It seems that everyone has been complaining about being underpaid lately. Some people have to work overtime to make an acceptable amount of money, but is it really necessary?
We all know that people are never satisfied with their income. Even millionaires aspire to be billionaires, but what if it is more than just dissatisfaction? What if we are actually underpaid?
Are you underpaid?
Research shows that around 50% of workers today feel underpaid, which means that half of all workers are working for a paycheck they are not happy with. However, you should know the difference between mere dissatisfaction and a salary so low that you can’t save, invest or meet your needs.
Picture this: You go to your supervisor and talk about how you feel about your salary. He asks you why you think that way, and the only reason is, “I should be making more money” – unfortunately, that’s not a valid reason. You should be able to put forward some other motive.
So if you feel you are underpaid, you need to find out why exactly you feel this way to make the argument to your boss. Let us get into the reasons you may be feeling underpaid;
Increased Responsibility, but the Salary Does Not Match
It’s logical that as responsibilities increase, so too must the salary. Nearly 9 out of 10 people said they had been asked to take on more responsibility in their career without receiving a salary increase.
In this situation, I have good and bad news for you: the bad is that your salary will most likely not increase, but the good news is that your employee probably sees more capabilities in you. This is a valid reason to talk to your supervisor if you want a raise.
In this case, you will need to discuss your salary before taking on duties that are not in your actual job description.
Your Salary Is Stagnant
Normally, your salary should get a slight increase every year. This is how employers show that they appreciate the hard work their employees do. In reality, this is unfortunately far from the case.
So if you haven’t received a raise in the last two years, that’s another valid reason to say that you’re underpaid.
High Employee Turnover Within the Company
People don’t leave their jobs when they experience growth. Most people who leave their jobs do so because of a bad job or a bad boss, which in both cases indicates a problem in the management team.
If your colleagues are finding better opportunities and thus leaving the company, you should review your salary, as you are most likely underpaid as well.
There Has Been No Salary Negotiation
Most people don’t negotiate salary during a job interview but take what the employer proposes. Negotiating is a great way to get what you deserve and not settle for less in the first place.
There is various online data platforms you can use to compare your salary. For example, Glassdoor’s salary tool will tell you the average salary you should be making. If you’re earning less than the estimated salary, you’re likely underpaid.
If you’re sure you’re underpaid, there are several solutions to improve your situation. You can ask for a raise, maintain your current salary, or look for a new job.
If you decide to ask for a raise, you should have a good argument to explain why you deserve the increase. For example, if you have taken on more responsibility, that is an excellent argument. If you are thinking of changing companies, do your research well from the beginning to negotiate your salary during the interview itself. If you are not prepared for this question during your interview, it can cost you a lot.
Let us know in the comment if you think you are underpaid and why?