Employee Salary – 3 Things To Consider When Calculating

Transcript:
I think we can all agree that salary conversations with candidates and employees can be intimidating and worrisome for all business owners. What if I promise you that there’s a better way to go into those conversations, being really prepared for just exactly what to expect and what you can offer? In this video I’m going to share with you three considerations and resources, so that you go in armed to have a great outcome in conversations with candidates and employees when salary comes up.

Hi, this is Jody Ann Johnson of ActionCOACH Team Sage in Miami, where I help business owners to be more profitable and to have more free time. Before I start, please subscribe to my channel and make sure to leave a comment. I would love to interact with you!

So I know that right now you’re looking for talent, because everybody in business is looking for talent. And the biggest concern that I hear business owners share with me is where am I going to find them, and then how am I going to pay for them when I do? I want you to know that the candidates that are applying for your positions are online looking at what should I ask for in my salary and how will I know whether or not the person is offering me a good enough salary. So they’re using online tools: they are using glassdoor dot com, salary dot com, payscale dot com, and they’re putting in this information so when they walk in to meet with you, they have a pretty clear idea of what they want to make.

On the other hand, most of the business owners that I work with go into that and they have the conversation from “this is what I think I can pay, this is what I’ve paid in the past”, and they’re unclear about just exactly how prepared that person is when they walk in the door. I want you to know something. You may have a bookkeeper who comes in and wants fifty thousand dollars, which will be at the high end of a bookkeeper in the Miami area anyway. And if you know that, you could say: “I will actually pay forty thousand, and here are some of the benefits that you can count on”, that they would be interested in, because sixty seven percent of millennials will take less in pay if they’re going to have certain job opportunities, growth opportunities and perks. So the more prepared you are for the salary conversation, the better it’s going to be for you, and the more likely you are to be able to get that talent.

So let me share with you a couple of the sites that you can go to. As I said, payscale dot com, glassdoor dot com, salaries dot com, apple one dot com, in which I met two of the people who were in the branch down here in Miami, and they’ve got tremendous tools on their website for you to be able to see just exactly whether or not you should offer that person more money to stay if they got offered another job by somebody who’s giving them more money, including how much you should be able to pay these people for their roles and experience.

But there’s a whole bunch of other ones, so keep in mind that you have these resources, the same as they do, and that you can identify perks that actually don’t increase your workman’s comp, don’t increase your taxes that you pay, but are benefits that you can give to people that are very meaningful to them.

One last thing: when you’re recruiting, make sure that you talk about the career pathway that you have within your organization, and the exact criteria for advancement, so that they know that growth opportunities are present in your company.

So that’s it for this episode of coffee with Jody. I would love to hear from people who have had great salary conversations with candidates or with their team members. And I’d also like to hear from people who have had some not so great conversations with candidates and their team members when it comes to salary. Have a wonderful day!