Money Management

Asking for a raise is awkward. Here’s how to bring up the subject at the right time. [[{“value”:”

My kids often negotiate with each other who will ask me for more video game time or if we can have a movie night. I usually give in to both requests (especially if movie night involves pizza), but their hesitation comes from knowing that asking the right question at the wrong time can yield a negative result.

The same is true when broaching the subject of a raise. Even if you know you deserve one, waiting for the right time to ask for it could be the difference between walking away from the conversation with an improvement to your personal finances or not. Here are some of the best and worst times to do it.

Best time: When your original job changes

One of the best times to ask for a raise is when you receive significant additional responsibilities.

This could be after you’re promoted as a manager or are now overseeing more people than when you first started. Or, it could come from after you’re put in charge of a large project that expands the scope of your previous responsibilities.

Hard-working employees often receive more responsibility, so chances are your boss already views you as a good employee if you’re in charge of more people and projects. That’s to your advantage when asking for a raise.

How to do it: Bring up your new responsibilities and how you’ve delivered on all of them. Data is your friend here. Don’t just list your new duties; show how you’ve hit home runs (or at least a few doubles) with each one.

Good time: When you’ve aced your job and can prove it

Another good time to ask for a raise is when you’ve been at your job for a while and can prove to your boss that you deliver lots of value.

Maybe you sold more services than anyone else on your sales team over the past year, or you convinced several big clients to stay with your company when they thought about leaving. No matter what your job is, find the hard data that shows your achievements.

If you can show you’re increasing revenue for your company, expanding its client list, growing website conversions, etc., then it may be a good time to set up a meeting and ask for a raise.

How to do it: The rule of thumb here is to show, don’t tell. Don’t just tell your manager everything you’ve been working on. Show your boss how you’ve accomplished all your work goals and gone above and beyond.

Pretty good time: When the company is doing well

Even if you have more responsibilities and exceed all of your goals, it’s unlikely you’ll get a raise if the company doesn’t have the money. But if your company just had a fantastic quarter or a good year financially, then it may be a good time to talk with your boss about your pay.

Keep in mind that your main argument for asking for a raise shouldn’t be that the company is doing well. You still need to prove why you deserve it. But asking when the company’s coffers are full makes it more likely you could see more money in your checking account on payday.

How to do it: Ask for a raise a few months before the fiscal year begins. Even if your company had a good year, asking after the budget is set could derail your chances of getting the raise.

Bad time: When it’s crunch time on a big project

Even if you’re managing more people, have more responsibilities, and the company is doing well, you should still be cautious with your timing.

For example, if your team or the company is in the middle of a big project or if your team is working hard to launch a new service, it’s probably not the right time to ask for a higher salary.

A better approach: Wait until the project finishes or the product has launched and then ask. You don’t want to get denied a raise just because your boss was stressed out when you asked them.

Bad time: You just decided it’s time for a raise

While it may seem logical to ask for a raise because you’ve been at the company for years, it’s not reason enough to get one.

You might deserve a raise because of your accomplishments, and it’s reasonable to expect some sort of pay increase the longer you’re at a job. But walking into your boss’ office and demanding a pay increase because you’ve been at your job for a few years isn’t the best strategy.

A better approach: Instead, lay out the case for how you’ve brought value to the company over those years and how your responsibilities have expanded. Give specific examples and evidence to convince your boss that your hard work should be rewarded.

And remember, nearly everyone feels awkward asking for a raise. But choosing the right timing and being prepared with reasons why you deserve it will make the conversation go more smoothly.

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Want a pay raise in 2024? Start by focusing on your value so you can impress your boss — or other employers. [[{“value”:”

If you want to get a pay raise in 2024, it’s important to go into the conversation well-equipped. Show your boss that you are a top performer who adds value for the organization, and you’ll be more likely to get a big pay raise. One good way to improve your personal finances is to increase your professional value.

Let’s look at a few ways to make yourself more valuable to employers — and get more money in your paycheck.

1. Make a “promotion presentation” of highlights from your job

Before you look for a new job or ask for a promotion, don’t just update your resume. Create a slide deck or Google Doc that shows all the ways you’ve helped your team and made your boss’s life easier.

