Most employers conduct performance reviews once or twice a year — a formal conversation between you and your manager about how your work is going. For many people, especially those new to the workforce, the process feels opaque or stressful. Knowing what to expect, how to prepare, and how to use the review to your advantage makes a real difference.
What a performance review is
A performance review (also called a performance appraisal or annual review) is a structured conversation in which your manager evaluates your work over a defined period. The goals typically include:
- Discussing what went well and where you can improve
- Setting goals for the next review period
- Deciding on raises, bonuses, or promotions
- Documenting your performance for HR records
Some companies do them annually; others do them quarterly or semiannually. Some use a formal rating system (e.g., Meets Expectations, Exceeds Expectations). Others are more conversational.
Common formats
- Manager review: Your manager rates your performance, often with written comments, and shares it with you.
- Self-assessment: You complete a written evaluation of your own performance before the meeting. This is your opportunity to frame what you accomplished.
- 360-degree review: Feedback is collected from your manager, peers, and sometimes direct reports. More common in larger companies.
- Rating scales: Many reviews use a 3- or 5-point scale: something like Does Not Meet, Meets, Exceeds Expectations — or a numeric 1–5 rating.
What managers typically evaluate
- Results: Did you meet your goals and targets for the period?
- Quality of work: Accuracy, attention to detail, thoroughness.
- Reliability: Showing up, meeting deadlines, following through.
- Communication: How well you work with your team, clients, or other departments.
- Initiative: Did you take on challenges proactively, or wait to be told what to do?
- Teamwork: How you collaborate and support others.
- Growth: How you’ve developed since the last review.
How reviews connect to raises and promotions
This is often the most important practical outcome of a performance review. In many companies, raises are tied directly to review ratings — a specific percentage increase for each rating tier. A strong review can mean a higher raise; a weak one may mean no raise or a smaller one.
Promotions are often discussed during or after reviews. If you’re aiming for a promotion, the review period before is the right time to demonstrate the skills and initiative the next level requires — not to wait until the review itself.
See How to Ask for a Raise for how to make the case during or after a review.
How to prepare
Preparation makes a significant difference in how a review goes — and what you get out of it.
- Keep a running list of your accomplishments throughout the year. Don’t rely on memory. Track projects completed, problems solved, positive feedback received, and numbers that show impact (revenue generated, costs reduced, tickets closed).
- Review any goals set at your last review. Come ready to discuss each one — which you hit, which you missed, and why.
- Complete your self-assessment carefully. If your company asks for one, use it to frame your performance in your own words before your manager does. Highlight your contributions specifically.
- Think about what you want from the review. A raise? A path to promotion? Clarity on how to improve? Know your goal going in.
- Prepare questions to ask. Reviews are two-way. Good questions show engagement: “What does success look like in this role for the next six months?” or “What’s one area you’d most like to see me develop?”
During the review
- Listen carefully before responding to any criticism. Reacting defensively shuts the conversation down.
- Ask for specifics if feedback is vague: “Can you give me an example of what that looked like?”
- Acknowledge areas for improvement without over-apologizing. “I agree that’s an area I’m working on” is better than either dismissing it or flagellating yourself.
- If you disagree with something, stay calm and ask to understand the basis: “I see it a little differently — can I share my perspective?”
- Take notes. You’ll want a record of what was said, especially around goals, raises, or development plans.
After the review
- Get any commitments (raises, promotions, resources) in writing or confirmed by email.
- Write down the goals set for the next period so you can track against them.
- If the review was disappointing, ask for a clear improvement plan: “What specific things do I need to do differently, and by when?”
- If the review was strong, keep doing what’s working — and consider asking about the path to the next level.
If you get a bad review
A negative review stings, but it’s also information. The worst response is to shut down or start job searching immediately without understanding the feedback. Ask your manager what a successful turnaround looks like in concrete terms. Document what they say. Then decide — with more information — whether this is a fixable situation or a sign it’s time to move on.
Further Reading
- How to Ask for a Raise
- How to Negotiate a Salary
- How to Read a Job Offer
- What Are Employee Benefits?
- Jobs & Career
- Money Basics
This article is for general educational purposes only. Performance review processes, timelines, and pay decisions vary by employer and industry.