Are you under paid for your qualifications?
Are you NASM Certified or accredited in fitness and nutrition and being under paid?
In this blog we discuss the exploitation of qualified employees and how to change that by becoming a successful entrepreneur.
The national average NASM certified trainer is making $50,000 annually. If you are not making at least that amount, this post is for you.
It's currently 2022 and we have reached record inflation numbers that have made daily living expenses sky rocket. Housing, food, utilities, vehicles, you name it, the price is up! After chatting with so many regular customers that are certified trainers we realized that most gyms are only paying minimum wage or within a couple dollars but expecting trainers or employees to carry expensive, time consuming credentials. Our goal is to teach you how to negotiate higher pay or create your own business with your credentials with this blog.
Employment vs Entrepreneurship
Employment is often a comfort zone we have all been taught to have. It's told to us that is stable, safe, and reliable. Let's look at this, is anyone actually safe from being let go? While traditional employment provides fixed income and stable work schedule being an entrepreneur DOES NOT LIMIT income and provides flexible income. Now you might prefer the fixed income over limitless income and you can quit reading right now.
Your still reading! Let's go. Your already lining yourself up as a successful entrepreneur. Let's discuss why this is better for you. Did you know, according to studies, entrepreneurs are happier with their personal life than employees? Income is a necessity but so is your mental health. Making these two priorities go hand in hand is ideal.
Let's talk compensation. As an entrepreneur you are in control of how much your services or products are worth. Creating limitless income reliant upon your skill to build a customer basis and pricing. As an employee, you are a subject to an agreed payment in exchange for hours worked vs your ability, skills, and benefit to company.
Work Schedule. Entrepreneurs are able to create a work schedule that fits their life and have the power to adapt it for changes. Employees are subject to a schedule given to them and risk being let go if that schedule does not fit changes in their life or even sometimes emergency situations.
Decision Making. As an entrepreneur you hold the power to make the call! While depending on your position in the employee environment, you are more of a collaborater or just a doer. Often getting over run and never being acknowledged for your ideas and input.
Opportunities. Being an entrepreneur often opens the doors for many new opportunities in business and personal life.
Now that we are both on board of why Entrepreneurship is better let's discuss why we hold ourselves back.
Risk! Many people are afraid of risk. But risk always pays out higher. But, successful entrepreneurs know how to make calculated risk. For example. Your a supplement store in a town of 20,000 people. You study the market to know that fitness is important to 15% of the population. That gives you a FULL potential of 3,000 customers. You then realize there is 2 other competitors in same town. You now have to assume you are risking to share those 3,000 people. You will need to be able to calculate your start up, monthly fixed expenses, monthly adjustable expenses. Once calculated, you will need to know an average sale amount. Now take the estimated monthly expense divided by average sale to know how many customers you will need to see monthly to make ends meet. This is your bottom line. Once you know this, you can now plan for success. If you have calculated that you can without a doubt hit that bottom line with that 3,000 population and know there is competition you can now make a calculated risk. Taking that average sale and multiplying by the 3,000 potential customers gives you a better idea of high potential. Please never use those high numbers to make your decision, that number is there to set your goals. Also, study the seasonal market flow to prepare for the good times and bad times.
Capital. Sometimes it just comes down to money. Learning to live frugal and invest lavishly will build the capital foundation for all future adventures. Your licensing, credentials, and start up will vary depending your goals. Ranging from $1500 as a qualified trainer to $40,000 to have a supplement store. These funds can often be easily accumulated through the sell of personal items, side gigs, loans, and frugal daily spending. Does anyone really need that $7 daily Starbucks drink or those $150 pair of shoes? Live frugal and invest lavishly! Building block for success.
Now, we understand our greatest potential is in Entrepreneurship but your still searching your market, building clientele, laying out legal structure and building capital. Let's see about getting fair pay.
After talking to so many trainers through our supplement store we realized here in Oklahoma many were only receiving $7.50-$10 per hour. After looking up many training programs through local gyms they are selling packages that offer on average 30 minutes of training for $30-$45. If you do the math, you would see that if you were to take calculated risks you could be making closer to $60-$90 per hour. On average, you could make more money with 1-2 clients a day than an 8 hour work day at a gym as an employee.
If your gym or nutrition store is requiring certifications be sure to get paid for the knowledge you have invested in. But how?
Tips to negotiate pay. First tip, it best to negotiate before starting your job. Negotiating after you have proven that you have tons to offer and was willing to do it for bare minimum makes it harder for an employer to justify paying more. They often see this and think they can get the same quality work from the next person. So if you been somewhere and have a hard time getting your fair pair fully consider new employment or it's a sign to make the jump and start on your own.
Research your market. Be sure to have the average numbers to show they pay that other people have based on the credentials you have. NOTICE: I didn't say the average pay for that job. That's the employer controlling those numbers.
Experience & Value. While we all want dream pay, you also need to understand that you are being compensated for your hours. In these hours, are you benefiting the company enough to justify your worth. Continuing to learn and add value to your company is how you will be able to confidently negotiate your pay.
Sliding scale. When talking numbers, it's often best to use a sliding scale of numbers. Your lowest acceptable pay to your desired dream pay. This shows you are someone who wishes to advance and not set steady as well as understanding you may have to prove your worth by starting at a pay then earning more.
Perks. Some places just don't have the power to pay more but can often sweeten the deal with other perks. Additional paid time off, benefit packages, discounts, bonuses. If you really belong somewhere and willing to accept lower pay always ask about additional benefits the company could compensate you with.
Odd numbers. Okay, it's coming down to the final numbers. A final number like, $38,652 annually vs $36,000 annually feels like you have put some real thought and calculation into this. The employer will see that and be more likely to use that number to also get to final numbers.
Now it's time to go achieve your worth. Remember, no matter the path you choose, your work ethics will be the action between success and failure.