How to negotiate a pay increase

When we asked our SAP candidate community in Germany what the most important factors are for their job, salary came up as the second most important (flexibility being first).

Yet only half of those had received a pay increase in the last year.

For the other half that didn´t get one, but rightly deserve one, I wanted to jump on here to provide some advice on how to best negotiate a pay increase.

Here are some tips to help you navigate through the negotiation process:

Research salary benchmarks

Before going into any negotiation, it's crucial to have an understanding of the average salaries for your position and the level of experience in your industry and location. This will provide you with a solid foundation for your negotiation strategy. (We have a 2023 salary guide for IT professionals in Germany to help: https://insights.montrealassociates.com/Germany-Tech-Report/download-report.html)

Highlight your value

Communicate your achievements, contributions, and unique skills that have positively impacted the company. Show how you have gone above and beyond your current role's expectations and how this justifies the request for a salary increase or promotion.

Prepare a compelling case

Develop a well-structured argument that outlines why you deserve an increase in compensation or promotion. Focus on quantifiable results, or successful project completions that demonstrate your impact on the organization.

Timing is key

Choose an appropriate time to discuss salary negotiations or promotion requests, i.e., during performance reviews.

Give confidence 

Remain confident yet respectful. Clearly articulate your reasons for requesting an increase in compensation or promotion while being open to feedback.

Consider alternative benefits

If negotiating solely on salary isn't feasible due to budget constraints, explore other areas where improvements can be made such as additional vacation days, flexible working hours, professional development opportunities, or bonuses tied to performance metrics.

Remember that negotiating effectively requires preparation and confidence in presenting yourself as a valuable asset to the company. By following these tips, you will increase your chances of getting the increase or promotion you´ve been after.

Good luck in putting your case forward for a pay rise or promotion!