How to highlight salary in annual review

No matter how well you are doing in your job or if a promotion is on the cards, there’s no denying that a salary increase is very welcome when going through your annual review. For many of us, being compensated fairly for our skills and experience impacts job satisfaction and being happy at a firm, but you have to think of the bigger picture too. In our recent survey, 92% of respondents indicated that they would expect a pay rise in the next 12 months. 

If you are contemplating how to navigate your salary expectations, here are some factors to consider throughout your annual review process.

1. Don’t make money your main motivator

Although opportunities for a higher salary can happen at your review with your employer, don’t let this be your sole attention. Progression, opportunities, exposure, training are all keys to job satisfaction and should be thought of, especially at the more junior level.

2. Don’t get emotional in the review

If a promotion is not given or salary increase expectations are not met, it is easy to get frustrated or annoyed. An annual salary review increase is not a foregone conclusion, so leave with constructive next steps. 

Instead of straight out asking for a promotion, ask what you need to do to move up in the company. This is better than asking for a promotion, because it does not come off as entitled but shows interest in wanting more responsibilities. Showing that you’re eager to learn and committed to the firm will look good in your boss’s eyes. Showing an appetite to improve is the foundation of a long-term relationship. 

3. You are allowed to follow up after your review

After finishing your review, it is okay to have a follow-up meeting with your boss if you are unsure about expectations or want anything clarified. Here is where you need to be best equipped to formulate a constructive plan.

You need to be able to think specifically about your skills, experience and prior successes, especially those that have had a measurable effect on the bottom line. Knowing things like your charge-out rate, yearly billings, etc., is a great way for you to demonstrate your worth.

This will benefit you when the time comes for salary negotiation. Don’t be afraid to let your enthusiasm for your firm show – your passion can be contagious.

4. Be equipped with salary benchmarking advice

Salary bandings differ from Big 4 Accounting firms to smaller boutique firms, and it’s best to be clued up on where your current salary sits within the environment that you work in. 

Please reach out to our team here at Lawson Delaney for advice on what you should be getting paid that’s in line with other people at your level.

5. Be prepared for your employer to think about your meeting

Every meeting revolving around money requires breathing space. They may need to consult other Partners or stakeholders and the ramifications of increasing your salary compared to other Accountants at similar levels. If they increase yours, they may have to increase others to create parity. 

If you don’t get the desired outcome regarding salary, then don’t do anything out of character. An increase isn’t an entitlement. DO NOT mislead your employer about ‘being able to get more money elsewhere’. 

Summary

Think beyond just a salary increase. Think of your career and a dedicated plan to help get you where you want to be. Be sure to look at the full picture when evaluating everything. 

If your firm can commercially increase your salary package, they will. Good Accountants in the market are still tough to find, so if they don’t increase your earnings, then there may be a valid reason for it. If you choose to enquire about an increase, then be prepared to give evidence why.