Negotiating a higher salary may make you feel like you’re overstepping or asking for too much. But the reality is that standing up for what you deserve is perfectly acceptable and even expected in the workplace.
Many employers anticipate job applicants and current employees will negotiate their salaries. By not doing so, you could be leaving thousands of dollars on the table.
Here’s how to negotiate your salary without losing the job opportunity or burning bridges:
— Know when to negotiate salary.
— Determine your value as an employee.
— Negotiate salary like a pro.
— Refrain from sharing your salary history.
— Consider other employee benefits when negotiating salary.
[See: 25 Best Jobs That Pay $100K.]
When to Negotiate Salary
Generally, the best time to negotiate salary as a job applicant is when you have the written offer letter in hand. Here’s why: You have more negotiating power and leverage when you know an employer already wants you. Plus, most employers expect that you negotiate during the onboarding process. So if you’re unhappy with the offer, ask for more.
And if you’re wondering whether you should have another job offer lined up before negotiating salary, you don’t necessarily need to, “especially if you have already proven your expertise, and the company recognizes you as an ideal employee,” says LaShanda Houston, certified career coach for New Heights Career Services.
While some job seekers may hesitate to ask for more money out of fear of losing the offer, Houston says that most companies are prepared for these negotiations and are unwilling to lose a top candidate who has already demonstrated value to the organization.
What if you enjoy working for your current employer but feel you deserve a salary boost? Don’t worry. You can usually negotiate higher pay during your annual review or promotion. You can also ask your manager to revisit your compensation if it’s been a year since your last pay raise.
How to Determine Your Value as an Employee
It’s tempting to settle for less and accept any job offer that comes your way when you don’t know your worth. So before heading into the interview process, determine your value as an employee and understand what you bring to the table. With this information, you can confidently negotiate your salary and maximize the chances that you’re compensated fairly for your skills and experience.
Find out what kind of salary your potential future employer may offer for someone with your experience level by using online resources such as Payscale, Glassdoor and Salary.com. For tech-based roles, look at Levels.fyi and Comparably.
“Every company will have different compensation ranges that are usually specific to the type of role and location,” says Brandon Bramley, founder of The Salary Negotiator. That’s why you must conduct compensation research to understand your role’s pay range, the strength of your current compensation, and how much you should ask for.” He recommends using at least three resources and not relying on just one as the authoritative resource for what the role should pay.
How to Negotiate Salary Like a Pro
Once you’ve determined your market value as an employee, it’s time to negotiate. Bramley cautions that salary negotiations are not as straightforward as the old-school bartering techniques you may see on TV where one throws out a high number and the other a low number, then both parties arrive at the middle point between the two numbers. Instead, he says, “Salary negotiations are much more successful when taking a data-based approach and placing your ask at the top end of your company’s pay band.”
Remember: If you share your salary expectations before you know the company’s budget, you risk pricing yourself too low or too high. To gain the upper hand, always let the employer make the first move when it comes to salary negotiation.
Body language expert Patti Wood suggests using silence as a powerful negotiating tool. She notices that many job applicants tend to jump in and add comments whenever they notice awkward silences during salary negotiations. However, she says, “Silence makes most people — including the interviewer — uncomfortable. So, if they make a low offer, stay silent to show your dissatisfaction. Doing so will force them to fill the silence, sometimes leading to a higher offer.”
And while you can negotiate your way to a fatter paycheck via email, having the conversation over the phone or in person makes it harder for employers to say “no.”
Of course, you should always choose the method that feels most comfortable to you. After all, a shaky voice and nervous in-person presence can easily lower your chances of getting a better offer.
Examples of What to Say When Negotiating Salary
Feeling nervous about bringing up compensation with an employer is natural, especially if you’ve never negotiated in a professional setting. Here are some examples of what to say in different salary negotiation scenarios so you get the salary you deserve.
Scenario No. 1. The recruiting team presses for your salary expectations early in the interview process.
What you could say. Bramley suggests that you deflect the conversation by providing a response along the lines of: “I have been focusing on the interview process and haven’t given much thought to compensation at this point. Therefore, I am not comfortable sharing my compensation expectations. But I would appreciate it if you could tell me what pay your team has in mind for this role.”
Scenario No. 2. You received an offer from the company, but it’s much lower than what you had expected.
What you could say. In this case, career and leadership coach Danielle Leigh recommends framing your answer like this: “That’s a bit lower than what I was expecting. Based on my research, the fair market value for this role would be closer to $X to $Y. Is there any way to bring the proposed salary closer to that range?”
