According to the Bureau of Labor Statistics, the average annual raise is about 3.5%. With the average wage hovering around $65,000, 3.5% would equal an annual raise of $2,275. Significant income growth doesn’t come from sitting back and hoping your employer will notice you. If you want to increase your income, you will need to be proactive. Here are three simple strategies to increase your income.
1. Ask For A Raise At Your Current Employer
If you enjoy your workplace and your current job duties, but your salary could use a refresh, consider asking your manager for a meeting to discuss your career growth. Research other roles at similar companies to understand what type of compensation request would be fair. Have a specific number in mind to ask for during the meeting. Before the meeting, gather any accolades, accomplishments, and documentation of how you have positively impacted the company.
If your manager isn’t able to offer you a raise, ask what you would need to accomplish in your current role, to be at your desired earning level.
2. Look For Higher-Paying Roles
The Bureau of Labor Statistics reports that people change jobs about every 3-5 years. Younger people tend to switch more often, while older workers tend to stay longer. Often, switching companies can be a quick way to improve your salary. Because companies are trying to entice good talent, you may be offered more money for doing the same job at your current company.
If you do get a new job offer, you may also be able to use that as leverage with your current employer to increase your annual income.
3. Improve Your Skills
Many companies offer some type of tuition assistance or reimbursement programs. If you are unsatisfied with your current pay, consider upleveling your skills. A bachelor’s or master’s degree can significantly increase your earning potential throughout your lifetime. Those with advanced degrees make 20% or more annually than their peers.
Ask your HR or benefits department about tuition programs available to you. Some companies will even allow you to dedicate work hours to complete your school work, if it pertains to your job. You are essentially getting paid to increase your earning potential. While this option may be a slower path to a higher income, you can take your skills and education with you into your next role.