What factors are affecting your salary?

What factors are affecting your salary?

There’s a direct link between age and salary – for most people they will increase together as new skills are learned, more experience is gained, and potential is increased. Several variables also affect salary, including industry, development, skill set and even gender.

Here are the facts about what employees need to know according to Instant Offices:

Average Wages in the UK

The average UK annual salary or monthly wage of full-time employees differs drastically across industries. According to the Annual Survey of Hours and Earnings (ASHE), the median gross weekly earnings for full-time employees in the UK were up 2.2% between April 2016 and 2017, rising from £539 to £550.

When it comes to graduate jobs, research collated by Fresh Student Living, shows graduates are quite cynical about their starting salaries, with women pricing themselves almost four grand lower than their male counterparts.

Factors that Influence Salary Growth

While the type of industry and the size of your company are both factors that can influence salaries, these additional factors also play a significant role in determining how much you should be earning at your age:

Education

It is common knowledge that having a degree or qualification that is relevant to your profession positively impact your salary potential, however having experience can be equally as beneficial.

Experience

The average annual income for employees with less than one year of experience compared to those with 20+ years is, on average, £20,404 vs £39,199. Research shows that many employers value experience just as much, if not more than education.

Gender

In April 2017, the gap dropped to 9.1%, compared to 9.4% the year before. In 2016, Monster reported that the average annual salary was £22,381 for UK women and £32,961 for UK men. More recently, in August 2018, the figures also showed the gap diminishing, with women earning an average of £25,303 and men earning an average of £30,524.

Location

London remains the beating heart of the UK’s finances and of course, those working in the area can expect a hike in pay.

Highest Weekly Wages:

AreaWage
London£727
Reading£655
Crawley£633
Milton Keynes£619
Cambridge£609

Lowest Weekly Wages

AreaWage
Doncaster£447
Wigan£436
Birkenhead£428
Huddersfield£424
Southend£413

What Can You Expect to Earn at Your Age?

  • Late Teens

According to ASHE, 16-to-17-year-olds entering the job market can expect to earn under £200 a week. Thankfully, by the time you reach your twenties and have far more responsibility, this figure will improve significantly.

  • Terrifying Twenties

At this age, salaries can grow quite quickly, and employees/job hunters in their twenties can use their skill sets and education as stable motivating factors for more money. ASHE calculated the average earnings of employees aged 22-29 at up to £477.9 a week for men and £440.8 a week for women.

As of August 2018, it has been estimated that the average annual income, for employees with less than one year’s experience, is just £20,404. However, after 5-9 years, this figure burgeons to £30,915.

  • Stable Thirties

This is the age where experience, wisdom and carefully curated set of skills will start to pay off, and also when women typically reach their earnings peak. ASHE calculated the average weekly wage for employees aged 30-39 at £613.3 for men and £557.5 for women.

  • Fabulous Forties

The overall annual salary figure for this age group comes up to £49,504. While women’s earning potential is highest in their thirties, the 40-49 age group is where men hit their earnings peak.

Road to Success

Despite your current salary, there’s always room to grow. Your salary and potential earnings will increase automatically as you improve your skills, knowledge and experience, but there are a few ways you can increase it right now:

Negotiate a salary raise – Keep details of your achievements at work and use them as leverage when negotiating a salary increase.

Research and compare your salary – Know how much your skills are worth and compare your salary with the industry average for an overview.

Become an expert – Consider training or studying short courses to become more knowledgeable in your industry.

For more information, please visit the Instant Offices website.

All articles on this news site are submitted by registered contributors of SuffolkWire. Find out how to subscribe and submit your stories here »