Sometimes in the everyday rush of getting things done, it’s easy to lose track of just how productive and valuable you are to your current employer. Don’t wait for your annual performance review. Start now.

If you were going to pitch yourself to your boss to show why you deserve a raise, what would that “promotion presentation” look like? Here are a few ideas to include:

Achieving “big wins” and success stories: How have you helped the organization save money, save time, or make more money?Delivering key projects: Where have you made the biggest difference in the past year or two?Changing roles and responsibilities: Has the scope of your job changed recently? Are you already taking on extra responsibilities without extra pay? Show how you’re already doing the (higher-paying) job that you want.Leading better collaboration: Have you helped onboard new employees, build a bigger team, or improve the way your team works?Driving creative solutions: Have you brought new ideas to your boss that have helped your team unlock value, build better processes, or serve customers in better ways?

Why this is a good way to boost your professional value: Bosses are busy, and they often lose track of just how much work you’re getting done, and all the important ways you’re making their lives easier. Take some time to put it all in writing.

How much it costs: $0 (you just have to spend some time)

2. Boost your career skills with LinkedIn Learning

LinkedIn isn’t just for job-seekers, recruiters, and career networking. Even if you’re happily employed and have no intention of jumping ship to a new company, you can use LinkedIn Learning for affordable online courses. LinkedIn Learning offers over 22,000 online courses that you can access with an affordable monthly subscription.

LinkedIn Learning courses include a wide range of career skills, such as:

Spreadsheet skillsLeadershipData analysisGenerative AIDevOps foundationsProduct and industrial design

Why this is a good way to boost your professional value: When you complete a LinkedIn course, you can get a certificate of completion badge that shows up on your LinkedIn profile. This can help show your boss (or future employers) that you have relevant skills and that you take initiative to keep learning.

How much it costs: LinkedIn offers a one-month free trial, and then the cost is $39.99 per month.

3. Get a certificate at a community college

Especially if you’re at an early stage of your career, or if you want to make a big career change, going back to school to earn a degree can be a great way to boost your professional value. But not everyone has time (or money) to get a four-year college degree. Fortunately, there are local community colleges that offer affordable certificate programs. In just a few months or less, you can get trained, certified, and ready to get your foot in the door with a new career field that pays a good wage.

For example, in my home city, Des Moines Area Community College (DMACC) offers several certificate programs, such as:

IT/Helpdesk FundamentalsNurse Aide (CNA)Advanced Nurse AidePhlebotomyCommercial Vehicle Operator Training (Class A CDL)

Why this is a good way to boost your professional value: Taking initiative and upgrading your skills shows that you care about your career growth. Some companies might even pay for your training, or reimburse you for tuition.

How much it costs: Tuition depends on the college and the certificate program. But as an example, as of Jan. 31, 2024, DMACC certificate course costs ranged from $549 (plus books and supplies) for the Nurse Aide (CNA) certificate, to $947.50 for Phlebotomy, to $4,900 for Class A CDL.

4. Join a local networking group

Sometimes the best way to boost your professional value is with real-life interaction. Get out there and mingle. Go to networking events at your local Chamber of Commerce. Join a community organization like Rotary and meet local business leaders. Look for events at local co-working spaces or startup incubators — these places often host lunch and learns or after hours networking events where you can meet local entrepreneurs.

Why this is a good way to boost your professional value: Improving your career network is always a good idea. Find out what career skills are most in-demand where you live, and get informed about who’s hiring, who you might like to meet, and how you can find new opportunities.

How much it costs: Likely around $0-$50 per month. Many networking events are free, or require a modest monthly membership or per-event admission fee.

Bottom line: Boosting your professional value is often a matter of investing a bit of time, effort, and money into your career. Investing in your professional value is like buying stock in your own career. This can be the best investment of all.

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We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
The Ascent does not cover all offers on the market. Editorial content from The Ascent is separate from The Motley Fool editorial content and is created by a different analyst team.Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool’s board of directors. The Motley Fool has positions in and recommends Alphabet. The Motley Fool has a disclosure policy.

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Sometimes, spending a little time can save you money — and you can learn something in the process. Discover an option for lowering car insurance premiums. [[{“value”:”

On the list of fun activities you could potentially do on a Saturday, taking a defensive driving class is surely ranked near the bottom. But last spring, I was willing to spend 5.5 hours doing exactly that. Here’s why.

