How to get a pay rise - Times Money Mentor (2024)

The soaring cost of living has been eating into our pay packets for several years. One way to manage the high prices is to ask for a pay rise, but how do you go about it?

Before you arrange a meeting with your boss to ask for more money, it helps to have a plan in place. If you are prepared, you are more likely to succeed.

In this article, we take a look at:

• What qualifies you for a pay rise?
• How to ask for a pay rise
• What is the average UK salary?
• How to negotiate for more money
• How can I check I’m on the right salary?

Read more: UK companies with amazing childcare benefits

What qualifies you for a rise?

Before requesting a pay rise, be clear about why you deserve to be paid more, such as:

• Increased responsibilities since your last pay review
• A promotion
• You have gained further qualifications or completed a training programme
• Time spent at the company means your experience is not reflected in your salary
• Outstanding performance in your role that exceeds expectations

The strength of your position, the financial standing of the company and how well you negotiate are factors that will determine whether you are given the lowest possible wage rise or a more generous sum – or, perhaps, any increase at all.

Read more: Is a pay rise from £50,000 to £55,000 worth it?

How to ask for a pay rise

Only half of men and just 37% of women said they had ever asked for a pay rise, according to a survey by investment manager Fidelity International.

A good rule of thumb is to ask no more than once a year and no sooner than six months after joining the company.

You might be wondering if it is written in law that you should get a pay rise every year. It isn’t. You can discuss the possibility of an increase, but your employer is under no obligation to offer one.

Some public and private sector firms will offer an inflation-linked pay rise once a year; this is usually in line with the cost of living, but tends to average at about 1-2%.

If you are being paid the national minimum wage, the rate is reviewed each year and companies are legally bound to implement any changes, so you stand a good chance of receiving an increase.

Beyond this, lots of companies hold annual performance reviews to discuss their employees’ successes and challenges. This is the time your boss is likely to discuss an annual pay rise.

If your review is approaching, it is probably wise to wait until then. When asking for a pay rise outside your review, you would need a good reason for your timing. We provide some tips later on picking the right time.

For more tips on how to get more money, read our guide on how can I increase my freelance pay?

Read more: Highest-paying jobs in the UK

What is the average UKsalary?

According to the Office for National Statistics (ONS) the median UK salary (latest data August 2024) was £35,880 pre-tax.

Wages (including bonuses) were also growing at 5.4% for the three months between April 2024 and June 2024.

Bear in mind these figures are averages and will vary depending on industry, age, educational background, area of the UK and many other factors.

Seven tips for getting a pay rise

Many people are uncomfortable talking about money, but it’s an important skill to have.

Knowing how to get a pay rise – through preparation, practice and a confident delivery – could increase the chances of success for your wage-rise pitch.

1. Have a realistic figure in mind

When you’re working out how to get a higher salary, it’s important to know your worth so that you have a realistic figure in mind when you begin negotiations.

Do your research to find out whether your salary is in line with the market average, establishing what the range of pay is for both newly trained and experienced staff in your role.

Do this by:

• Using a salary checker – the big recruitment websites such as Total Jobs, Indeed and Reed all have online tools that will show what the average salary is for your sector
• Speaking to a recruiter
• Looking at jobs boards to see what salaries are being offered
• Asking other professionals in similar roles to give you an idea of their earnings

Check to see if the market rate for your salary differs depending on where you live in the country. Your salary might be higher than the national average if you live in an area of the country where the cost of living is expensive.

So what is a reasonable increase? When calculating pay-rise proposals, be aware of any restrictions and bandings for your pay grade and understand how economic factors are affecting your firm; in a recession, there may be less cash for pay rises.

A 3% annual pay increase tends to be considered generous but this should not put you off asking for more than that if you think you are being underpaid.

Read more: The top paying jobs that don’t need a degree

2. Prepare your case

Gather evidence and prepare examples of your achievements that you can confidently summarise, such as:

• Initiatives you have implemented and their impact on company results
• Extra responsibilities you have taken on
• Innovation you have introduced that is reliant on your skills for success
• Training and qualifications you have gained
• Your job milestones – top salesperson of the year, say, or winner of a recognition award, or securing the account of a leading client
• How you have developed other team members
• Your exemplary attendance, time keeping and flexibility

Discuss market factors that justify your pay rise, such as a skills shortage in your sector and high demand for your skills or qualifications.

Also, if you haven’t had a rise for years, it may be that your level of experience and your salary are out of kilter.

Tell your boss, too, if you have been contacted by a headhunter.

3. Know what to say

Start by talking about why you enjoy working for the company and summarise your recent progress.

