Building a Case for Compensation

Gain visibility. Make sure that the people who will be making crucial decisions about your compensation are aware of you and your work. Send status reports, forward compliments about your work to your manager, make presentations whenever possible, and take leadership roles to increase your visibility.

Seek out opportunities. Having initiative and being helpful can increase your compensation and career opportunities. Remember that managers base compensation decisions primarily on an employee's long-term potential.

Set measurable goals. Present objective justification for your raise or bonus. If you don't already have measurable goals, start setting them now. For example, instead of setting a goal of manage DHCP services, set a goal of maintain 99.99 percent availability of DHCP services. The first goal simply states what someone in your role should do; the second lets you demonstrate the knowledge and skills that you bring to the job that affect business activity. Often, someone other than your manager will be making the compensation decision. By providing objective performance measurements, you reduce the possibility that someone evaluates your request on arbitrary criteria.

Decide what you want. Remember, organizations typically give bonuses because of past performance and grant raises for the promise of increased or continued contribution in the future. After you decide which compensation type to target, make sure you set the appropriate goals and use the right metrics. For example, ask for a bonus if you can prove that you saved the company a certain amount of money in the previous year; ask for a raise if you're implementing a program that will save the company a certain amount of money in the future. Although bonuses are tempting, raises are usually more desirable over the long term because they increase your base compensation.

List your responsibilities. You might be involved in important activities that management isn't aware of. This list is essential if you're asking for a raise or promotion.

Compile your achievements. Your responsibilities will be interesting only to a point. Think about what you've accomplished and the effects and significance of those accomplishments. Because it can be difficult to remember the events of a year, consider keeping a log of these achievements and update it regularly. Being able to show you've made a measurable positive effect on the company will enhance your chances of convincing management to increase your pay.

Compare your responsibilities and accomplishments against company goals. Did you neglect to do something that your manager was expecting? If so, you need to address the situation so that it doesn't become a blocking factor. Similarly, did you exceed the company's expectations of you? If so, point out that fact.

Write a raise or bonus justification paper. Write a brief (one page maximum) justification for your raise or bonus. Focus on your contributions that affect the business, rather than on how many hours you worked or your responsibilities. Proofread this document for grammar, spelling, and style. These types of errors can cause management to take you less seriously.

Habitual negativity. Managers spend their days solving problems. You want them to remember you for being part of the solution, not part of the problem. Habitual negativity is a sure way to become associated, fairly or unfairly, with the problems that exist in the organization.

Missed deadlines. Few things will set your manager steaming like missed deadlines—even when you have reasonable excuses. If you sense that a project might miss its timelines, define the blocking factors, brainstorm a plan for meeting the timeline, and communicate this plan to your manager.

Unwarranted arrogance. Taking too much credit, lack of contriteness, or denying your shortcomings won't sit well with your coworkers or manager. Be a team player. Give credit and compliments when appropriate and accept blame gracefully.

Complacency. When you ask for a bonus or a raise, you probably won't succeed if management views you as complacent. Look for opportunities to show initiative. If you do just enough to get by, management is unlikely to grant your request over the request of a coworker who goes the extra mile.