Look into a defensive driving class

I first learned about the class from my auto insurer way back in 2020 — and since my state allows drivers to complete it every three years in exchange for a lower auto insurance rate, I came up for renewal in 2023. And since I didn’t have to actually go anywhere to take the class, it was an easy decision. The class is entirely online, and you can even split it up over a few days if you need to (although, I found it was best to power through).

It only cost me $24.95, and I received a certificate that I then sent a scan of to my insurance company. It’s saving me $82 a year on my auto insurance premiums. I have a clean driving record, but if you have points on your license, taking a class like this might even reduce them, depending on the state where you live. In short, this was time and money well spent.

An unintended (but welcome) consequence

When I first took the class, it was directly because I wanted to save money on my insurance premiums every month. (And since that was in spring 2020 and I was facing a lot of uncertainty with my job at the time, thanks to COVID-19, saving money was even more important.) But I found that in addition to a lower insurance bill, I also became more aware of the dangers present in driving, and it has made me a more careful driver.

I can’t affect the actions of the people I share the road with (a shame, let me tell you), but I can moderate my own speed, pass other cars with even more care, and avoid distracted driving. Watching your speed while you drive in particular is one of the best ways to stay safer on the road — according to the National Highway Traffic Safety Administration (NHTSA), speed was a contributing factor in 29% of traffic fatalities in 2021, and it’s been involved in one-third of fatalities over the last two decades. This statistic was included in my defensive driving class and I think about it every time someone blows past me on the highway going 20 MPH or more over the speed limit. Absolutely terrifying.

I may not be able to control the people around me, but I can control my own driving, and taking the class made me more aware of the possible heartbreaking and life-ending consequences of my actions. And being a safer driver has also saved me money, as filing auto insurance claims has (thankfully) been a rare occurrence in my life.

If you’re looking for a relatively easy and fairly painless way to save on your auto insurance costs, ask your insurer about a defensive driving class discount. You might have to give up a Saturday — but it’ll be worth it, in multiple ways.

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Credit card purchases are much larger than debit card purchases, on average. Find out why paying for large purchases on your credit card is a smart move. [[{“value”:”

At first, it sounds like one of the risks of using credit cards. Consumers spend just over twice as much, on average. The average credit card transaction was $99 in 2022. The average debit card transaction was $49, according to credit and debit card statistics gathered by The Motley Fool Ascent.

The glass-half-empty outlook would be that credit cards convince you to spend more. To be fair, that’s likely the case for some people. But there are also smart reasons to always put large purchases on your credit cards.

You’re protected if anything goes wrong

One of the benefits of credit cards is that they protect you when anything goes wrong with a purchase. If the merchant won’t help, you can file a credit card dispute. Your card issuer will immediately issue a provisional credit for the amount of the transaction. It will then investigate, and if it finds in your favor, that becomes a permanent credit. I’ve used this feature several times to get my money back when a merchant wouldn’t work with me.

Debit cards also let you dispute transactions, but they don’t protect you as much. You don’t get a provisional credit — your bank investigates first, and you only get your money back if the dispute is resolved in your favor.

There are also issues that you can successfully dispute with a credit card, but not a debit card. For example, you may not be able to get a refund for non-delivery or delivery of the wrong item, according to the Federal Trade Commission (FTC).

Because credit card disputes offer more protection, it’s better to use credit cards for large purchases in case of any issues. Many credit cards also offer other complimentary protections that are nice to have on expensive items, including:

Purchase protection: Covers new purchases that are damaged, stolen, and sometimes even lost. Purchase protection applies up to a set time limit (often 90 days) and maximum coverage amount (generally ranging from $1,000 to $10,000).Extended warranty coverage: Adds time (often one year) to the manufacturer’s original warranty.

You could earn rewards on that spending

When you use rewards credit cards, you can earn cash back, points, or miles on your purchases. This is an easy way to get something of value back on your regular spending.

Cash back cards are the most straightforward option. You earn cash back, which you can redeem as a statement credit on your credit card bill or as a deposit to your bank account. Some cards earn points you can redeem for travel purchases, airline miles, or points with hotel chains.