Scenario No. 3. The employer’s salary range for the role aligns with your expectations, but you want your compensation to be on the higher end of that range.
What you could say. To hit your ideal salary target without slamming doors shut, Leigh suggests saying, “I’m very excited about this opportunity, and I know I can add great value to this organization. Based on my skills and X years of experience in this industry, I’d see myself on the higher end of the salary range we discussed. What would it take to make that happen?”
[Related:The Best Companies for Quality of Pay]
What to Do if an Employer Asks About Salary History
Instead of disclosing your salary history, try saying something like this: “My total compensation packages have varied throughout my career, and I can say that the posted salary range for this role is something I’d be comfortable with.” Or say, “I’m happy to elaborate on my compensation requirements, but I’d first like to learn more about the role.”
Keep in mind that in “In many states, an employer cannot ask you how much you made at a previous job as it violates state employment laws,” says Chris Zaccaria, Forbes.jobs recruiter and founder of CZ Consulting.
Even if you interview in a location where the question is legal, you should still avoid answering it outright since it could put you at a disadvantage when negotiating your salary.
Employee Benefits to Negotiate Besides Salary
When it comes to salary negotiations, employees tend to have their sights set on one goal: a higher base pay. But they often forget to negotiate the other nonsalary forms of benefits and perks that also add significant value to their lives.
For example, remote work arrangements not only provide flexibility in your schedule but also helps you cut back on expenses such as child care and commuting. So besides negotiating your base salary, consider the following employee benefits as well:
— Professional development. In many industries, such as law and medicine, employers may reimburse you for professional development courses to help you maintain and sharpen your skills.
— Remote work arrangements. Working from home full-time or a few times a week can save you time and money commuting. Consider negotiating a remote work arrangement if it appeals to you.
— Vacation time. Vacation time is often negotiable, and you should think of it no differently than any other part of your compensation package.
— Child care reimbursement. Child care costs can add up quickly. If you’re a parent, don’t forget to consider child care benefits when negotiating your offer.
— Equity. If you’re joining an early-stage startup, for example, the amount of equity you have can significantly affect the size of your take-home pay. Just be sure to perform your due diligence on the company’s financial health before negotiating.
— Severance package. A severance package is a combination of pay and benefits you’d receive if you’re fired from a job for no fault of your own. Negotiating this benefit ensures you have a safety net to fall back on should the unexpected happen.
— Early salary review. Most employers review your salary once a year. But if you can negotiate an earlier salary review, you may be able to climb the pay scale much faster than your colleagues.
[See: The 25 Best Jobs of 2023.]
Salary Negotiation Do’s and Don’ts
Many workers avoid negotiating their compensation for fear of upsetting the employer. But you won’t get the pay you desire if you don’t ask. Here are the do’s and don’ts of salary negotiations to help you tactfully navigate this conversation.
Do’s
— Do ask for a range (and not just a number). It’s often easier to negotiate within a range as opposed to a fixed number. So always give a range when you’re asked about salary expectations. Just make sure the lowest number is still one you’re willing to accept.
— Do demonstrate your value. When countering an offer, it’s helpful to provide concrete examples of how you’ve brought value to an organization. “This can be in the form of quotas achieved, deadlines met, projects completed or colleagues coached,” Zaccaria says. “The stronger the correlation between your salary and your capabilities to deliver, the better,” he adds.
— Do follow up. If you negotiated with an employer face to face or over the phone, send a thank-you email after the conversation to express your gratitude for the offer and enthusiasm for the role.
Don’ts
— Don’t neglect the other perks. Employee benefits like remote work arrangements and child care reimbursements can translate into more money for you, so don’t forget to negotiate these perks.
— Don’t act arrogant or pushy. While many employers appreciate confident individuals, there’s a fine line between assertiveness and arrogance. Always approach salary negotiations with an open mind and appreciative attitude. Focus on the value you could bring to the company and politely explain why you believe you’re worth the salary you’re asking for.
— Don’t be afraid to ask for what you deserve. Bramley has personally helped facilitate hundreds of salary negotiations and has never seen a company pull a job offer because a job applicant tried to negotiate their salary. “I believe salary negotiation is a risk worth taking, and I strongly encourage everyone to negotiate a job offer before accepting,” he says. So, if you know you’re worth more than an employer offers to pay you, don’t be afraid to counter it.
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How to Negotiate Salary and Succeed originally appeared on usnews.com
Update 07/17/23: This story was published at an earlier date and has been updated with new information.
