2.5% merit increase 6 months in

[jackie103]

Graduated college in may and started working at this company in July... so I’ve been working about 6 months and found out this week that I’m getting a 2.5% merit pay increase.

 

Is this considered good or bad? I honestly can’t tell. I thought it was pretty decent but then I remembered that when I was talking to my boss, he was saying how 2017 was a bad year for the company and that our performance wasn’t very great, which is making me think he was trying to make me feel better about having a low raise... I’m not sure what to think though.

[Wiseman2]

You are a recent grad with only a few months on the job.

According to Mercer’s 2017/2018 US Compensation Planning Survey, "the average merit increase budget is expected to be 2.8% in 2017, with projections rising slightly to 2.9% in 2018."

[Starlight925]

If your performance is above average, then you should be receiving increases that would keep up with inflation, depending on company performance. 2.5%, 6 months in, is actually pretty high, if that would mean 5% in a year.

 

More important is your boss’s feedback, and both yours and your boss’s desire for you to work towards a future with this company.

[mustlovedogs]

If your performance is above average, then you should be receiving increases that would keep up with inflation, depending on company performance. 2.5%, 6 months in, is actually pretty high, if that would mean 5% in a year.

 

More important is your boss’s feedback, and both yours and your boss’s desire for you to work towards a future with this company.

 

It would actually come in slightly above 5%. Because now OP could possibly get a raise of 2.5% on their already raised salary.

 

I agree, that’s good.

[IAmFCA]

It would actually come in slightly above 5%. Because now OP could possibly get a raise of 2.5% on their already raised salary.

 

I agree, that’s good.

 

Yes, that's good.

[Honeycomb8]

I'm starting a new job soon. I was told there will be a salary review in 3 months, and if that goes successfully, I'll get a 5 percent raise. I think for a grad, 2.5 is pretty good!

[Starlight925]

It would actually come in slightly above 5%. Because now OP could possibly get a raise of 2.5% on their already raised salary.

 

Thank you for the math lesson.

[mustlovedogs]

Thank you for the math lesson.

 

I’m just making the point so the OP understands :) I would rather have two small annual raises than one big one!

[lostandhurt]

At 6 months in and a recent grad you are lucky to get that raise in many companies. Many people only get a good review and a pat on the back. Where I work you would still have 6 month of probation left!

 

Don't go by some of these so called salary schedules because there are all kinds of variables from one industry to the next.

 

Knowing your worth is very important though.

 

When you interviewed for the job did you ask the salary and raise schedule? Back in the day you wouldn't get a raise unless you walked into the boss's office and asked for one.

 

Keep doing a good job but keep an eye on other salaries in your field as that is the best way to judge what the market in your area is offering. Just don't forget benefits, they can be worth way more than a few percentage points on your paycheck.

 

Lost

[Starlight925]

I’m just making the point so the OP understands :) I would rather have two small annual raises than one big one!

 

Totally agree! I love my boss, and one thing I love about him is that he always tries to give an annual raise prior to any sort of promotion, because a raise comes with the promotion. So, you get the promotion raise on top of the fresh annual raise, which makes it a higher percentage.

 

Agree with lostandhurt about knowing your worth. At 6 months, 2.5% is great! But as you move along in the job, make sure you document everything you do that is over & above the job, so that when review time comes, you'll have it handy.

[jackie103]

Thanks for the responses guys! Much appreciated

[catfeeder]

It's rare for a company to offer any increase at 6 months, and I know plenty of people in the last few years who've only gotten 2.5% increase for an entire year. Count your blessings, especially if this was unexpected.