You could say, for example, “Thanks for meeting with me today. I’ve really enjoyed being part of the team. I’ve been working here for [X] years and I’m proud of the contribution I’ve made. As you know, my targets were to [X]. I’d be excited to share my results with you and discuss my salary.”

Now it’s time to get into the detail of your achievements. You could say, “Since my last appraisal”, or “During the past 12 months”, and then go on to share an overview of your successes. Back up your accomplishments with figures where possible. For example, “After winning the biggest account for our department, revenue rose by 10%.”

Conclude by getting to the point. “Given my dedication to the company’s success over the past 12 months, and my achievements, I’d like a review of my salary. Based on my research of salaries in my sector, my experience and skills, a [X] per cent increase is appropriate.”

4. Practise on a friend

To get your nerves under control, write a rough script if necessary and practise delivering your pay-rise pitch to a friend; they can provide feedback on how you come across. Play out different scenarios, such as challenges from your boss or a refusal.

Avoid using words such as “believe”, “think” or “feel” – which sound like you doubt your ability to get a pay rise. Stick to strong sentences such as, “I deserve a rise because…”

Dress smartly for your meeting and sit up straight, looking your employer in the eye. Slow your speech down to sound more confident. If you are prone to fidgeting, rest your hands together in your lap.

5. Prepare to negotiate

This is a negotiation, so be ready to answer questions, provide further evidence or to receive a counter-offer from your boss.

This is where your research and preparation are worth their weight in gold. If you are told that the figure you have requested isn’t possible, summarise why it is reasonable and in line with the market, and ask for an explanation.

Be ready to compromise. Threatening to quit if you don’t get what you want is a risky strategy.

Instead, find out if there is a package of benefits that the company could offer you to accompany a lower pay rise.

6. Pick the right time

Find out if you are allowed to discuss a rise outside any performance review; if not, you will have to wait.

If possible, don’t choose a time when your boss is under pressure or the company is in financial difficulty. More positively, and where you can, plan your meeting for the end of a big project, say, or after you have received an award, passed exams or achieved another milestone.

Request your meeting at least a week in advance and be clear about your objective so they have time to plan too.

7. Get everything in writing

Whichever way the meeting went, get your employer to confirm the details in writing.

If they accept your request, summarise the main points of your conversation and attach any supporting evidence you have. Ask them to detail conditions attached to your pay rise, such as targets or extra responsibilities. Get confirmation of when the increase takes effect.

If it’s a rejection, seek an explanation of why your request was refused and what you can do to work towards a higher salary. Ask for another review in six months to re-evaluate your performance and salary request.

How to check you’re on the right salary for your job

There are a number of reasons why your salary may be different to other employees in your organisation. Experience, negotiation, location, benefits and seniority all come into play when determining someone’s pay, but your earnings should not be wildly different to someone in the same role as you.

Of course, one way of finding out is by simply asking your colleagues. But it’s a tricky conversation to consider having: only one-third of people say they would discuss pay with colleagues, according toa pollby an HR software brand.

Bear in mind that some firms have a non-disclosure policy on wages but you could ask your HR department. Many firms have bands in place for transparency and to prevent any anomalies.

There are also websites you can use to compare pay in your industry. Total Jobs’ salary checker is a good place to start. It pulls information from its job site to calculate average earnings in each industry by region.

Monster Jobs also has a similar tool. It’s worth using both to get a good median figure.

Check what your employer’s gender pay gap is

The “gender pay gap” is the difference in average earnings between women and men. Employers with more than 250 staff must report their organisation’s gender pay gap every year.

It is different toequal pay, which means you must pay men and women the same for equal or similar work.

Despite hopes there would be an improvement, the latest figures suggest the gap has stagnated in recent years.

According to government figures the median pay gap between men and women is the smallest since reporting was enforced in 2017. But it is still 9.1% meaning that women are being paid on average 91p for every £1 a man earns.

You can check your employer’s gender pay gap on the government’s website.

What to do if you think you’re being underpaid because of your gender

People doing the same job or work of equal value should get the same or equal pay; but in many cases they don’t, even though the law says they should.

If you’ve done your research and believe you aren’t being treated fairly, you can talk, or write, to your employer to try to resolve the issue informally.

If you are unsuccessful, you can make a claim for lost earnings.

An employment tribunal will establish if there are sufficient grounds for compensation to be paid. You may have to fill out a questionnaire, which will help clarify the issues.

Employers will often argue that the job you are claiming equality with is not, in fact, equal to yours. You should have clearly outlined reasons why you feel the two jobs are equal before starting a case so make sure you have copies of all evidence and research.

You can speak to a union or Acas for advice and guidance on how to handle these conversations. A trade body will also offer you a case representative who can help with any complex conversations that may arise.