Tuesday, June 22, 2010

Money Matters So Know Your Worth


I spoke to a client recently that said that she needed a job so badly that she would accept a wage less than what she was worth just to be employed. I am not criticizing this logic, but I do want to discuss the impact of this decision making.

First of all, I do not advise such tactics and I will explain why. If you low ball yourself initially it may take years for you to regain the salary that you have sacrificed. Most jobs give either semi-annual or annual raises. The standard raise you should expect while staying in the same position is usually limited to 3 to 4 percent.

If you accept a wage of $9.00 per hour and feel that your experience would dictate that you earn $14.00 per hour, lets see how that will effect you financially after one year. A raise is not guaranteed considering the state of the economy. But in my example we are going say that you work for a generous employer that will give you two semi-annual raises during the course of the year. If you earn two 3 percent raises after accepting a wage of $9.00 during one year you will still be earning less than $10.00 per hour after one year.

Finally, I believe that accepting a job for less pay than you worth will haunt you whenever things go wrong at the job. You will start to think that you are only getting paid X dollars and for X dollars your company can only expect a certain effort. Your salary needs will not be your manager's focus. Your manager will be focused on getting the overall job done. If you don't figure in that equation your limited salary or wage may no longer be a concern for anyone. I suggest that you utilize a salary calculator to determine your worth if you are unsure. You can find a salary calculator on careerbuilder or by doing an online search. Do your homework so that you can get the wage or salary that you deserve.

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