure what you want?
Let’s break down some key strategies for giving your annual salary a boost. As you read through this, keep in mind that it’s best to plan extensively well before discussing your compensation. What’s your leverage? Would you be as satisfied with a job title change or more equity as an outright raise? What’s your position on counter-offers?
Above all, don’t panic: you’re going to do great.
When to Ask for a Raise
Timing is everything. If you make your ask at the right moment, chances are better you’ll get what you want from your manager.
- After a string of wins: Have you crushed your goals? Did you finish an absolutely massive project that yielded tangible results for the company? If you’re currently winning at everything, you’re demonstrating your value to the company, making it a great time to ask for more money.
- Industry shifts: Is your company doing really well? Is your industry’s growth exploding? You can bring up how your work is helping fuel that success.
- Performance review season: Your annual evaluation is a natural springboard to discuss compensation, especially if your review reflects stellar performance. If you’re ever wondering about the ideal time to ask (politely) for a raise, this is it.
- New responsibilities: Have you been asked to take on additional tasks and projects? That’s as good a time as any to ask for a raise.
Prepping to Ask for a Raise
If you want proper leverage in a raise discussion, come prepared with your achievements and value broken down in an easy-to-grasp way. Before your meeting, sit down and research the following:
- Quantify your achievements: What numbers back up your impact? Have your recent projects led to significant revenue growth? Whatever you’ve done that you can quantify, make sure to list it.
- Benchmark your value: Use resources like the Dice Tech Salary Report to figure out the average salary for your position. If you’re being underpaid vis-à-vis your experience and skills, you’ll have additional leverage to ask for a pay bump.
- Know how your company approaches raises: For example, does it regularly give out-of-cycle (i.e., not during the annual performance review) raises? Knowing how your company gives out additional cash can help you plot your timelines and strategy for asking.
- Practice your pitch: Have a trusted friend run you through arguments and counterarguments.
Asking for a Raise
You’re sitting down with your manager. They’re looking at you with a pleasant smile. This is your big moment. Here's how to navigate the conversation effectively:
- Be direct but professional: Be as confident as possible, and get right to the point: you’d like to discuss your compensation, and you’ve brought some data that shows your value.
- Break down your contributions: Start by showing everything you’ve done for the company, and how your value has (hopefully) increased in the period since your last raise.
- Use data and evidence: Bring whatever you need to quantify your value.
- Be prepared to negotiate: Your manager may have counterarguments. They might try to lowball you. Make sure you come into the meeting with some parameters for what you’re willing to accept, including benefits in lieu of salary numbers.
- Listen: Listen actively to whatever your manager is telling you, and try to see their arguments from their point of view.
- Visualize success, and focus on your value: Whatever happens, stay positive and stick to your talking points.
What to Do When Your Manager Counters
Even if you time your request correctly, and come prepared with lots of data, your manager might still try to push back. Here are some common ways that managers might try to turn down your request:
- "We’re facing budget constraints": If there’s no money, think about what you could take in lieu of additional salary, such as training or education options, or even stock options.
- "We need more time to consider this": Before the meeting ends, establish a timeline for a response.
- "Your performance is good, but...": Address the specific concerns. Suggest a timetable for improvement, after which you can revisit the raise conversation.
Knowing what your boss expects and how to broach the subject can increase your chances of success when it’s time to ask for more money and perks. Whatever happens, stay flexible, and remember: as you improve your skills and gain experience, your worth to employers will only increase!
