How do pay bands work?
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The Unwritten Rule: What mostly caps how much you can earn in your current job?
Your job level's pay band. Many employers set a pay range for each level, like the US federal General Schedule's grades and steps. Top performers hit the top of the range until they move up a level. Source: OPM – General Schedule pay tables
Who Decides: Who usually sets the pay bands?
HR/compensation teams using market survey data. Comp teams benchmark roles against market surveys; managers place you inside the band, they rarely change it. Source: Wikipedia – Compensation and benefits
How to Play It: When do you have the most leverage over your band?
At hiring, by negotiating the level, not just the salary. Being hired one level higher shifts every future raise and bonus. Ask what level the offer is. Source: Wikipedia – Salary negotiation