Salary authorization form. Employee name. Effective date. Salary increase/decrease amount. Prior amount. Reason for increase/d. Free Salary Increase Template is available here. Requesting for a Salary Increase may seem a bit intimidating. Understanding on how to ask for salary raise is most important and there are guides available to complete the task of salary increase in an efficient manner.
- A salary increment letter sample can also be used by the employee to request a salary increase. Before you ask your boss for a raise, make sure your presentation is professional. A salary increase letter is the first step in requesting a raise. A salary increase letter lets you state all the reasons the raise.
- A Salary increase form template is necessary for motivation of employees therefore potential employers frequently provide a proportional amount of salary raise to motivate them toward their jobs. It is necessary to openly communicate with your employee before raising his/her salary to increase.
For Best Benefit, Tell the Employee Why He Is Receiving a Raise
Free Salary Increase Template is available here. Requesting for a Salary Increase may seem a bit intimidating. Understanding on how to ask for salary raise is most important and there are guides available to complete the task of salary increase in an efficient manner. 8+ Salary Proposal Templates. Now, you are able to track down the right decision as to whom you have to give a salary increase among your employee. Thus, the Property Management Proposal Template will serve as your tool or guide to giving a salary increase to your employees being the manager or the owner. In this sample salary increase letter, the manager has met with the employee so the letter is confirming what the employee already knows. The interaction allows the employee to ask questions. It allows the manager to explain the company’s pay and reward philosophy as well.
In a World of Work survey, 70 percent of respondents felt that a letter or email from an employee’s manager was an effective way to communicate a salary increase. Especially if the note complements a salary increase discussion with the employee’s manager, which should also always accompany a salary increase, the letter is an effective communication tool.
The letter can confirm the details of the discussion including why the employee is receiving a raise, how the manager perceives their work and recommendations for even better performance.
The letter reinforces the discussion the manager held with the employee and emphasizes the employee's positive contributions to the workplace.
The letter is the written documentation of the salary increase discussion. Employees receive these letters and experience the sense that they are valued. The letter contributes to their feelings of pride in their accomplishments. Employees treasure these letters.
The Manager's Role in Communicating the Raise
The manager’s role in communicating the employee’s salary increase is the critical factor. The manager must communicate why the employee is receiving the raise, the amount of the raise, and where that places the employee’s new base salary.
It is not recommended that the manager communicate the percentage of increase as they average around 3 percent and that is not as motivational of a number as the dollar amount is to an employee.
It is strongly recommended that the discussion about the salary increase focus on the strengths and contributions for which the organization is rewarding the employee with the increase. The meeting is also an excellent opportunity for the manager to discuss with the employee what she hopes to see in her performance continue over the next year.
If there are areas to improve that would make the employee's contribution even more significant, the manager should mention them during the meeting. Having just received a salary increase, the employee is receptive to suggestions for improvement. This is especially true if the improvements will make the employee eligible for a larger salary increase during the next performance time period.
In this sample salary increase letter, the manager has met with the employee so the letter is confirming what the employee already knows. The interaction allows the employee to ask questions. It allows the manager to explain the company’s pay and reward philosophy as well.
The above study found that compensation professionals believe that 40 percent or fewer of employees understand basic company information related to reward strategies and philosophy. Further, employees do not understand how much base salary, benefits, and variable compensation such as bonuses, cost the employer or how they support the company's pay philosophy.
Salary Increase Letter Sample
This salary increase letter reinforces what the employee knows from meeting with his or her manager. Download the salary increase letter template (compatible with Google Docs and Word Online) or see below for more examples.
Salary Increase Letter Sample (Text Version)
Reginald Lee
123 Business Rd.
Business City, NY 54321
555-555-5555
reginald.lee@email.com
September 1, 2018
Rhonda Rodriguez
Acme Electronics
123 Main Street Anytown, CA 12345
Dear Rhonda:
This letter is your official notification that effective January 1, your base salary will increase from $55,000.00 to $56,760.00. Check with Human Resources to determine what the amount of your paycheck will be based on the deductions and other elections that you have chosen.
Salary Increase Template Letter
As I mentioned during Tuesday’s meeting, you are receiving this salary increase because you accomplished the goals we had set for this year. Additionally, your contribution has increased due to your focus on continuing to develop your leadership skills.
The accomplishments of the marketing team that you led were noteworthy. Your campaign for the new product release was one of the most comprehensive and successful in our history of product launches.
You were also able to add elements of social media and word-of-mouth marketing to the actual product which is a new strategy for our company. You are currently collecting data and measuring the success of the campaign which is also a first for our marketing group.
This is a well-deserved salary increase. I want to personally thank you for all of this but also for your steadfast loyalty and commitment to our company’s success. It is appreciated.
Regards,
Signature
Reginald Lee, Manager
Terry Lee, Department Manager
As you can see, the letter reinforces the employee's contributions. It thanks the employee for her contributions and commitment and it emphasizes specific actions that are appreciated. This reinforces with the employee the actions you want to see going forward.
