Let’s face it, your paycheck has a direct impact on your quality of life. Yes, having a good boss, a challenging job, and clients who pay on time are critical factors in your overall job satisfaction, but your salary, health benefits, 401k plan, and bonuses can make your overall job satisfaction meter go from very satisfied to , I need-a-new-job RIGHT NOW!!

So how can you tell if you’re being paid what you’re worth, and how can you negotiate for a higher salary?

Your salary is determined by three factors. First, the company where you work. Some companies that are known for paying their employees a higher salary than others. Check out Fortune magazine’s recently released list of the highest paying companies. Here are the top 5 paying companies in terms of total annual compensation.

1. Bringham McCutchen – $211,071, average total pay for Associates.

2. Arnold & Porter – $194,575, average total pay for Associates.

3. Alston & Bird – $190,135, median total salary for Associate Attorneys.

4. Shared Technologies – $187,137, average total pay for Sales Representatives.

5. Nixon Peabody – $178,016, median total salary for Associate Attorneys.

Is the company you work for not on the list? If not, don’t worry. You may still be earning a healthy salary based on your peers within the company, and even the industry. I recently spoke with Fred Cooper, a compensation expert for a Fortune 100 company, who provided some great strategies for determining your value in today’s market.

Cooper said there are two key factors that determine his salary. One is what the market is currently paying for your skills, experience, and areas of expertise. The other is the company’s internal salary policies and practices.

Research is key, Cooper says. You must determine the value of the job you currently have or want. There are a number of job listing salary surveys that can give you a salary range for the job as identified in the job summary or job description.”

Make sure you have a good job description and understanding of the job you are comparing. Do not use job titles to make comparisons, but instead discuss the duties and responsibilities of the job being performed.

For example, Cooper explained, an “accountant” for one company may be a true bookkeeper, while for another, the title may apply to bookkeeping clerks, financial assistants or others who perform “accounting support” work. Combining salary ranges in this case would not provide a true idea of ​​market value.

Next, find out how much the position currently pays in similar settings (including positions inside and outside the company) through online job search engines (eg Monster.com, CareerBuilder.com, etc.), other company websites, trade publications,
trade trade publications, personal networking contacts, classified ads in your local newspaper, and published salary surveys.

Check out salary calculators and reference guides from sites like salary.com, realrates.com, payscale.com and rileyguide.com.

Then, once you have the salary data, the best market indicator is to combine several different salary ranges set for the same job by at least half a dozen employers rather than just relying on one company’s salary range. Ideally, the more salary ranges for the same job in the same geographic area you can compare, the better.

You can also determine where your current salary falls in the range. The rule of thumb is that the midpoint (the average dollars of the low and high of the range) is ideally where you should be after 5 years or so in that position. This is not an absolute goal, but rather a goal to assess your value.

Once you’ve done your research and are more informed about what your going rate is in today’s market, you may want to talk to your manager to share the information. Remember, you rarely get paid what you’re worth unless you ask or, in most cases, demand it!