Negotiating salary is one of the most challenging — and often most feared — parts of a job search. Yet learning to be a smart negotiator can pay actual dividends when it comes to your compensation, as well as your future earning potential.
[See: 15 Awesome Jobs That Pay More Than $90K.]
While negotiating job offers is an important part of the process for candidates of both genders, improving this skill can be particularly important for women, since research has shown that women are less likely than men to negotiate for higher salary. What’s more, a new report from PayScale revealed that in 2016, women still earn less money than men — 76 cents to a man’s dollar when comparing median salaries for all men and women, no matter the job type or seniority of the employee.
Here are some tips that any job seeker can use to increase their salary-negotiation savvy this year and up their income:
Time it right. Many job candidates feel confused about the best time to raise the sticky issue of how much a position pays. While it may seem like basic information that you’d love to know at the outset to help you gauge your own interest in pursuing a job, the fact is that bringing compensation into the conversation too soon can keep you from landing the opportunity. You should avoid asking about salary and benefits during the initial stages of your job search, such as the phone screen and early interviews. Potential employees shouldn’t mention money until the end of the interview process, after it is clear that the employer is committed to hiring you, or you have an offer in hand.
[See: 10 Ways to Perfect Your Personal Brand.]
Don’t commit to a number too early. You’re playing by the rules and making sure to steer clear of premature salary talk on your end. But what should you do if an employer asks you about your salary expectations early in the process? This is a common scenario, since the employer isn’t bound by the same constraints as potential employees when it comes to timing the salary discussion. It would certainly help the employer to be able to pin you down to a number, but it’s not in your best interests to commit to a salary — or even a range — too soon. Instead, try to deflect the question by shifting the focus back to the type of position that you’re looking for. You can respond to the question with a general statement that mentions no numbers, such as: “I trust that if the job is the right fit, the company will make an offer that’s fair for the industry and position.”
Be smart when sharing current compensation. Sometimes an employer won’t let you off the hook that easily, and may press to find out more about your current compensation in an effort to benchmark your salary band. It’s important to answer factual career background questions like this honestly, keeping in mind that if the employer finds out that you haven’t represented your current salary truthfully, it could affect your chances of getting hired. However, there’s a way around this issue that can help you avoid getting pigeonholed into a lower salary band when you’re hoping to achieve a significant increase in your salary at your next job. The best practice here is to share the number related to your total compensation package, not just your annual salary. So for example, if you make a $60,000 base salary but also receive an annual bonus and have other equity — such as shares of stock — in the company, share the value of your whole package rather than just your base. (Be clear, however, in communicating this so that it doesn’t sound like the number you are stating is your base salary.) You might also count overtime pay and the dollar value of certain parts of your benefits package, like health insurance, toward the number that you share for your total compensation.
[See: 8 Important Questions to Ask a Job Interviewer — and Yourself.]
Use research to support your vision. When it’s finally time to put numbers on the table for your desired salary or compensation package, arm yourself with some information first. Use industry research and your professional network to learn about average salaries for your level and location. If you’re hoping to increase your salary beyond an incremental step up, be prepared to justify that request with facts. For example, after sharing industry averages based on the data that you found, have reasons ready to explain why you believe the amount you’re requesting is fair. If the employer knows your current salary, you might add reasons such as the fact that you took a lower salary at your last company because you were willing to sacrifice some for equity and benefits, if that’s the case. Using research to back you up, explain exactly why you feel it’s appropriate to make more in your next position.
More from U.S. News
10 Things Your Mom Didn’t Teach You About Job Searching
10 Ways You’re Inadvertently Broadcasting Your Job Search
The 8 Stages of a Winning Job Search
Stumped on Salary Negotiation? Try These Tips to Make More Money in 2017 originally appeared on usnews.com
