It takes guts to ask for more money. It's uncomfortable. But once you look at the impact a single raise can have on your Bigger Financial Picture—you'll decide that asking for more money, whenever you can, is a big shiny priority.
You'll look at the numbers and say, "OMG, if one single raise can make that much difference, what on earth am I waiting for?!"
"What if I charged X% more for my services!"
"What if I looked for a higher paying job!"
Here's the equation:
If you and a friend were both offered salaries of $25,000 at age 22, but she pushed for a bump to $30,000, by age 65 she would be earning more, of course, about $107,000 compared to about $89,000 for you.
That's roughly an $18,000 difference. So?
Let's assume your smart pal took advantage of having a little extra in her paycheck, and banked the $5,000 each year until age 65, in a retirement or other account earning about 3% (nuthin' fancy, just enough to cover inflation).
She would have $784,000 more than you would.
This data is from the book, "Women Don't Ask," by Linda Babcock and Sarah Laschever.
|Raise your voice. What did you think after seeing the numbers?|