My company is faltering financially. Do I still ask for a raise?

I've been here before. What I did was ask for the raise because it can't hurt to ask. When it became clear that they really could not give it to me, I suggested extra vacation time effective immediately and a salary review in six months. In six months, the company was in better shape and I was able to get the raise. If vacation time isn't doable, amtho's above suggestion of bonuses tied to projects sounds good too.

Ask. "You will always miss 100% of the shots you don't make." - Wayne Gretsky The worst they can do is say no.

Sympathy for management problems is the last reason I'd be willing to accept a lower-than-market wage unless *I* was the management problem. The circumstances you describe sound like an excellent reason to look for another job now. If you find one, then the choice that makes sense for you is likely to become much clearer.

I hope I didn't miss this in somebody else's answer, but: If they don't have money but still need you, ask for something besides money. Take a part of the company or an option on future revenue from Thing or whatever. Keep in mind that a future expectation is not as valuable as a present asset, so when they say "oh, but the thing you're asking for will be worth so much more in the future!" the correct response is: "then take out a loan on that and give me the money."

Ask. If they can't afford a raise they will tell you, but why would you rule it out preemptively when you think you deserve a raise?

If you really, really believe they don't have any money, I would pro-actively tell them you do not expect a raise because you are aware that they are in difficulties. This will by you a ton of (short term at least) good will that will come in handier and probably more profitably in the long term. No. Dont do this. Working for less devalues you in future positions and drives your entire market down. If your are a driver of Things and wearing many hats its MUCH cheaper to bump you then start anew. If you don't own the company or a piece than its not your job to worry about affording you. That's their job. Prepare for them to say no. Prepare for them to go down the tubes. Prepare your resume etc. But absolutely ask for what you think UA fair when considering workload, your contribution, the larger market and competitive salaries. 100% be clear and direct about a new higher number.

It may be cheaper for them to renew your contract at a higher rate than it would be for them to find a replacement. Ask for a raise. Be cutthroat.

I suspect that, in the coming cuts, I'll be expected to take on more responsibility, which is why they're keeping me around ... I'm currently the lowest paid thing-maker in the thing-making department. More work and already low pay means that yes, you should be asking for more money. Are you contracting through a company that's skimming off a percentage of the money? If so, see if it's possible if you can become a 1099 (or whatever the equivalent in your country might be) employee and keep all of the money for yourself - that could be a way to put more money in your pocket without raising their costs by that much. Complicating factor: as soon as my Things are made I intend to actively look for another position. Making more money with the renewal of the contract means you can potentially make even more money with the next position - this is generally a good thing as long as you don't price yourself out of the market. Most people's salaries rise until about their mid-30s and stay around that level. You should always be trying to make sure that you're curving up, because a year without a raise in your mid-20s will have big affects on your lifetime earnings. I'm already doing the work of several people (NB: I actually kind of... love this?) I'm guessing you're still pretty young? Be careful, managers love people who will burn the candle at both ends for little pay, and while it can be fun and intoxicating for a while, it will also wear you out eventually. It can even hold you back if you become too valuable doing lots of lower level work to let you move into more advanced stuff. There are exceptions, but it will rarely pay off for you (it's already paying off well for them) unless you are actively advocating for yourself and your advancement, both financially and professionally. Loyalty, good will, and future consideration aren't really worth much in today's business environment, particularly when you're a contractor.

Ask. What they'll do is counter with what they can afford, and you can decide if you want to take that offer. They value your work and have told you that you're secure, so asking won't be much of a risk, and could pay off.