Salary Negotiation
Planning Your Salary Discussion
- Review all current bills and anticipate expenses to determine the minimum cash requirements to meet your financial needs.
- Clarify the “average market value” of your position in the current employment market
and the specific employer.
- Research current salary trends | glassdoor.com, salary.com, onetonline.org
- Review salary surveys from professional journals, the Bureau of Labor Statistics, state labor offices, jobsmart.org, etc.
- Consider the cost-of-living differences of major cities.
- Determine a realistic “dream” figure. Select a salary that would cause you to celebrate but not price you out of a job.
- Establish a salary range. Average market value at the bottom and dream at the top.
- Determine if the salary offered is current with current economic trends in your industry and experience level.
When to Begin Negotiating
Although you should determine the desired salary range before an interview, DO NOT initiate a discussion of compensation during the first interview. Instead, use the initial interview to focus on the assets you could provide to the organizations rather than what it might provide for you. If an employer broaches the subject of salary in your initial interview, do not evade the discussion.
The ideal time to begin salary negotiations is after a job offer has been officially extended but before you accept the offer. Before receiving a job offer, there is nothing to negotiate. The interview phase is the process of learning if you would be the best candidate for the position. Once the employer has extended the offer, it is clear that the employer is convinced that you are the best candidate.
Benefits
In evaluating the value of the overall compensation package, the value of benefits should not be overlooked. The following list mentions benefits common to salary offers. Remember that you may attain some of the one-time benefits by negotiating them into a salary offer that you initially judged as inequitable.
- Paid Sick Leave
- Paid Vacation
- Insurance
- Retirement
- Flex Work
- Relocation Assistance
- Car Allowance
- Tuition Assistance
- Child Care
- Professional Development
- Guaranteed Promotions
- Expense Account
General Responses to Salary Offer
Accept
Thank you for the XYZ position offer. I am excited to formally accept this position and look forward to joining the ABC Company team. Please let me know a time when I can touch base with you about the next steps in the hiring process. Again, thank you for your time and consideration.
Decline
Thank you very much for the opportunity to interview for the XYZ position. ABC is an impressive company, and I enjoyed learning more about this position and the many exciting things on the horizon for your organization. I want to let you know that I have made the difficult decision to accept another position more aligned with my long-term career goals. Thank you again for your time and consideration.