Dave Ramsey warns U.S. workers on major money mistake to avoid | Official Website of Louis Velazquez, entrepreneur, finance guy and tech innovator

Most U.S. workers understand that making more money at their jobs can significantly impact short-term expenses and be an important factor in securing a financially comfortable retirement.

In addition to helping people afford day-to-day living costs and keeping up with inflation, higher wages boost Social Security benefits by increasing their average indexed earnings, which determine their monthly payout.

With more income, Americans are also better positioned to consistently contribute to a 401(k), accelerating retirement savings.

💵💰Don’t miss the move: Subscribe to TheStreet’s free daily newsletter💰💵

Dave Ramsey, the popular radio host and bestselling personal finance author, recently discussed the best way to ask for a raise at work with an advice-seeker who inquired about his own efforts to increase his income at his current job.

“What’s your advice on asking for a raise in a delicate workplace situation?” a man identifying himself as Jacob asked Ramsey in an email sent to TheStreet from Ramsey Solutions. “I’ve been with my company almost six years, and I make the same money as one of my co-workers, who has been with the company for an equal amount of time and holds the same title.”

The man explained his job situation and concerns in further detail.

“I have no problem, all things being equal, but in my mind they’re not equal,” he wrote. “During our tenure with the company, I have consistently taken on more responsibility — asked for it, even — and produced bigger and better results than he has.”

“All things considered, at this point I feel I have the right to complain about the situation, because I think I should be making more money than he does,” he continued.

Dave Ramsey speaks with TheStreet about personal finance issues. The radio host and bestselling author explains the best way to ask for a raise at work in the interest of maximizing Social Security benefits and saving for 401(k) plans.

Image source&colon; TheStreet

Dave Ramsey has blunt words on asking for a raise at work

With everyday expenses in mind — and thinking ahead to the financial ramifications on future Social Security benefits and 401(k) income during retirement — an increase in salary can have an obvious positive effect on navigating through financial challenges.

Ramsey responded to Jacob, first by expressing an awareness of the emotions involved in such a scenario, and then with some blunt words about the precarious dynamics involved with a request for a raise.

More on retirement:

“Believe me, I understand how you feel right now. But no, you don’t have the right to complain,” Ramsey wrote. “You agreed on your pay when you took the job, and you should perform your duties with integrity and character.”

“What someone else does, or in this case doesn’t do, has nothing to do with your title or personal compensation,” he added.

Dave Ramsey warns workers on a financial mistake to avoid

Ramsey followed up with advice based on his experience running his own company.

“Now, if you honestly feel like you deserve a raise because of your effort and performance on the job, that’s fine,” Ramsey wrote. “It sounds like it may even be understandable, given the situation.”

“So, if that’s the case, sit down with your leader and make a logical, objective and reasonable argument for why you deserve more money,” he continued.

Ramsey explained his view on a mistake workers should not make.

“I wouldn’t mention your co-worker, and especially don’t bad-mouth him, because it’s not relevant,” he wrote. “Taking that approach could also make it come off as just a case of sour grapes to your boss.”

“As a leader, I can tell you that’s not an attractive look on anyone. What’s relevant here is the value you bring to the company. Period,” Ramsey emphasized.

The radio host drove home his point.

“Do you hear what I’m saying, Jacob?” he asked. “If you think you deserve a raise, and you’ve got the results to prove it, sit down and have a respectful conversation with your leader. Make your case.”

“Show him or her the numbers in black and white, the value you bring to the company and explain why you feel you should get more money,” he added. “I really think you’ll have a better chance of getting your work recognized and rewarded if you’ll approach things this way.”

“Good luck!”