What is a Reasonable Average Raise Percentage to Ask For? [2022]

What's the average raise percentage in the United States? If you just had a positive performance evaluation or took on more duties, you can be eligible for a raise. Your precise salary rise is determined by a number of criteria, including your degree of experience and geographic area. Knowing what constitutes a reasonable raise and how to request one might help you boost your chances of getting a raise.

average raise percentage

What's a reasonable raise considered to be?

What constitutes a reasonable raise is usually determined by the individual getting it. On average, companies offer employees a wage raise of 3-5%. Even if this range can not appear to be a fair rise, bear in mind that regular compensation increases over time might build up to a greater salary than you earned when you first started at the company. Anything above 5% could be an above average raise for the average employee.

While most companys will give you a monetary increase, they can also provide you a non-cash bonus or perk in lieu of or in addition to your monetary raise. This sort of raise isn't taken into account when calculating the percentage rise you can or can not have gotten. A non-monetary incentive, such as a professional development program, can, on the other hand, help you optimize your earning potential in the future.

The future of salary increases and pay raises

Organizations have budgeted a 3.6% pay increase for high performers, 2.5% for middle performers, and 0.6% for low performers, according to the WorldatWork Salary Budget Survey 2019-2020 (link), indicating a significant difference in merit-based pay increases depending on your performance level.

Do you want to know how much your employer will raise your pay in 2020/2021? Predictions from a variety of groups have been made public. Employee compensation expenditures climbed 2.5% in the 12-month period ending in December 2020. In December of this year, compensation costs climbed by 2.7%. Over the course of the year, wages and salaries grew by 2.6%. The cost of benefits grew by 2.3% in 2020 and 2.2% in 2019. The average pay raise in 2019 was 3.1%, while in 2021 it is 3.6%. Information from the U.S. Bureau of Labor Statistics (link).

Why do employees receive raises?

Companies frequently provide increases to their staff for a specific purpose. If you accomplish any of the following, you'll have a better chance of getting a raise from your boss:

  • Exceeding customer expectations.
  • Produce high-quality work that helps to increase income.
  • Have a positive mindset.
  • Take the lead on a project.

What factors determine a raise?

When determining whether or not to give their employees a raise, employers examine a number of criteria. The following are some of the variables that go into determining a raise:

Job performance

Many businesses conduct employee performance evaluations in order to analyze their workers' strengths and shortcomings and to assist them in improving. They can also conduct evaluations to see if an employee's performance warrants an increase in salary. Your company can offer you a raise if you do well at work and exceed expectations.

Company's geographic location

Due to variations in the cost of living, the average wage bump varies by location and state across the United States. While some employees in one part of the country can expect a particular rise, others in another part of the country can receive a raise that is even greater than the national average due to their city's higher cost of living.


Faster-growing industries frequently provide greater pay rises to not only attract new personnel, but also to keep current staff on board to help with the expansion. Companies with stronger growth typically have a more consistent source of revenue, allowing them to pay their staff more. Salary raises should increase, theoretically, over time. With equal pay for comparable work being presented.

Job market/labor market

If your company sees that you have a skill set that isn't widely available, they can decide to give you a raise. In other words, if there is a labor shortage or a scarcity of well-trained or talented workers, they are more inclined to provide raises to individuals in the positions that need to be filled.

The company

Your chances of getting a raise and the amount of increase you get are heavily influenced by your company's success and laws. In some circumstances, your company can not be able to afford to give you a raise, or can refuse to give you a raise if you already fall within the pre-determined pay rise range.

Responsibilities and duties

Many companys provide increases based on how much responsibility you've taken on. If you've been given or requested for additional duties, it's a tribute to your work ethic and ability to operate as part of a team.

Your future at the company

Employers who offer you a raise are making an investment in your future. As a result, your future with the company can have a major impact on your pay rise. An employer, for example, can think about what your duties will be in the future and if they want you to continue with the company for a long period.

When to ask for a raise

It's critical to ask for a raise at the appropriate moment. The timing of your request can have a big influence on whether or not you get a raise. When should you think about asking for a raise?

Six months

Before asking for a raise, make sure you've been at your present business for at least six months. Waiting thus long allows you to demonstrate your important contributions and overall value to the organization.

Success points

When your company is profitable, you're more likely to get a raise. This is because increased income allows them to allocate more money to their staff. When a big transaction or project goes through, for example, it's not the best moment to ask for a raise since the company will be looking for ways to save money.

Completing a project

It's a perfect moment to ask your boss for a raise if you've recently finished a significant project that demonstrates your value to the company. Inquiring during this era provides your boss with a current example of the value you provide to the company, as well as evidence of your hard work and work ethic.

Before a salary review

When the company's remuneration is reviewed, ask your boss or the human resources manager. Then, prior to this time, ask for a raise. Ask for a raise a few months ahead of time if your employer provides increases towards the end of can, for example. This gives your boss the opportunity to evaluate your request and meet with the people who decide who gets a raise and how much of a raise they get.

