How Do You Ask For A Raise In A Recession?

I was emailed this question on facebook, and thought these tools were worth sharing.

Question: Any tips on how to ask for a raise? I need help.

It's a really long story. But I'm a nanny...they always tell me that I am the best thing that ever happened to their son. I fell in love with him, so I really don't want to go anywhere else. But I do feel that I bust my tail for them! I wrote everything down so that when I mention it and the questions arise on their side I won't leave anything out. For the amount of work I do and the amount of hours I work I know I am entitled to more. I guess I may have to leave if they disagree....but that would make me sad. =( This is so hard...I hate talking about money. It's so impersonal!! I'm doing way too much work for the money I'm making...

Answer:

First and foremost, you definitely want to determine and specifically list why you deserve a raise in the first place. Be prepared to answer that question. Chances are it will be asked, and rightfully so. We are in a recession, and even the 'haves' are buckling down on and paying closer attention to their expenses. While you may feel you have gone above and beyond what is required or necessary to do your job well and deserve a raise, your performance could be an expectation your employer had set all along. Are you a nanny, a housekeeper, or both? Having a clear understanding of your job description is the best way to determine how much money you should make for whatever it is they are asking of you. Until you know what they expect, you can not truly determine what makes you exceptional or worthy of an increase by their standards.

At the end of the day, you have to make a business decision. You are your own business. This is a business relationship, and sometimes you will have to treat it like one. I totally understand having an emotional attachment to the little one-it would be a little weird if you didn't, but you are your business and must separate the two. While doing so consider this, maybe there are other ways of getting compensated for all you do. A good compromise will allow you to keep doing all the things you do for their family and feel appreciated and properly compensated for it. The best part is you have a job, but if you sit down with them and they are not willing to compromise, start looking for a new one.

I know that this conversation and even asking for it can be uncomfortable, but it is a must to keep things copacetic. Clarity is key and it's always best if everyone knows where they stand. So, if you don't have a contract; get one. February 1st would be a great day to sit down with your employers and have a drafted contract ready. Tell them ahead of time that you would like to speak with them after work hours. Allow them time to marinate on your terms and ask what specifics they would like add or take away. This is where you negotiate your terms and set the standard that everyone can agree on. Be sure to include a set date or at least a specific month for the next review preferably within 3-6 months.

If you would prefer to expedite this plan, you can tell them that you would like to have a sit down and have a year-end review next week. Many employers wait to get past the holidays to do reviews anyway. It's January so the timing is perfect! You can discuss your performance and duties up until this point and lead into your request. If they spend your entire review singing your praises, it makes it much harder for them to justify not granting you a raise. Great nannies are not a dime a dozen so most families will pay to keep you if they can afford to. Keep in mind; you could be worrying for no reason. They could very well see how hard you are working and know you deserve a raise, and would readily give it, but if you are willing to work that hard for less, why should they argue with that? As far as they are concerned, you think it's fair because you haven't said anything. However, in this economy, it is very possible that while they would if they could, they just can not afford to pay what you are asking for. In that case, maybe you can find an alternative solution besides cold, hard cash. For example, would it help if you did less chores, or can you bring your son to work with you every other day to cut down on your childcare expenses thus keeping more money in your pocket? It could make a huge difference in your expenses without raising theirs in the process-win, win. Just remember to be open to their suggestions and try to have some of your own just in case. 

How Can It Work for You? Let's Review:

1. Have a contract discussion as soon as possible.

If you work a 9-5 you know your boss' expectations when you accept the job. You have a full description of your position and what's needed to get the job done. Now, you need to show how you have exceeded those expectation. At the signing you should ask how often there is a review just like you ask about 401k and PTO (paid time off). If you have exact dates or at least a time-frame of when there will be a performance review, and clearly defined duties you are responsible for you will have a good grasp on what it will take to exceed the expectation and go above and beyond the standard.

2. Reviews are your friend-Be open to suggestions, and bring your own.
Stick with the review. Your review is not meant to just give them an opportunity to go over what you are or are not doing, but for you to state what you would like to change or adjust such as your salary and or duties as well. While right now you are looking for a way to ask for a raise, there may be other concerns that you would like to address from time to time and that is the perfect time to do it. The main objective when asking for a raise is to be fair, have an open-minded attitude, and hopefully walk away with more money.

3. You are your own business. Make a business decision. Everybody that wants a raise is not necessarily entitled to one, but if you feel you have done everything possible to deserve a raise and your boss has no interest in how much of an asset you are; you could always take your talents elsewhere. Trust, there is very little loyalty between employer and employee in most cases, and if a choice between closing or firing a few employees was up in the air, know that you would get a 'sorry we're down-sizing' letter before you could say, "I need a box for my things". We have the privilege of being young enough to start from scratch somewhere else and still retire before we're taking mid-day naps involuntarily. You still have to be smart about making such a brave move because you don't know if the grass will be greener, but you do want to feel appreciated and properly compensated for your work and if you're not getting it there, there's nothing wrong with seeking a place that will give you just that.