COMMENT
Get A Bumper Pay Rise This Year

Have you developed your plan to secure a pay rise this year? Always remember this business proverb: "If you fail to plan, you plan to fail"!

Many firms review employees' pay in January. Although pay has been rising rapidly in the public sector, earnings have been rising more slowly in the private sector. In the year to November 2004, average earnings increased by 4.2%, with the Retail Price Index measure of inflation rising 3.5% during 2004. So, a pay rise of less than 3½% last year means that your wage bought you less than it did the previous year.

But if you're aiming for more than a "cost of living" raise (and if you've done well this year, you should be), you need to do your homework before presenting a strong case to your boss. So, before your firm starts dealing out the dosh, make sure that you have a strategy in place to win your fair share of the pay-rise pot. Here are ten pointers to get you started:

1. One big mistake is to wait and see what your reward will be. A far more productive approach is to ask at the right time. Of course, there's little point in demanding more if your firm has just issued a profit warning or taken a knife to its budgets. However, asking immediately after some good news - such a big contract win or the completion of an important project - can pay dividends. Also, don't assume that you can only go cap in hand once a year, because you can win a merit rise if you prove that you've earned it.
   
   
2. Although most salary budgets are linked to a company's overall financial performance, don't let this limit your ambition. Most individual pay rises are performance-related, so if you've outperformed, you need to make a case for a budget-busting hike!
   
   
3. Benchmark your package against what's available in your firm and elsewhere in your industry. Have a look at what's on offer elsewhere by checking job ads in the Press, recruitment websites and by visiting PayFinder. If you can verify that you're capable and yet underpaid, you strengthen your case.
   
   
4. Do your research and then present a professional case to the right person, usually your line manager. If you don't have a formal appraisal process, arrange a "pitch" meeting with the sole purpose of thrashing out your future remuneration. I find that a few PowerPoint slides or a professionally presented report works well and acts as a good starting point for negotiation. Remember that it's up to you to deal yourself a strong hand, so take as much time as you need to gather the evidence of your accomplishments.
   
   
5. This is the one time of year when you shouldn't be too modest. List your best achievements over the previous year, backed by hard facts (managers have a weakness for the cold, hard stats!). If you win twice as many clients or process twice as much work as the next guy, say so. Also, if you've assumed any extra duties, helped with other projects, or gained industry qualifications or relevant experience, be sure to mention these.
   
   
6. If you've made your business a lot of money, tell your boss! After all, asking for an extra 10% isn't at all cheeky if you brought in a lot of extra revenue over the last twelve months. Also, get others to sing your praises: your colleagues, clients, suppliers or other professional contacts may be happy to put in a good word for you. As I've discovered in the past, a well-timed letter of praise from a key contact arriving shortly before your appraisal can work wonders!
   
   
7. In the words of the song, take care to "accentuate the positive...eliminate the negative". Employers frown on workers who do the dirty on their colleagues in order to make their own achievements stand out more, so take care not to criticise your peers.
   
   
8. Also, don't harm your claim by getting too emotional. Be firm but fair, which means avoiding threats to leave, bluffing and arrogance. In the words of the veteran cop, stick to "Just the facts, ma'am." On the other hand, if you really feel that you've "shot out the lights" over the period under review, ask for a promotion. There's no harm in aiming high; most managers will approve of your ambition.
   
   
9. In times of hardship, it's worth remembering that you may be lucky to have a job at all. If your employer is struggling in a highly competitive, low-margin market, such as manufacturing, the money simply may not be there. In this scenario, think about biding your time – or moving elsewhere!
   
   
10. If you're a director of your firm, give yourself and your fellow board members the biggest pay rise that the company's coffers can muster. After all, that's part of the fun of being a director, isn't it?

And, if your pay rise disappoints, these three articles offer advice on boosting your personal finances:

• Working 50 Hours A Week And Still Broke?
• How To Earn A 'Fat Cat' Wage
• Give Yourself A £2,500 Pay Rise Today.

Good luck with your pay-rise bid!