This year, hard work got me an increase in salary by $3,507! A lot of people talk about making more money. From my experience, the best way to increase your salary is by adding value and solving complex problems. That is what I have been able to do with both my W2 job and my real estate investments.
Another solid end of year eval at work!
How My End of Year Eval Works
At the end of each fiscal year at work I am evaluated on performance. This evaluation used to not be a huge deal as it only impacted base salary changes, but now my company has made it a larger impact on my overall compensation.
At work, we are rated on a scale of 1-5. A 3 means you met expectations for your role. A 4 means you exceeded expectations. The higher the number the better. Typically less than 2% of people get a 5 which is considered a Top Performer.
The last two years I received a 5 which led to some amazing opportunities. I busted my ass to get where I am at today. So many people out there aren’t willing to put in the work, and for the last 5 years, I have busted my ass to get in the position I am currently in. The first two years of my W2 career I worked 16 hour days 7 days a week. For two straight years.
I developed skills and knowledge that led to my company to create a new position to rollout the things I had been doing to all buildings we have in the US. This has helped lead to over $100 million in labor savings through increased efficiency within the operations teams.
This past year, I got promoted to a Director role. I was one of the youngest ever in the company to be a Director. Developing the skills and knowledge I have and adding value are the main drivers behind my rapid growth within the largest company in the world, Walmart.
I am blessed to be where I am, but also know I have worked extremely hard to get here. This year, I received a 4 on my eval. For being a Director level, and still getting a 4, overall I am very pleased. The only unfortunate thing is I am at the top of the pay band so my raise was less than I would normally expect. I am still happy with $3,507!
How My Salary Increase Works
There are multiple cool things about increasing my base salary. My total compensation at work is comprised of multiple things. Base salary is just one of those. My total compensation is made up of these three things:
- Base salary
- Bonus % of Salary
- RSU’s (Restricted Stock Units)
With the increase in base salary by $3,507, I will also see a few other benefits.
- My 401k match is still 6% of my salary. So an increase in base by $3,507 will in turn increase my salary will result in an additional match of $210.
- An increase in base salary by $3,507 will also increase by bonus by $981 based off my current pay structure.
So all in, the overall benefit of my base increasing by $3,507 will be an increase in total compensation by $4,698! Not too shabby.
- Base salary increases are just one component of compensation! There is much more to it than just base compensation.
- The fastest way to earn more money is by adding value in whatever it is that you do. You are paid in proportion to the level of problems you solve.
- Go after it and take action towards your goals!
Don’t forget @TheYoungRetireeBy33’s 3 Core Principles:
1 – Your money should make money for you⠀⠀⠀⠀⠀⠀⠀⠀⠀
2 – Start early to realize the power of compound interest⠀⠀⠀⠀⠀⠀⠀⠀⠀
3 – Eliminate your largest expense by house hacking