While some businesses struggle, others are thriving. This is your chance to increase your earnings.

Just after the New Year started, my assistant, Rebecca Cohen, surprised me during our weekly call by asking for a raise. I expected her usual update on social media progress, but instead, she presented a compelling PowerPoint titled: Why I Deserve A Raise. It was impressive and a bit unexpected. She had clearly done her homework, evaluating her market value and demonstrating her contributions, especially after our team's recent changes. Ultimately, she achieved a raise, boosting her income.

The pandemic has shifted our spending habits and lifestyles. Some sectors, like restaurants and travel, have faced significant challenges, while others—particularly those that enhance our home lives—are flourishing. These businesses need strong talent, presenting a chance for you to capitalize.

ASK FOR A RAISE

Requesting a salary increase can be daunting, yet it’s a crucial skill that pays off throughout your career. Raises operate similarly to compound interest; each one builds on the previous. Thus, asking for a raise can be worthwhile.

Before requesting, ensure you’re justified based on your current compensation. Check platforms like Glassdoor and Payscale to gauge typical salaries for your role. “Entering your meeting armed with market data is incredibly important,” advises Andrew Challenger, a vice president at a leading outplacement firm.

Document your achievements over the past year and gather evidence to support your request. If your discussion will be virtual, consider using a shareable presentation to make a strong impact. Rehearse your approach with a friend or in front of a mirror to ease anxiety.

CONSIDER A NEW POSITION

If your raise request is denied, or if it seems unlikely you can earn more at your current job, it might be time to explore new opportunities.

Revamp your resume for the new year while enjoying some downtime. Reach out to your network to discover available roles that align with your skills.

With low unemployment rates, the job market is favorable—seize the chance to negotiate for a better salary. Most employers anticipate negotiations, whether regarding salary, vacation days, or equity. Always ask for more than the initial offer.

“Employers rarely start with the top offer,” notes Laura DeCarlo, president of a career organization. “Respond with appreciation for the offer and express your interest, then inquire about negotiations.”

EXPLORE SIDE HUSTLES

The gig economy offers a variety of ways to supplement your income outside your main job. How much you invest in a side hustle depends on whether you view it as a quick cash source or a pathway to a full-time freelance career.

“Identify what you can do endlessly without losing interest,” suggests Anna Runyan, a career expert. “You’ll earn more doing something you love.”

Both occasional gigs and regular side jobs are beneficial. Keep meticulous records; they’ll be vital during tax season and will help you assess the financial viability of your endeavors.

SEIZE FREE MONEY OPPORTUNITIES

Increasing your 401(k) contributions to secure your employer's full match is an effortless way to enhance your compensation. The company match is essentially free money that adds to your overall earnings.

Although this money goes into a retirement account and isn’t immediately accessible, it’s still your asset. It will grow tax-free and, thanks to compound interest, will increase significantly by retirement.

With insights from industry experts.