How much of a raise should I request?
Hello, Reddit accountants and bookkeepers! I’d love to hear your advice—thank you in advance!
I’m currently in a high cost of living (HCOL) area and began a bookkeeping/admin position a few months ago after transitioning from a small local tax/Bookkeeping firm, where I worked for a year. I’ll be finishing my Accounting certificate by the end of the year and have additional relevant training, including financial and managerial Accounting courses from high school. I’m also considering pursuing QB Pro-Advisor training. Right now, I’m earning $27 per hour with benefits.
My responsibilities include:
- Bookkeeping
- Accounts Receivable and Payable
- Sales tax filing
- Purchasing, cost analysis, and vendor communication for inventory updates
- Job costing
- Cash flow management
- Miscellaneous administrative tasks
I’m wondering if I should ask for a raise after 6 months or wait until a year, and if so, how much? Additionally, how much experience should I gain before making the jump to a staff accountant role?
One response
It’s great to hear about your transition to a bookkeeping/admin role and your progress toward completing your Accounting certificate! When considering a raise, especially after only a couple of months, it’s important to weigh a few factors.
Performance and Value: Reflect on the impact of your work so far. Have you taken on additional responsibilities or improved processes? If you’ve made significant contributions to the team or company, that strengthens your case for a raise.
Industry Standards: Research what bookkeepers in your area are earning, especially in HCOL (high cost of living) regions. Websites like Glassdoor, Payscale, and the Bureau of Labor Statistics can provide valuable data on regional salary benchmarks.
Timing: Typically, it’s advisable to wait at least 6 months before asking for a raise, but if you’ve demonstrated significant value or if your employer has a performance review process, you might consider bringing it up sooner, especially if the company is doing well financially.
Amount to Ask For: A common recommendation is to ask for a raise of 5-10% initially. Given your current rate of $27/hour, this would mean asking for a raise to around $28.50 to $29.70 per hour. Consider your responsibilities, performance, and any growth in your skills when determining your request.
Experience for Advancement: Generally, moving to a staff accountant role often requires a few years of experience, but this can vary. Completing your Accounting certificate and continuing to build your skills can make you a competitive candidate for advancement sooner.
In summary, focus on your contributions, know your worth based on industry standards, and time your request thoughtfully. Good luck!