There is a very different energy in this conversation with employees who are truly exceeding expectations and helping your business shine and grow. An employee comes to you asking for a raise, and instead of tension, you feel pride and excitement. You don’t feel defensive. You don’t feel conflicted. You already know the answer before the question is finished, because you’ve been watching them grow over time and you can clearly see the impact they are making.
High-performing employees don’t simply hit the goalposts. They move them. They take ownership of their role and look for ways to make it more effective and sustainable. They think about how their work impacts the rest of the team and how to make the lives of your clients better and happier. They bring ideas, not just updates, and they actively look for ways to improve the business instead of waiting to be told what to do next. They care about the business as a whole, not just their lane.
When someone shows up like that consistently, they are no longer just an employee. They are demonstrating leadership behaviors long before they have the title. They are showing you that they are invested in the mission, the people, and the long-term success of the company.
Why I Love Giving Raises Before They’ve Asked For One
One of my favorite leadership moments is giving a raise before an employee asks for one. It sends a powerful message that words alone cannot fully communicate. It says, I see you. I notice your effort. I value your contribution. You don’t have to fight, justify, or negotiate to be recognized here.
Waiting for employees to ask for raises often rewards confidence or negotiation skills, not actual contribution. Proactive raises reward performance, vision, and alignment with the business. They reinforce a culture where people know their work matters and where growth is actively noticed in real time. When raises are planned and intentional, they become part of your leadership strategy instead of a reactive conversation driven by pressure or emotion.
If someone meets and exceeds clearly defined expectations, compensation should follow. That clarity builds trust and psychological safety. It also eliminates resentment, because employees don’t feel like they have to plead their case or advocate for themselves just to be valued. Strong leaders don’t wait until talent feels unseen or starts looking elsewhere. They act before that moment ever arrives. Your employees want to feel seen, recognized, and valued in real, tangible ways.
Rewarding Vision Builds Loyalty
Employees who are rewarded for initiative and vision stay longer. They protect the culture and become emotionally invested in your business because you have invested in them first. When people know growth is recognized and rewarded, they are more willing to stretch themselves beyond their comfort zone. They innovate, collaborate, and help others succeed because they feel safe doing so.
That energy is contagious and elevates the entire organization. You often hear me say collaboration is magical, and that applies just as much to your internal team as it does to external partnerships. Loyalty is not created by pizza parties or occasional praise. It is built through consistent actions that show people they matter, and very often that looks like raises, flexible schedules, trust, and autonomy.
Proactive raises don’t happen by accident. They require strong financial leadership. You have to price your services correctly. You have to understand your margins. You have to budget for payroll growth before it becomes urgent or emotionally charged. When finances are clear and intentional, generosity becomes sustainable instead of stressful.
The worst thing you can do to a high-value employee is tell them you can’t afford a raise. They will eventually leave, even if they love you, your clients, and the work they do. This is why financial clarity is so closely tied to culture. When the numbers are solid, leadership decisions become easier, calmer, and even joyful. Giving raises should never feel like a surprise or a scramble. It should be part of your financial plan from the start.
Final Thoughts from Your Favorite Accountant 🧡
I genuinely love giving raises. I love watching my team become financially secure and successful. It is incredibly rewarding to see them awesome vacations, buy cars, support their families, and build lives they are proud of. When your team feels supported and taken care of, they show up differently, and the entire business benefits.
If you want financial support that understands the human side of leadership, here is how we help:
✨ Daily bookkeeping
📊 Financial Advisory Workshops held quarterly
📘 The STOP Method™ book and DIY Annual Budgeting Workbook