During annual reviews

During yearly performance assessments, make the following observations: When you and your boss meet for a performance review, you'll have the chance to talk about your salary. Not only is it appropriate, but it is also customary to discuss your pay at this moment.

When your manager is happy

When your manager is in a good mood, ask them for a raise. If you ask at a difficult period, they will likely have less time and tolerance to talk about a raise. Before requesting a raise, wait until things have cooled down.

How to negotiate a raise

Though it's acceptable to ask for a raise that represents your work ethic, following specific techniques and best practices might help you get a better result. When it comes to asking for a raise, you should know why you deserve one and how to properly negotiate one.

Ask why you deserve one

Consider the rationale for your request before you begin negotiating. Examine recent projects and tasks, as well as times when you surpassed expectations or brought value to your organization. This might assist you utilize specific instances throughout your talks with your management if you reflect on it.

Establish a target salary

It's just as essential to study typical salary in your industry and vocation before taking a new job as it is to research pay rises in your industry and occupation. Proper research can tell you if you're being properly compensated and will assist you in deciding on a precise amount to give to your boss when negotiating your compensation.

Make sure to look into the typical wage for persons in your job and sector who have the same amount of experience as you. Then, when your boss asks, come up with a figure to give them. In most cases, asking for a raise of 10-20% above your present salary is reasonable. You can also utilize several internet services to calculate a fair increase based on your work title, geographic area, and degree of experience.

Use tools like Salary.com, PayScale, and other salary calculators to assist you in determining an average salary/pay ranges for the job title.

Prepare a presentation

When you ask for a raise, think about what you want to say to your boss. Have a compelling story to tell that highlights your unique achievements at work. Make sure it's well-organized and functional as a sales pitch. Maintain a conversational tone throughout your presentation and anticipate inquiries or counter-arguments.

Schedule a meeting with your manager

When it comes to asking for a raise, it's critical to strike while the iron is hot. Keep in mind things like how long you've been with the company and how successful it is now.

Tips when asking for a raise

Tips when asking for a salary increase.

  • Enhance your abilities. Look for methods to improve your organization and, more particularly, your department's worth. Having a talent that no one else in your business possesses can help you utilize your strengths. When your boss observes that everyone comes to you for help with a specific topic or issue, it can be enough for them to raise your pay.
  • Make yourself more visible. It's critical to meet and exceed expectations as an employee. Outside of your normal tasks, volunteer for projects. Marketing yourself well can help you stand out to your boss and boost your chances of earning a raise.
  • Keep your expectations in check. Setting reasonable expectations is crucial in every discussion. It's ridiculous to seek for an 8 percent rise after you've been granted a 3% raise, for example. Make sure the increase you're asking for is appropriate for your experience, location, and other deciding criteria.
  • Always act in a professional manner. When negotiating a better salary, focus on your own accomplishments, abilities, and experience. If you overhear a coworker getting a bigger increase, don't bring it up with your boss while you're trying to negotiate a bigger raise for yourself. You should also refrain from threatening to quit if you don't get the increase you seek.
  • Consider switching jobs/careers. Consider alternative job options if talks stagnate and you're still unsatisfied with their offer or you believe you're worth more than what you're earning based on your research. Many people change occupations in order to improve their salary. If you continue with the same company, your increases can be limited if the company only has a certain percentage range within which it can boost your salary. When you change jobs, you don't have these limitations—at least not right away. However, be careful, job switchers in trade, transportation, and utilities had wage growth of 3.4% year-over-year for 2019, compared to 3.5% wage growth.

Wage growth

  • Construction: 4.5% expected.
  • Manufacturing: 4.2% expected.
  • Resources & Mining: 2.9% expected.
  • Finance: 4.4% expected.
  • Professional Services: 4% expected.
  • Information: 4% expected.
  • Education & Healthcare: 4% expected.
  • Leisure & Hospitality: 5.9% expected.
  • Trade & Transportation: 4.7% expected.

average raise percentage

author: patrick algrim
About the author

Patrick Algrim is a Certified Professional Resume Writer (CPRW), NCDA Certified Career Counselor (CCC), and general career expert. Patrick has completed the NACE Coaching Certification Program (CCP). And has been published as a career expert on Forbes, Glassdoor, American Express, Reader's Digest, LiveCareer, Zety, Yahoo, Recruiter.com, SparkHire, SHRM.org, Process.st, FairyGodBoss, HRCI.org, St. Edwards University, NC State University, IBTimes.com, Thrive Global, TMCnet.com, Work It Daily, Workology, Career Guide, MyPerfectResume, College Career Life, The HR Digest, WorkWise, Career Cast, Elite Staffing, Women in HR, All About Careers, Upstart HR, The Street, Monster, The Ladders, Introvert Whisperer, and many more. Find him on LinkedIn.

Fact checked: Our small and dedicated team rigorously evaluates every article, guide, and reference to ensure the information is accurate and factual. Learn more.


Help us by spreading the word