In our lifetime we will spend 1/3 of our life at work.
In other words, we will spend 90,000 hours working at a job, unless you are like my parents who were able to retire (29 years ago) at age 55.
That’s a lot of 40-hour work weeks. It is also the reason that you should maximize your career path and income starting today.
While 90,000 hours sounds like a lot of time, if you stay at your current company for five years (10,400 hours) and only see a 2-3 percent increases in your wages you may be leaving a lot of money on the table by not making a job change. But, if you make a job change, often you will recognize at least a 10 percent increase in your wages. So, if you are making $40,000 and the new company offers you $44,000, that is $20,000 more over the next five years.
Enter 2022, where inflation was growing daily. You should have made an extra 7.1% to stay afloat. Now there are ways to help during this time:
- Keep tabs on your budget
- Follow a spending plan
- You won't like this one
- Give up on some enjoyable places where you spend money
- Don’t panic
- Ask for a raise
- Or find a better paying job
As an employee in today’s job market, you have more leverage in your career today than you have had in the last ten years!
This may sound crazy but quitting jobs is good for the economy since it means there is a confidence level allowing workers to leave a good position to get an even better one without worrying about being the “low man on the totem pole” or last in, first out if the economy suddenly shifts. This is also important because it means a tight labor market and wages have to increase. Employers can no longer ignore wage growth unless they want to lose great employees.
As an employee, you have the leverage today. How you use this leverage can mean thousands of dollars to you in pay and benefits in the future.
If you have a good job but feel underpaid, you have options. You can go work at your competitor tomorrow for at least a ten percent increase in your salary or ask your current employer for a raise first. Ask for this raise before even filling out an application or going on an interview. Why? Because if you like your job, you have the power. This will allow you to understand how your company is addressing this tight labor market and more importantly your value to the company.
Consider this:
- If you ask for a raise and they don’t give you one (for any reason), it may be time to change jobs to a company that will.
- If you accept a job at another company, when you put in your two-week notice, they will not be able to counter offer you. You should never take a counteroffer in the first place, but by asking for a raise before you start looking will always put you in the driver’s seat. Accepting a counteroffer (a post raise) and blindsiding an employer will always have them questioning your loyalty. Ask for a raise first before interviewing.
- Other companies that offer massive increases in salaries may have some skeletons in the closets. Bad bosses, long hours, inadequate technology, reduced benefits and the list goes on. Do your homework on them before jumping ship.
- If you like your current job, ask for a raise first.
- If you ask for a raise, you may not only get money, but many people find out what kind of plans your current company has in mind for you.
So for this New Year 2023 currently you have the leverage, make sure you maximize your time after all it’s 90,000 hours, one-third of your lifetime. Your current employer will let you know if you are in their plans.
If not reach out to mray@mechanicalliance.com and lets start building you a resume that sells who you are to your new found employer.
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