Negotiation tactics for salary increases, side hustles, or entrepreneurial ventures
By: Alisha Childress
Whether you’re just starting your career or you’re a seasoned professional, there is always opportunity for growth, both professionally and financially.
Typically, most companies increase compensation based on performance, cost of living, and experience. But what if it’s been a year’s time and your responsibilities have increased and you’ve leveled up your skills? What if your goals or family needs have changed? It’s never too early to start the conversation and take action.
When it comes to career advancement, exceptional performance, networking, and confidence are proven ways to catch the eyes of others.
Be the expert in the tasks that you complete and perform them well. This may mean you have to take a course to sharpen your skills or interview experts to gain additional insight and knowledge. Your confidence and mindset will carry you far. Be positive, adjust your posture, speak clearly, and believe that you deserve to be where you are and where you desire to be!
Networking can truly be your best friend. This may look like attending company events to meet coworkers in other departments and interact with C-suite executives. It may mean attending local business and community events to meet other professionals and community members. It can also be engaging with leaders and peers on professional social media networks to share your work, achievements, and to expand your network. Take the time to get to know the people in your network and be sure to share a bit about yourself. Real and meaningful connections are the best and usually the most fruitful. Have fun and be your authentic self (I know this is scary, but this is your opportunity to stand out and make an impression!). If you need a warmup, think about attending fun and stress-free events like a store grand opening or an event at your local entertainment spot. This is a great opportunity for folks to get to know you outside of your emails, phone calls, and formal meetings. Overall, there are so many benefits to networking: meeting new people, learning about new job and civic engagement opportunities, discovering boards and committees to serve on, and building your confidence (we’re all just a big cheer squad rooting each other on!).
Okay, so you’re standing on business, great! But what about the money?! Yes, the money! Your compensation should match the same energy your performance and value bring to the table. I’m betting on that energy being high! Higher income coupled with effective personal finance and money management can be just the thing that puts more families into positions of financial independence and the ability to build more wealth.
“Okay Alisha, I hear you, so how do I increase my income, how can I achieve my financial goals?” I thought you’d never ask! Here are just a few tips to increase your income and help to achieve your financial goals.
1. Negotiate your salary.
According to Glassdoor, nearly 60 percent of American employees do not negotiate their salary. Often this means money is left on the table. Employers expect employees to negotiate their salary during the initial offer. This is the best time to bring the researched market position-salary data, your brag book, and game face! This will usually be the best time to negotiate your highest-earned salary request within your position. After this opportunity, you’ll usually depend on merit-based performance evaluations and cost of living increases.
2. Keep an open mind and explore new opportunities.
The new opportunity may be to develop a new skill, provide a different service or product, work with a different group of people, and/or increase your income. When the opportunity is presented, always do your homework. Research the role and responsibilities, as well as the market rates for compensation. According to Pew Research Center, the average salary increase when changing jobs is 5.8 percent in today’s market. This increase can impact your financial picture for the good. There are also other things to consider like health and retirement benefits, or work-life balance and flexibility.
So take all of these things into consideration and make the best decision for you and your family.
3. Consider a side-hustle.
Utilize your skills and talents. What are you naturally good at? What comes easy to you? Are you good at organizing, attention to detail, and a great task manager—what about being a virtual personal assistant? Are you a creative? Could you make and sell pottery, take beautiful photographs, or perform at weddings? Maybe you’re great at sales and marketing, you could have a side hustle managing some business social media accounts. The possibilities are endless!
4. Invest in your retirement.
While you are earning money, saving, and responsibly managing your day-to-day responsibilities, investing is the next step to financial independence. The greatest asset that you have right now for enjoying your money later is time! That is because of compound interest—interest earned on an initial balance and accumulated interest. The earlier you invest, the more time you have for your money to compound and grow. Most employers provide an employer retirement opportunity with a match. Invest in your retirement plan and take advantage of your employer’s match—that’s free money!
There are other investment options available. One popular option is the individual retirement account (IRA). There are different types, so research which options work best for you. Your future self will thank you later.
