Last updated on Jul 1, 2024

Here's how you can secure a salary increase during a performance review.

Navigating performance reviews can be daunting, especially when you're aiming for a salary increase. However, with the right preparation and approach, you can make a compelling case for a raise. It's important to understand that performance reviews are not just an assessment of your past work but also an opportunity to discuss your future with the company, including your compensation. By effectively showcasing your value and aligning it with the company's goals, you can position yourself for a successful negotiation.

1 Know Your Worth

Before stepping into a performance review, do your homework. Research the typical salary range for your position within your industry and region. Understanding where you stand in comparison to the market rate equips you with solid evidence to back up your request. Highlight your unique skills, experiences, and contributions that have positively impacted the company. Remember, knowledge is power, and being well-informed about your worth is a crucial step in securing that salary increase.

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Nichole McKenzie, PHR, SHRM-CP

Fresh-Thinking, Human Resource Strategist | Senior HR Business Partner | Project Management | Business Management | Process Improvement |
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Whenever possible, tie your contributions to data that converts to dollars and cents. Employers are more likely to listen when you are able to relate your progress to how you've saved the company money and/or brought in new business, increased income, etc.

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Karol Fabreto

HR
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Garantir um aumento salarial durante uma avaliação de desempenho requer preparação e estratégia. Uma abordagem eficaz é documentar todas as suas conquistas e como elas beneficiaram a empresa. Em minha experiência, entrar na reunião com exemplos concretos de seu impacto positivo e uma compreensão clara do valor de mercado do seu papel é fundamental. Demonstrar proatividade e vontade de assumir novas responsabilidades também pode fortalecer seu argumento.

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2 Set Achievements

During your performance review, clearly articulate the goals you've met or exceeded. Be specific about your achievements and how they've contributed to the company's success. Use concrete examples and, if possible, quantify your contributions. This will help paint a picture of your value as an employee and make it easier for your manager to see the justification for a salary increase.

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3 Future Contributions

Discuss your future plans and how you intend to continue contributing to the company. Show that you're not just looking for a salary increase based on past performance but that you're committed to bringing even more value moving forward. Outline any upcoming projects or initiatives you're excited about and explain how your skills will be essential in making those a success.

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Nichole McKenzie, PHR, SHRM-CP

Fresh-Thinking, Human Resource Strategist | Senior HR Business Partner | Project Management | Business Management | Process Improvement |
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Also, review internal opportunities that would position you for growth. Come prepared to discuss these and your desire to grow within the company. If these don't exist, perhaps you propose a new role that better encapsulates your contributions and future goals. Depending on the increase you are asking for, the company may or may not be able to meet your request within your current position. However, they may be able to with a promotion. Also, career growth is often tied not just to monetary increases, but also to the impact you have within your organization. Looking at your resume from a big picture perspective, positive upward movement is much more attractive than staying in the same position for 20 years.

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4 Timing Matters

Timing is crucial when asking for a salary increase. Ideally, bring up the topic when the company is doing well financially, and after you've recently delivered a significant contribution. Avoid times of budget cuts or economic downturns. If your performance review is scheduled at a less opportune time, consider asking to revisit the salary discussion at a later date when the timing might be more favorable.

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Nichole McKenzie, PHR, SHRM-CP

Fresh-Thinking, Human Resource Strategist | Senior HR Business Partner | Project Management | Business Management | Process Improvement |
Report contribution
Open communication with decision makers is key. It's important to let them know your are there to support the company, but that in turn you want to ensure that you're positioned to achieve your own goals and enjoy real growth. If timing isn't right, ask for guidance in planning a growth track. Perhaps in lieu of a salary increase, the company would be able to assist with educational tuition assistance to help you gain new skills and improve on the ones you have to set you up for further success and if your company is unable to support you in your growth efforts, it may be the time and place to look for options that are more aligned with your personal career goals.

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5 Negotiate Smartly

Enter the negotiation with a clear idea of what you want but also be prepared to compromise. It's important to be flexible and consider other forms of compensation if a direct salary increase isn't feasible. This could include benefits, additional vacation time, or professional development opportunities. Smart negotiation is about finding a balance between your needs and the company's capabilities.

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6 Follow Up

After your performance review, follow up with a thank-you note to your manager, expressing appreciation for the discussion. If you received a promise for a salary increase, politely inquire about the timeline and next steps. If the answer was no, ask for feedback on how you can improve and possibly revisit the conversation in the future. Following up shows professionalism and keeps the lines of communication open for future negotiations.

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7 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?

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Here's how you can secure a salary increase during a performance review.

1

2

3

4

5

6

7

1 Know Your Worth

2 Set Achievements

3 Future Contributions

4 Timing Matters

5 Negotiate Smartly

6 Follow Up

7 Here’s what else to consider

Staff Development

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Here's how you can secure a salary increase during a performance review.

1

2

3

4

5

6

7

1 Know Your Worth

2 Set Achievements

3 Future Contributions

4 Timing Matters

5 Negotiate Smartly

6 Follow Up

7 Here’s what else to consider

Staff Development

Rate this article

Thanks for your feedback

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