You don’t need to think back very far to realize how quickly the price of life’s necessities can increase. You cannot expect to maintain your standard of living today with the same wages you received a few years ago. Housing costs, groceries, utilities, transportation, and insurance all continue to increase in cost.]

Inflation in the United States prompted the United States Bureau of Labor Statistics to create the Consumer Price Index in 1913. The CPI measures inflation on what consumers need to live their daily lives, and the CPI led to cost-of-living adjustments so that citizens could retain their lifestyles.

Many updates occurred in the CPI calculations over the years. With so many global businesses today, many companies also give cost of living raises for employees who relocate to areas with a higher costs in general.
It makes sense for responsible employees to keep track of what goes on with the CPI and subsequent cost of living adjustments.

Prepare

Many employers will automatically factor in a cost of living raise for all qualified employees. But if you don’t notice a cost-of-living adjustment within the calendar or fiscal year, you may want to ask your employer about the status of your pay increase. Before you broach the topic, however, make sure to prepare.

• Review the financial status of your employer. Have they needed to lay off employees or announced cutbacks? If your company faces economic challenges, you may want to hold off on asking for a raise.
• Check out your status and records as an employee. Did you complete your initial probation period? Do your employee reviews indicate adequate or above-average performance? Also, make sure to check your Employee Handbook or Contract for indications of when to expect a raise.
• Take some time to research your industry for stats involving starting and median wages. Even if the information gathered  doesn’t involve your negotiations, it will help manage expectations.

Schedule a Private Meeting with Your Supervisor

Professionalism represents an essential element when arranging a meeting with your superior to discuss your wages. Depending on your company’s culture, you may want to email your boss with an appointment calendar to arrange a private meeting. You may also add your pay raise discussion as an agenda item at the end of a regularly scheduled performance review. Remember these points as you prepare your presentation for the meeting:

1. Present the information you gathered regarding industry wages and cost of living raises in a non-combative manner.
2. Summarize your performance and experience with the company. If you’ve gone above and beyond or taken on leadership roles, document and present those incidents.
3. Don’t mention the salaries of others in your department or make performance comparisons. The meeting should focus on you and your earnings and how your paycheck compares to the industry at large.
4. Don’t discuss your need for the raise other than your goal to maintain your standard of living. For instance, mentioning a rent increase makes sense.
5. Take notes. Not only will note-taking demonstrate your commitment, but it will also give you a record for your personal file.

Follow-up in Writing

No matter the results of the initial meeting concerning your cost-of-living raise, respond promptly with an email acknowledging and thanking your supervisor for meeting with you. In the follow-up email, you could also summarize your understanding of the meetings results and ask for clarification if needed.

Additionally, keep both an electronic and physical file of the information, emails and notes you take regarding your efforts to obtain a cost-of-living raise.

Preparation and organization will help give you the confidence to ask for the pay increase you need to maintain your standard of living as you move forward with your career.