Business owners/managers should keep track of their workers’ performances and from this, base their decision on whether an employee deserves a salary increase or not. If, as an employee, you wish to communicate with them and express a reason for salary hike, do it through a salary increase letter. It creates a formal way of asking an increase and presents your case solidly.

Salary Increase Letters

When should you write this letter?

As an employee, you can also request a salary increase through a letter. It is important for you to know how to compose a professional salary increase letter when asking for a raise. You should write the letter using the proper format. It should also be both straight to the point and relevant. Also, when writing a letter asking for a raise, find the right timing:

  • If your employer knows that you’re a hard worker, chances are you get a raise but this might also depend on the financial capabilities or culture of your company.
  • If your company has lately been in dire straits and it’s letting employees go, this is obviously not the right time for you to send this letter.

Letters Asking For A Raise

How to ask for salary increase?

You might have a feeling of apprehension when preparing yourself to ask your manager for a raise. But if you can properly prepare yourself by writing a salary increase letter, this could vastly improve your chances of success. Here are a few things you can do before asking for an increase:

  • Write an agenda and rehearse it
    Having a plan and staying organized is a formula for success, so when meeting with your employer, make sure to prepare beforehand. Come up with a list of reasons why you deserve an increase in salary.
    Write these down to ensure a convincing and confident delivery. If necessary, you consider printing the list and giving a copy to your employer to look over and discuss it with your supervisors.
  • Time your request right
    It is also important to familiarize yourself with the review policy of your company. How often do performance reviews occur? These typically result in salary increases, especially if you have shown exceptional performance.
    You can either discuss these reviews with your colleagues or talk to your company’s Human Resources Department to get an idea. Additionally, you should also align your salary increase request with the financial status of your company.
  • Avoid asking for a raise through email
    It still is acceptable to set a meeting through email with your employer regarding the increase. However, the conversation about getting it should happen in person or through well-written pay raise letter samples.
    These are the best ways to demonstrate to your employer that you’re serious and at the same time, you can gauge their reaction towards your request. If a face-to-face meeting isn’t feasible, you can resort to using a letter.
  • Don’t give your employer an ultimatum
    When discussing the matter with your manager, make sure you know how to open the topic. Show confidence in your request without being too demanding. Always watch your tone and try your best to be a professional, understanding, and patient employee.

How to write a letter asking for a raise?

In an ideal setting, employers would already know when it’s time to reward their employees with salary increases then they would send you a pay increase letter to employee. But this isn’t what happens in the real world.

If you, therefore, think that you deserve a raise for the workload you are doing, then it is time to write a salary increase letter to your employer. Here are some tips for writing this document:

  • State your purpose
    In the first paragraph, describe how you love working with the company. Indicate your position and how long you have worked there. Then interject the main purpose of your letter which is, of course, the request for a salary increase.
  • Your reasons for requesting an increase in salary
    After your purpose, you will then give your reason for it. In most letters, the most common reasons to request a raise are the following:
    Your employer promised to increase your salary after completing a probationary period.
    You just received a promotion.
    You have taken on new responsibilities or your supervisor assigned them to you.
    The cost of living in your location has increased.
    It has been years since your last pay raise.
    Your salary falls below the minimum.
    Your qualifications and skills have improved through training.
  • A justification
    In this section, you will give an explanation about why you deserve the raise. For instance, you have taken on or received more responsibilities. List all of your accomplishments.
    Make use bullet points to do this to make your letter easier to read. Highlight the most important information and if possible, include some statistics and figures too.
  • The amount of the increase
    It is alright to specify the amount you’re requesting but when jotting this down, just make sure that you don’t come across as over-demanding.
  • A statement about your willingness to negotiate
    One good way to soften the impact of your request, especially the amount, is by stating that you’re open for negotiations. It would be very helpful if your employer sees that you’re willing to negotiate, especially if the company cannot afford the amount you initially gave.

Pay Raise Letter Samples

Who should you give the letter to?

If you have a well-made salary increase letter, it can help support your request and at the same time, prevent you from saying the wrong thing when you speak with your employer. Moreover, you can keep this document in your file in case your request gets denied.

Lastly, the letter eliminates any question your employer might have about taking your request seriously. A letter asking for a raise should go to the person in charge of pay raises, bonuses, and other financial matters.

This could either be your supervisor, your manager or the head of your department. As a rule, it’s not recommended to go above this person as you might end up making the wrong impression.

Try checking sample letters on salary increases. You will notice that they’re all formatted and written in a formal way. You can make your own format or to make things easier for yourself, you can just download a template then customize it according to your needs.