Whether you’re up for a performance review or changing jobs, you can negotiate to get exactly what you want. Jeffrey Strain explains.

Performance reviews don’t have to be approached with dread, they’re your best shot at geting the compensation you deserve. But these days just asking for better pay is not enough. To negotiate effectively in a review or interview for a new job, you need to be well-prepared. Remember the idea is not to sit back and let your employer do all the talking, be proactive and present your accomplishments and requests professionally. By taking the initiative and presenting pertinent information, you stand a much greater chance of getting what you deserve.

Map out a strategy
The first step is to gather all the information needed to support your compensation and benefit requests. This involves finding out what others in your field and at your skill level are earning, as well as showing all your recent achievements. Although your boss is probably aware of the majority of the projects you’re working on and your contribution to them, chances are that he or she is not aware of everything you’re doing. You know better than anyone else what you’ve accomplished, so make sure to prepare this information to show your boss.

Keeping a business diary is a great way to keep track of what you’ve done. It’s best to list your successes on a daily basis if possible, but a weekly diary is also acceptable. This will provide documentation of everything that you’ve done since your last performance review and will be hard proof to show your boss during negotiations. If you receive positive written feedback from coworkers, this should be placed with the diary. If you receive positive verbal feedback, request that the co-worker who gave it to you put it into writing. All this will make your case stronger when you make a request for better compensation.

Once you have compiled your research and documentation, it’s time to map out a strategy. Just like any presentation or report you’d give to others on behalf of your company, you must prepare just as thoroughly when negotiating for yourself. It’s important to have a rationale that you can easily support with your research for each request you make. You shouldn’t assume that all your requests will be instantly agreed upon, and you should expect counteroffers to your requests. With this in mind, being flexible will greatly enhance your effort to get what you want. Every company is different, and the flexibility of each can range tremendously. Your research supporting your requests should take this important factor into account.

As you build your strategy, don’t forget to look beyond mere money. Although compensation is important, it’s often other factors that will determine whether or not you end up being satisfied with your work. Base salary, bonuses, and stock options may be the major focus of your negotiations, but benefits such as vacation time, paid and unpaid personal leave, medical, dental, daycare, fitness center, telecommuting, relocation costs, housing subsidies, training, education, and other work-related conditions are all open for negotiation. With all this in mind, you should make two lists: One should be your dream package that includes everything you’d like, while the other should be the minimum required to keep you satisfied.

Negotiation advice
When you have these two lists in place, it’s time to begin negotiating. If you have prepared thoroughly, you should enter into the negotiations with confidence, and you should already know what you’re worth. A one-page summary that is easy to read and highlights your major contributions will go far in getting the negotiations going in your favor. Your goal is to show that your work ethic, qualities, experience, and past accomplishments are worth more than the compensation and entitlements you’re requesting. If you can demonstrate this, you have created a win-win situation for yourself and the company that will leave everyone happy in the end.

Negotiating should not be emotional. Leave all aspects that aren’t directly concerned with the company off the table. Give only business reasons for your requests. You may desperately need a raise to cover your credit card bills, but that has no place in the negotiations. Keep your voice calm and monotone, and try not to react emotionally to anything that is said. It’s best for the company to make the first offer and negotiate from that point, especially if you are moving to a new company. If the company has stated their offer first, you can begin negotiating from there. If their offer is below your target, give them the yearly amount or percentage raise and benefits you desire and the details from your research on how you came up with those numbers. Don’t forget that a raise that only covers inflation isn’t a raise at all.

If the evidence you bring to the negotiation isn’t enough to convince your employer or the new company to give you what you believe you deserve, it may be time to walk away. Be careful not to threaten to quit, however, unless you’re willing to go through with it. If you find a compelling reason to stay or take the job offered despite not getting everything you want, you can still take a proactive stance. Ask exactly what the company requires for you to be compensated the way you want, then go out and do those things. Get the extra training you need and ask the company to pay or subsidize it. Request your next performance review in three months or as soon as you think you can attain all the requirements your boss has given to you, instead of the usual six months to a year wait.

How often you should request performance reviews and ask for increased compensation is dependent upon you. If you feel that you have made a significant contribution to a project and it’s nearing completion, it’s probably time to seek a compensation review. You should also shoot for getting raises at least every nine months to a year. By being prepared and keeping good records of all your accomplishments, you are much more likely to end up with the compensation you truly desire, and that is what every employee should be shooting for.

Printed with permission from Kansai Time Out