This is not the time to mention the areas in which you hope to see improvement. Your management notes will allow you to reinforce those areas with the employee over time, especially during your weekly one-to-one meetings.
The purpose of this letter is to offer a pat on the back, reinforce behaviors that you want to see more of and provide the positive information about the raise.
Disclaimer: Please note that the information provided, while authoritative, is not guaranteed for accuracy and legality. The site is read by a world-wide audience and employment laws and regulations vary from state to state and country to country. Please seek legal assistance, or assistance from State, Federal, or International governmental resources, to make certain your legal interpretation and decisions are correct for your location. This information is for guidance, ideas, and assistance.
You want a raise and feel that you deserve one. What's the best way to get an increase in your pay? If you can make a strong case for a salary increase, it may help to put a formal request in writing.
Asking for a raise is not only difficult, it can be dangerous if you say the wrong thing. Saying the right thing, though, can help you get the increase you would like.
A well-developed letter can help support your argument while keeping you from tripping over your words in person. It can also be easier to make the request in writing, compared to having a conversation about your compensation.
A letter is also a record documenting the request should it be denied now but reconsidered in the future. It also removes any question of your boss taking the request seriously.
Who to Ask for a Salary Increase
A salary increase request should be addressed to the person who manages your raises and bonuses. That may be your supervisor, manager, or the head of your department. It is generally not a good idea to go above the person who makes salary decisions for your team. If you don’t trust your direct manager, the letter should help keep the process professional.
When to Ask for a Salary Increase
Before you send a letter asking for a salary increase, make sure the timing is right. For example, if you know the company is doing well, your boss is pleased with your work, and sufficient time has elapsed (at least a year or more, depending on company culture) since your last salary raise, then all signs point to go.
When Not to Ask for a Pay Raise
If there have been recent layoffs of financial troubles in the company, or if regular salary raises as part of an annual performance review that is months away, this may not be the right time to make your case for an unplanned increase. Here are some of the reasons why you may not get the salary increase you're seeking.
What to Include in the Letter
Before you start writing, gather resources that will help you justify a raise in salary. Think back over your history with the company and create a list of accomplishments since your last salary increase, paying close attention to those that may have improved the business’s bottom line.
If you believe you are being paid less than you are objectively worth, it’s important to include examples. Do some research on pay rates for your job or similar jobs in your industry through salary websites like Payscale.com, Glassdoor.com or Salary.com.
What Not to Include in the Letter
Avoid complaining or victimization, particularly if the company has been going through rough times. Assume that things are tough all around, but explain why your work stands out.
Do not include any personal insights about the salaries of coworkers: focus instead on your value in your role and your value to the company.
Sample Salary Increase Request Letter
If you think the time is right, below is a sample salary increase request letter that can be used as a guideline when you write your own customized letter requesting a raise.
The letter should be formatted and written in a formal way. The example letter below is intended to be sent in hard-copy form. If it is being emailed, you can remove the date and the address for yourself and the employer, and begin the letter with the greeting.
Sample Salary Increase Request Letter (Text Version)
Taylor Employee
95 Park Lane
Anderson, CT 00880
445-435-0000
janed@emailexample.com
Date
Arthur Boss
XYZ Company
23456 Broad Street
Stamford, CT 00834
[use above for hard-copy letter only]
Dear Mr. Boss,
I am writing to formally request a review of my current salary. As an Account Executive with 5 years at Acme Corporation, I have always been ready and able when asked to take on additional work and new job responsibilities. I believe a review of my track record with the company, my recent achievements, along with industry average salaries, will demonstrate justification for an increase of at least 10% in my annual pay.
My role has evolved since starting with Acme Corporation. Added duties now include staff management, budget decisions, and project management. In the past year, I have distinguished myself with the following accomplishments:
- I improved efficiencies in the accounts payable system, saving the company $50,000 in annual revenue.
- I managed the successful launch of our new product, helping to realize $100,000 in quarterly sales.
- I’ve strived for excellence, continued adding value to the company, and never missed a deadline.
- Peer reviews indicate that my colleagues appreciate my management style and I am a valuable member of the team.
Further, the average annual salary for my position is $65,000, according to data from Payscale.com. This is more than 12% higher than my current salary of $58,000. A 10% raise in salary is would put my compensation in line with industry and regional expectations for the work.
Thank you for your attention in this matter. I am willing to work with you to accommodate my request along with what is best for the company. If you have another amount in mind or a plan to increase my salary in the future, I am open to negotiation.
Sincerely,
Signature [for hard copy letter]
Taylor Employee
How to Get the Raise You Requested
Salary Increase Template Excel
Be Aware of Timing: Time your request for when you have the optimal chance of getting a positive response.
Prepare Your Request: Take the time to research what you're worth in the job market, so you can show your manager why you should be considered for a raise.
Have a Discussion: If possible, ask for a meeting to discuss your letter and your compensation. It's easier to have an in-person discussion than it is to go back and forth via email.
Pay Raise Template Word
- Who to Ask for a Salary Increase
- When Not to Ask for a Pay Raise
- What Not to Include in the Letter