If you have a type of rewards card you’re interested in, here are some of the top options:

Best cash back credit cardsBest travel credit cardsBest airline credit cardsBest hotel credit cards

It makes sense to use rewards cards as much as possible so you earn more back. That’s especially true on your most expensive purchases. The rewards you earn are based on the amount you spend.

Rewards debit cards are also available. However, they don’t earn nearly as much as rewards credit cards.

Stick to credit cards for big-ticket purchases

You shouldn’t spend more than usual when using credit cards. That’s a common mistake. If you overspend, it limits how much you can save, and it could lead to credit card debt. You should also aim to pay your bill in full every month, to stay out of debt and avoid interest charges.

But when you’re making a big-ticket purchase, it’s a good idea to put it on your credit card. You’ll have more protection if you need to dispute it later. Depending on the card you use, you could get complimentary purchase protection and earn rewards on the purchase.

You could also put all your regular purchases on your credit card. The same benefits apply to purchases large or small, so there are advantages to using a credit card for all your spending. It’s up to you, but putting at least your most expensive purchases on your credit card is a smart decision.

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When our analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has nearly tripled the market.*

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We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
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If you’re asking for a raise, go in knowing your worth. Learn more about how to do that and get some other tips here to achieve your goal of a higher salary. [[{“value”:”

Earning a good income is one of the best ways to set yourself up for financial success. After all, the more money you make, the easier it will be to invest in a brokerage account, grow your bank account balance, and cover your spending without worrying about debt.

Unfortunately, many people don’t take a crucial step necessary to earn the highest salary possible: negotiating a raise. One survey by Salary.com revealed just 37% of people always negotiate their pay when getting hired and revealed that only 44% of people have ever asked for a raise during their periodic performance reviews at work.

If you are not negotiating your pay, you could be missing out on a golden opportunity. Payscale found that 70% of employees who asked for a salary increase received one, including 39% who were given the amount they asked for and another 31% who received some increase to their income but not the full requested amount.

So, how can you maximize your chances of being one of those workers who gets more money after asking for a raise? Just follow these savvy hacks.

Learn what you are actually worth

It’s very helpful to come in with hard numbers demonstrating how much people in your position typically make — especially if the data shows you are clearly underpaid.

There’s a wealth of information out there about typical earnings, so it should be easy to figure out what you’re worth and find the numbers to back up your request. You can use websites like Glassdoor and Salary.com to see the typical pay for people with a similar job to yours. Bring these numbers with you if they support your case. Don’t forget to consider how many years of experience or education you have in your field.

Be prepared with a list of ways you add value

Companies don’t give raises to be nice. They give them because you are producing enough value for the company that it’s worth paying you more to get you to stay put.

So, if you want to maximize your chances of getting a raise and more money coming into your checking account, come ready with some recent examples of ways in which you have proved you’re worth more. Some examples of things you should demonstrate include:

Helping the company generate more business and added to the company’s bottom lineTaking on a leadership role that advanced the company’s goalsGenerating new ideas that had a positive impact on business operationsStreamlining operations in a way that saved the company money

You should be prepared when your boss asks why you deserve a raise. This may seem obvious, but years ago my husband’s receptionist asked for a raise and when he asked her what had prompted her to make the request, she just said, “It’s been a little while since I got one.” That was not a great answer.

Consider your total compensation package

In some cases, your boss may tell you the company doesn’t have the budget for a raise — which may be true in some businesses. If that’s the case, there may be other ways your employer could boost your total compensation without just outright paying you more. The company could, for example, offer you more vacation time, make your hours more flexible, give you stock options, or increase your 401(k) match.

Consider which, if any, of these other options might be something you’d be interested in so you can be ready with an alternative if your boss says they’d love to pay you more but can’t.

By following these three hacks, ideally you can ensure your salary negotiation is a successful one that results in more money for your hard work.

Where to invest $1,000 right now

When our analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has nearly tripled the market.*

They just revealed what they believe are the 10 best stocks for investors to buy right now…

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*Stock Advisor returns as of February 12, 2024

We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
The Ascent does not cover all offers on the market. Editorial content from The Ascent is separate from The Motley Fool editorial content and is created by a different analyst team.The Motley Fool has a disclosure policy.

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