Switching jobs should come with a salary increase. Getting paid more is one of the primary motivators for an employee switching jobs. However, understanding how much of a salary increase you can expect by changing jobs is important to make an informed decision.
In this article, we’ll look at the average salary increase when changing jobs and what factors can affect an overall increase.
What is the average salary increase when changing jobs?
So to get started, recent research indicates that employees who switched jobs received a 10% increase. Other studies have also pointed to higher increases at around 15%. However, the consensus is that 10% is the average figure.
Is a 10 percent raise good?
A 10% raise is quite good compared to those who don’t switch jobs. Those people who continue working in the same job role without any promotions stand to take a 1.4% decrease in salary value due to inflation. Therefore, receiving more pay for a similar job is definitely a good increase.
What is a good salary increase when switching jobs?
It depends on certain factors; however, if you compare the current job and the new job, if they are similar without too much-added responsibility, a 10% raise is about right. This is because you’ll be coming in with more experience than when you initially started. However, if you are very experienced compared to similar candidates, or perhaps, you’re looking at managerial positions, then a higher percentage raise may be required. It’s important to be aware of what your market worth is. Consider using our site to find the average salary of the job title that you are applying for. Make sure to use the higher and lower boundaries and not just the average figure if you have experience.
Benefits and drawbacks of changing jobs for salary increase
Benefits of changing jobs for salary increase
Changing jobs for a higher percentage salary increase comes with the immediate benefit of greater pay. However, other benefits can include working for a more successful company which can mean greater exposure. Think about it. When a company is willing to invest in its employees, it usually is an indicator that the company is proactively making changes to improve the working conditions. This can lead to a more successful company overall. As employee morale is likely to be higher, they are likely to perform better. As a result, being a part of that sort of company can positively impact you professionally. Additionally, working for a company for an extended period of time may result in internal promotions, which can sometimes compete with increased salaries elsewhere. Although, this is not always the case.
Drawbacks of changing jobs for salary increase
Although other jobs may offer more financial incentives, they may not always be the best choice. For example, when you work for a company over a period of time, you may build relationships and a sense of belongingness. That may be hard to replicate elsewhere, especially as you’ll need to become accustomed to how things work at another company.
Some people really don’t like change and being the ‘new’ person. Additionally, there may be reduced flexibility that you may otherwise have worked your way towards. Another important aspect is that a pay increase would usually mean increased responsibilities. The new job may have additional duties that you may not currently have. This should also be factored in.
Staying with the same employer in the same position may not have the benefits of the typical salary increase that job hoppers can expect. However, it can come with added job security. Usually, when you start a new job, there will be a probation period during which your value will be assessed. Now it’s not always the case, but some employees may not make it through the probation period, so job switching will not pay off.
Therefore, staying in your current position and seeking a pay raise there may be the better choice. First, however, be sure to assess the job market and your likelihood of success.
How to mitigate the risks of changing jobs for salary increase
The first thing you should do is assess your current job and situation. If you’re currently happy with where you are, then it may be worth requesting a salary raise from your employer. If you show them the offer you’ve received elsewhere, it can be used positively to negotiate a higher salary.
Additionally, you should take note of the benefits that you currently enjoy. Then compare it with the new job to see how much of a change it will be. Perhaps, it may be factors such as a longer commute time or a few days working from home. Finally, those desired job benefits should be put forward to the new employer to see how they can accommodate your request. If you don’t ask, you won’t get!
Statistics indicate that employees benefit from switching jobs. As each job role usually has a salary band attached to it, more experience usually returns a higher wage growth. As a result, it’s a good idea to stay informed about how much you could be earning to serve as motivation. If you’re unsure about your job role’s earning potential, look through our site. You may find similar job roles with similar experience that have higher earning potential.
Average Salary Increase When Changing Jobs FAQ
Here are some commonly asked questions by candidates looking to switch jobs.
What is the average salary increase when changing jobs?
The average salary increase when changing jobs is around 10%. Of course, this can vary by industry type. However, it is the most commonly agreed figure.
What is a good raise percentage for a new job?
Taking on a new job should come with a higher salary. A 10% raise is about the average. However, you should consider your professional experience and your industry to determine what the salary bands are. As you progress through your career with each added year of experience, you should find yourself working your way up to the higher bands.
How much of a raise should I ask for when switching jobs?
When negotiating a salary for a new job, it’s important to be realistic. As mentioned above, it’s important to know your worth and be realistic. Work out how much more you’d like to earn and use that as a starting figure. When negotiating, it can sometimes help to start with a higher figure. This will allow you some leeway to negotiate down rather than starting out low.
What is the percent increase in salary I should quit my job for?
You should consider first how much longer you’d need to work at your current job before leaving for the proposed salary. If it is only a case of a year or two, it may be worth asking your employer for a raise. The proposed salary may be an indication that your job role market rate has increased. This will allow you to continue working in familiar and comfortable surroundings. However, a typical percentage increase that you should consider leaving for is 10% more.
Will I make more money if I change jobs?
Again, it depends on your particular job role and the company that you work for. Some companies have in place a yearly salary increase. If your current job is unlikely to produce a salary increase that compares with other jobs out there, then you’ll definitely make more. Additionally, inflation increases each year, reducing the value of a salary that continues to stay the same. If that is the case, then you’ll also make more money by leaving for another job.
How much can job hopping increase salary?
You can expect to receive more money by switching jobs. Statistics and research also support this claim. However, certain companies do have schemes in place to ensure salaries remain competitive with salaries offered elsewhere. Therefore, it’s important to do your research to find out what is right for you.