Let’s face it: You won’t always see a salary listed under a job posting. (Sadly, “generous” is open to interpretation.) Finally learning the salary as part of a job offer can be a serious relief — or a serious bummer.
If you’re looking at a salary from which a digit has seemingly gone missing, negotiation may secure you a better pay rate or benefits package. While significant adjustments may be impossible, you owe it to yourself to try. After all, you’re seeking reasonable compensation to begin your professional life with security and confidence.
Here are some steps to help you through a salary negotiation:
1. Talk Compensation Early
Interviewing for a job is like going on a first date. You want to make the right impression — and decide whether it’s the right fit.
Broaching salary during your first meeting with the employer helps both parties avoid wasting time. No one wants to invest a significant amount of time only to find out the pay range is a deal-breaker. Setting expectations for pay lays the foundation for a productive negotiation once you are offered the role.
- Ways to start:
- “What is the starting pay range?”
- “I’ve seen similar positions to the one we’re discussing that range from $$$$$ to $$$$$.”
Pro Tip: While confirming salary during the first meeting can be beneficial for both parties, it’s best to avoid formal negotiation until after receiving an offer — you don’t want to distract from your desire to contribute to the organization.
2. Assess an Offer and Develop a Counteroffer
An offer formalizes the organization’s desire to hire you and outlines what you can expect should you say “yes.” Understanding the details will help you decide how to proceed.
The offer should specify the following. Be sure to mention any missing items to the employer.
- Job title.
- Pay rate.
- Work schedule.
- Start date.
- Benefits.
- Decision deadline.
Once you have received an offer, it’s time to evaluate it and decide whether to negotiate.
Your potential salary should be based on your years of experience, education, certifications, and any special training. Conduct research to learn what you should expect and understand the value you bring to an employer. Consider the current economic climate — salary negotiation is still possible but may not be as likely or generous during a tighter job market.
Research pay ranges here:
- Glassdoor.
- Indeed.
- LinkedIn Salary.
Salary is the first thing most job candidates think of when negotiating an offer — but make sure not to overlook benefits. An organization that pays a lower salary may cover a larger portion of health insurance (reducing your out-of-pocket expenses) or provide a better 401(k) match. Likewise, more paid time off (PTO) may be offered to compensate for a lower salary.
Review the offer letter and benefits package to determine whether these items align with your values and needs. Based on what is included, these are the benefits often up for discussion:
- Signing bonus.
- Retirement plan(s).
- Performance incentives (bonuses).
- Relocation assistance.
- Tuition reimbursement.
- Student loan assistance.
- Travel reimbursement.
- PTO.
- Health insurance.
- Flexible work hours.
- Family care benefits.
- Professional and career development.
- Housing assistance.
- Child care assistance.
As you plot your next move in the negotiation, consider what you know about the organization’s culture and reputation. Also, note the location and whether the salary is enough for the area’s cost of living. Consider the commute and whether you would need to relocate. After assessing salary, benefits, and the workplace, you’ll have the information needed to begin the negotiation process.
Compile key items you’d like to negotiate and prepare to explain why you think you deserve a higher salary or an increase in a specific benefit. Use data based on similar roles — and your experiences — to support your requests.
3. Present Your Counteroffer
Negotiation should be interactive. Request an in-person meeting, video conference, or phone call — don’t negotiate via email.
- Frame your request around their needs.
- Look for opportunities to show how a partnership could support the organization’s key objectives.
- Ask open-ended questions to encourage discussion.
- Practice your delivery and posture. Hunched shoulders and crossed arms or legs may make you look unapproachable.
- Keep cool if told “no.” Emotions cloud your judgment. Instead, ask questions to understand their position.
4. Make Your Decision
Know your deal-breakers in advance. If the negotiation isn’t going in your favor, discuss your research and your desired range in a professional manner. Go beyond what your resume reveals. Offer additional concrete examples of how you will add value to the organization.
If the employer can’t deliver on your requests, consider the following as you make your decision to accept or decline the offer.
- Any alternative job offers to this one.
- Your financial ability or willingness to continue job searching.
- The lowest offer you’re willing to accept.
- Your financial and lifestyle needs. Do not compromise on your necessities.
Pro Tip: The employer will likely give you a deadline to respond to the offer. Don’t be shy about waiting to respond if you need time to evaluate your options and process your emotions.
5. Deliver Your Decision
If you have successfully negotiated the offer and secured your requests, it’s time to accept — congratulations! If you have decided to do so right away, you can accept verbally. Make sure to:
- Express excitement.
- Confirm salary, benefits, and start date.
- Thank them and invite questions.
If you took some time to accept, reach out to the hiring manager via email and use the template below as a starting point.
“[Date]
Dear Ms. Smith,
I am excited to share that I accept your offer of the HR Generalist position at [Company] with a starting annual salary of $XX,XXX and health insurance beginning (upon hire, within 90 days, etc.). [Include any additional benefits negotiated.]
I appreciate you answering my questions about the benefits outlined in the offer letter.
I am thrilled to be joining [Company] on [Date] and look forward to being a part of the HR team.
Sincerely,
[Your Name]”
Once you have provided a verbal or written acceptance, the employer may send you a formal offer letter to sign.
If the offer doesn’t accommodate your needs, don’t hesitate to respectfully decline. Here’s how to do so verbally:
- Express gratitude.
- Avoid negativity.
- Include your reason for declining.
Use the template below to formulate a written declination.
“[Date]
Dear Mr. Smith,
Thank you for offering me the HR Generalist position at [Company].
I appreciate your time and consideration. However, [explain your reason for not accepting].
I enjoyed learning about your organization and appreciate the time you took to learn about my skills and goals.
Sincerely,
[Your Name]”
If you decide to decline the offer, don’t allow your disappointment to get the best of you — an opportunity that reflects your goals and meets your needs will be around the corner if you continue to put yourself out there. Furthermore, now that you’ve had experience negotiating an offer, you’ll be a pro next time.
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