Who doesn't want their salary increased substantially year after year during their career? A yearly salary increase of 10 per cent gives a doubled pay check in about eight years. Make the yearly increase 20 per cent and the pay check is doubled in about four years. But - is it even realistic to want such increases, year after year? Well, of course it depends to some extent on the job. But, basically the answer is: yes, it is realistic, given that the right career strategy is chosen.

For most people - I mean people not working in the family business etc. - the no. # 1 strategy to recurring substantial salary increases is spelled: long term leverage building. Anyone skilled in the art of negotiating a salary knows that when negotiating a salary, it all comes down to bargaining power, i.e. leverage. In a salary negotiation, bargaining power is a measure of which of the parties - the employee or the employee - is more dependent on coming to an agreement on the salary. Or, in other words, the party being most dependent on the other is the party with less leverage.

So, a person will be able to get recurring and substantial salary increases by constantly working on his leverage. Here are some actions to take:

Always look for outside options.

In a salary negotiation, the employee’s best weapon may be the threat to quit unless he get the salary asked for. However, quitting without having a new job is probably not a good option. And finding a new job takes time for most people. Therefore, you cannot go looking for one the day before your salary negotiation, but must have prepared in advance.

Strive for excellence in the relevant area.

Being the best, being the expert, having reputation of the highest quality - these are qualities one doesn't achieve over night but only after long, hard and goal conscience efforts. In the end, quality and excellent performance will win - therefore you should start today the work to get there.

Make sure you are not the impatient one.

All things equal, the party most impatient to reach an agreement will most likely be the losing party in the negotiation. You should try to avoid to be taken by surprise when a negotiation becomes necessary. If you negotiate contracts for a company, make sure you know the term of every important contract, so that you can start looking for outside options, gather information etc well before you have to enter a new contract.