For many professionals, the annual performance review is both an opportunity and a source of anxiety—especially when it comes to discussing remuneration. Asking for a pay rise can feel uncomfortable, even risky. Yet when approached thoughtfully and strategically, it becomes a constructive leadership conversation rather than an awkward financial request.
The key difference lies in preparation, perspective, and positioning.
Start with the Right Mindset
A pay rise conversation should never feel like a favour you are asking for. It is a commercial discussion about value, contribution, and future impact. Employers make remuneration decisions based on outcomes, not intentions, effort, or tenure alone. Shifting your mindset from “I need more money” to “Here is the value I deliver and how it aligns with the organisation’s goals” immediately elevates the conversation.
This is also why simply asking for a CPI (Consumer Price Index) increase is rarely compelling. CPI reflects the cost of living, not the value of your role. While cost pressures are real, organisations reward impact, results, and capability growth—not inflation.
Prepare Like a Leader, Not a Passenger
Preparation is the single most important factor in a successful pay discussion. Walking into a review without evidence, clarity, or structure places the outcome entirely in your manager’s hands.
Start by documenting your achievements over the past 12 months. Be specific. Focus on outcomes, not tasks. For example:
- Revenue growth you contributed to
- Costs you reduced or processes you improved
- Clients retained, risks mitigated, or problems solved
- Projects delivered ahead of time or beyond scope
- Leadership shown beyond your formal role—mentoring, initiative, or cross-team support
Where possible, quantify your impact. Numbers cut through emotion and ambiguity.
Next, link your contributions to broader business objectives. Managers think in terms of strategy, performance, and risk. When you demonstrate how your work supports these priorities, you make it easier for them to advocate on your behalf.
Value First, Money Second
One of the most common mistakes employees make is leading with a dollar figure. While remuneration matters, it should not be the opening line of the discussion.
Instead, frame the conversation around value:
- How your role has evolved
- Where you have exceeded expectations
- How your capability has grown
- What additional responsibility you now carry
Once this foundation is established, remuneration becomes a logical next step—not a confrontational demand.
Should You Nominate a Figure?
This is a common question, and the answer depends on your preparation.
If you choose to nominate a figure, it must be grounded in evidence—market benchmarks, role scope, and your demonstrated impact. An unsupported number can weaken your position. A well-researched range, tied to outcomes and future expectations, shows maturity and commercial awareness.
Alternatively, some professionals prefer to state that they are seeking alignment between their contribution and their remuneration, and invite the organisation to respond. This approach works best when your value case is strong and well articulated.
Whichever path you choose, clarity matters. Ambiguity often leads to inaction.
Think Beyond the Past
Strong leaders don’t just justify what they’ve done—they outline where they are heading. Be ready to discuss how you plan to add value over the next 12 months. This positions your pay rise as an investment in future performance, not a reward for past effort.
Asking for a pay rise during your annual review is not about entitlement or inflation—it is about alignment. Alignment between your contribution, your growth, and the organisation’s success.
When you prepare properly, focus on value, and communicate with confidence, you move the conversation from “Can I have more?” to “Here’s why it makes sense.” That shift is what turns an uncomfortable request into a professional leadership discussion—and significantly improves your chances of success.
If this article has inspired you to think about your unique situation and, more importantly, what you and your family are going through right now, please get in touch with your advice professional.
This information does not consider any person’s objectives, financial situation, or needs. Before making a decision, you should consider whether it is appropriate in light of your particular objectives, financial situation, or needs.
(Feedsy Exclusive)