Financial Friday: How to ask for a raise

You’ve put in the hours. You’ve expended plenty of sweat equity. So why is it so hard to ask for a raise? FOX 46 is getting results for you to make sure you get what you deserve. 

We’re partnering with Tara Lynn Foster, a business and executive coach, for her best tips on negotiating a raise that recognizes your hard work. It’s not easy – just check out these sobering statistics: on average, women earn about 80 percent of what men earn for comparable positions. That number is closer to 63 percent for African American women and 54 percent for Hispanic/Latina women.

It gets worse: only 30 percent of women even try to negotiate; 66 percent say they don't even know how to ask.

“There are three times you need to negotiate: in your first conversation with an employer or potential employer about salary; in your final conversation after the employer has made their offer and you must decide whether to counter; and your annual or semi-annual conversation about your performance, another opportunity to discuss your raise and why you believe you deserve one," according to Foster.

She says it’s vital to incorporate the following three tips when negotiating a new job:
o    Know your worth (research your skills and experience)
o    Know your response (to that "what are you looking to make/are you making now" question)
o    Know your range and tipping point

And if you’re negotiating a raise once you're in a role:
o    Know your accomplishments
o    Know your worth (and what to ask for)
o    Know what's next

Remember: Negotiation is about more than money - think about other kinds of compensation that would make your job worth it. 

Foster says, if a man and woman start the same job out of school and they are both offered 34,000,  the man negotiates and gets 39,000 but the woman accepts what she's given she's already behind. Let's say they get five percent raises every year. After 10 years, she will be $50,000 behind. Over a lifetime, that will be closer to 450,000.

For African Americans, 877,000 and for Latinas it's close to a million dollars difference. And that's not even considering the lost opportunity for retirement investment.

Don’t be afraid to negotiate. Get results because you’re worth it. If you’d like additional coaching from Tara Lynn Foster, just visit my Facebook page at Diana Alvear FOX 46.