How to ask for a raise–even in this economy

If you’re still working in this economy, I’m sure that you’re really grateful to just have a job when so many folks are getting laid off. But still, with living costs on the rise, and some of us taking on additional job duties because of downsizing, you may also feel like you’re getting short-changed.

While it may be difficult to ask for a pay raise right now, it’s not impossible. The trick is to show your manager how much you’re worth.

Here’s a game plan to get that bump you deserve:

Know your market value
How does your salary stack up? Are other people with the same job title and experience making much more than you? One way to find out is to speak with a recruiter in your industry. Recruiters are very knowledgeable when it comes to the range of pay and benefits for positions similar to yours, and can give you a better idea as to whether your compensation package is competitive.

Another way to find out is to check out sites like Indeed, which has a salary search. Or try PayScale.com, which has a more detailed comparison service.

Make a list of accomplishments
What major projects have you worked on in the past year? Has your job grown from the original job description for which you were hired? Write down all the milestones you’ve been hitting, along with any additional roles you may have taken on in this recession. If you’ve made or saved the company money, list those numbers too.

Are your skills in demand?
It’s important to be aware of the competition in your given industry. For example, there is currently a big demand for health care workers and software engineers–too many openings, too few qualified applicants. If you’re lucky enough to be in a situation like this, the cards are stacked in your favor. After all, your boss is probably aware that it won’t be easy filling your position and, if you’re doing a fantastic job, she will be more motivated to keep you.

Conversely, if you’re in a field where there are lots of qualified job candidates and very few openings (e.g. marketing, graphic design), you may want to wait until things start picking up to broach the salary issue.

Consider your company’s performance
Is your company struggling with its financial spreadsheet and, as a result, laying off employees? If so, it may be poor taste to ask for a raise during this time. However, if your company is hiring–even if it’s only a few positions–you may be able to make a case. Just be sure to do your research, list your strengths and accomplishments, and gauge your competition.

It’s all about the approach
When you request a meeting with your boss to discuss a raise, it’s often not what you say, but how you say it. Don’t ambush her. Let her know you want to discuss your expanding role, and that you want to be on the same page in terms of responsibilities and compensation.

Forbes.com suggests this technique:

“Don’t say, ‘You’re underpaying me,’” says Doug Arms, chief talent officer for Ajilon Professional Staffing. “Say something like, ‘Over the last year we had very specific targets in the organization that I had a vital role in assisting the company with. That, combined with the research I’ve done on current market conditions, makes me feel that my position here is worth the fair market value. I’d like to have a conversation to discuss my value to the organization.’”

It’s not always about the money
Consider perks like vacation time, work-from-home options, health benefits, or reimbursement for education and training. If money is tight, you can try negotiating for other things that aren’t in a paycheck, like a four-day work week or an extra week of vacation.

Have a backup plan
Chances are your boss won’t grant you a raise on the spot. Moreover, managers have to consult with the accounting and human resources departments to ensure that there is money in the budget, if the raise is still within your grade level, etc.

If you are turned down, ask what would it take to get a raise, and if you could meet in six months to determine whether you’ve hit these marks.

Here’s an interview with an expert for more advice:

Good luck!