Job and Employer You like and Boss You Can Never please-What to Do

Salaries are in a downward spiral everywhere right now. I would not be pushing for a merit increase. Being paid less in some situations can be a good thing. When it comes to layoffs, it's worth it for the company to fire the more highly paid employee. It's saved me more than once.
There are some tough bosses out there. (I had one who was insane).
Sticking it out and out living them job wise is sweet.
Keep your eyes open for a lateral move within the company and you might be able to leave your current boss in the dust. As for mistakes you've made, accept them as lessons learned and try not to make those same mistakes again. Good luck!

In smaller companies the employees that have been there longer tend to make more than you. Not something you should really take issue with. Furthermore taking issue with it could get you into trouble so tread lightly.

I had and to some extent still have a boss from hell. I am a very happy person and quite content with my life. She is unhappy all the time and derives some happiness by making everyone around her miserable. Which life would you rather live? I will take mine over hers any day of the week and it is this knowledge that keeps me going. :)

I call her a happiness black hole. She sucks all happiness from a room just by walking in. Ironically she thinks that is a sign of her superior management skills since people tend to stay happy even when I am telling them they did something wrong. I guess she missed the class where they taught us that an unhappy worker is an unproductive worker...oops....and we went to the same university.

I guess my point is keep things in perspective. Find your happy place like I did. Eventually you do get out from under those awful people, ya know?

Is there upper managment that you can talk with about this manager? That would be the only option I see with out making things super awkward/making her hate you more.
As for the money thing, you are going to have to ride out your current pay till you have improved greatly and haven't made any major mistakes. At your next review you could then bring it up, if they say nice things. Other than that, I wouldn't make a move with the money. It is such a hard thing to try and get a new job out there now, that they could replace you in a heart beat. Always remember that.

Let me just play devil's advocate here for a second...you say that you have made some mistakes. Can you honestly say that you do your best job every day? I would take a good look at myself if I were you and evaluate my strengths and weaknesses. Think about-Do you have a good attitude towards your boss and other workers? ARe you on time? ARe you able to accept criticism? I would also look at myself and my job performance compared to the people who your boss seems to favor. Can you look at them and figure out why she perfers them? What do they seem to be doing that you are NOT doing. If it is only kissing your mgrs butt-then maybe you should take a page out of their book-look where it has gotten them. Just some things to think about.

Tell your boss what you just told us-be frank and open-the results may surprise you.

A few ideas:
•Schedule an appointment and talk to your boss
•Tell her you would like added responsibility
•Tell her you are interested in new projects
•Tell her how much you value your job and how much you enjoy the work you do there.
•Tell her you are eager to learn new things and take on more challenging tasks

I have a similar problem Read some articles on dealing with a difficult boss, and "managing up" to get some ideas then see what works in your situation with your boss

K.,
Sounds like you and I work for the same company, and I am in the same situation... well... I was until a year ago. My manager hated me and made my life miserable in every way she could without firing me since firing is not in the culture at this organization. I was written up too - even for things I didn't do, if you can believe that. it makes it very hard for me to make a move in this organization because of course they will look at my personnel records...
So I got lucky though and they hired a new manager for my area and she is great. She is only a tiny bit colored by my past situation... but at the same time, since my manager is still here, I still have to interact with her and she is still awful, and still makes my life terrible whenever she gets an opportunity, and now she also tries to involve even more managers, which is irritating to everyone. I just try to avoid her. It's best for everyone. But I can't do that all the time, and I can't possibly be as crafty as she is at creating little traps for me to fall into.
I have gotten to the point that I don't care any more. I feel like if I lose this job, it was meant to be, and I will find other work. I just try to keep my head low and my mouth shut, and I do anything to avoid her.
So in short, time may change things - you may get another opportunity to apply for another role... or your boss may move to another position, or you may end up reporting to someone else. Make friends with other managers to create other job opportunities and other potential good references. You may find someone who can look at your experiences differently and give you some coachign on dealing with her or your situation. At my organization we have an ombudsman for that, and she is awesome. Be the best you can be, don't let her turn you into a sourpuss for everyone else. Just keep quiet around her and do what she asks, and go above and beyond for others whenever you get the chance. Hang in there, time changes things.