Read these 14 Salary Negotiation Tips tips to make your life smarter, better, faster and wiser. Each tip is approved by our Editors and created by expert writers so great we call them Gurus. LifeTips is the place to go when you need to know about Resume tips and hundreds of other topics.
There are a multitude of reasons that employers cite to justify their refusal to raise salary offers. Here are a few of the popular ones:
• Your insufficient experience
• The similarity of the offer to other salaries within the company
• The similarity of the offer to salaries for competitors' employees
• Limited budget
• Weak economy
Prepare yourself to counter these justifications.
Getting paid what you are worth is a huge challenge when doing a job search and when asking for a raise in your current position.
You may need some suggestions about how to ask for what you are worth. Find information online and learn techniques from salary negotiation tips. Be confident when asking for your desired salary and when negotiating with your boss to get what you deserve. Become knowledgeable about salary negotiation timing, roadblocks, offers and counter-offers with salary negotiation tips!
Try to find a good time to ask for a raise. Here are few examples of good opportunities:
1. Obviously, the opportunity for a raise should be ripe during scheduled performance reviews. Use these opportunities to enumerate the reasons why you should get a raise.
2. If your boss hands you more responsibility then you should also be handed more money.
3. If business has been good for the company then the boss has more leeway to be good to you.
4. Ask for a raise immediately after orchestrating a successful venture.
Entry level salaries are typically not very negotiable. A company will typically establish a narrow, finite salary range and will only vary, if at all, a few hundred dollars from the original offer.
Mid-level salary ranges, however, may offer the opportunity of salary negotiation that is 10-20% higher than the original offer. Additionally, you may be able to negotiate a signing bonus, stock shares or options and other benefits.
It's more likely that you will gain more respect from the employer, not offend the employer, if you try to negotiate a higher salary.
Asking for more money leaves the impression that you are valuable. Don't be concerned that the employer will summarily dismiss you if you ask for more money. The employer offered you a job because you were the top choice, so find out how badly the employer wants you.
Some jobs have fixed salaries with no wiggle room. Others would like to look that way, but they have some room to push the envelope. Find out in the first interview what the "range" is. Most importantly, don't answer the question in any direct way about what salary you will accept. If you get this question, say that you have a range, depending on a number of factors. Then throw the range question back at them.Don't get stuck in any salary negotiating until an offer is imminent.
There are several viable ways to encourage an employer to raise a salary offer.
1. Explain that you are asking for more money out of necessity, not greed. Cite specific examples as to why a slightly higher salary would be critical toward helping you meet certain cost-of-living expenses. For example, think about your commuting costs. If they are higher, that is a perfect reason to ask for additional compensation.
2. Tell the employer that although you are very interested in the available position, you have also received offers from competitors that are slightly higher. Do not bluff.
3. Explain that the offered salary is on the low end of the industry salary range and that your skills and experience justify a salary that is at least in the middle of that range.
Remember, salary is only one element of a job compensation package. Here are some other benefits that you evaluate when considering a job offer:
• health/dental insurance
• paid vacation
• paid sick leave
• retirement savings plans
• tuition reimbursement
• stock options
A generous compensation package can make a modest salary seem more attractive. In reality, all of these add-ins are factored in to your salary by your employer and add up to a hefty percentage of your overall value.
Here are a few marketplace factors to consider before negotiating salary:
• number of qualified applicants versus number of jobs in the marketplace
• typical salary range for specific position
• state of the economy
• current health of industry
• success of particular company as compared to general industry
• cost of living in specific job location
All of these factors can affect a company's ability and/or willingness to pay a higher salary.
Salary negotiation skill is critical toward getting a raise, but even the best negotiator won't get a raise without being a good performer.
It won't be enough to simply work harder; you need to improve in critical areas. Ask your boss for periodic feedback regarding what you need to improve on and focus on those areas.
Be positive when you get that feedback, because people that can take constructive coaching and build on it, are worth their weight in gold!
If an employer fails to give you the salary that you seek, you may try to restructure the salary review process. Ask the employer to give you a six-month salary review instead of a one-year salary review. Although it is a risk, this may enable you to get a raise sooner.
Tell the employer that you're very interested in the job, but will need some time to consider the offer. You should take at least one day to consider the offer, but several days would be ideal. Taking a day or less to respond will not allow you ample time to evaluate the necessary factors for developing a counteroffer, and it will also imply eagerness on your part, thereby weakening your bargaining power.
Using a salary calculator is a simple and fairly accurate way to estimate a market's salary range, but there are several other reliable methods.
1. Compare job listings.
2. Contact employment agencies or executive search firms.
3. Call professional associations.
4. Review trade periodicals.
5. Examine free salary surveys online.
Knowing your market value is the first step towards getting paid what you are worth.
The first thing that you shouldn't do after a receiving a job offer is to say “okay.” Just like when you're negotiating the price of a car, you shouldn't accept the seller's first offer.
This is step one in the salary negotiation guide. The employer is trying to get the most for her/his money, so it's quite likely that the employer can afford to pay you more. Think about the offer for 24 hours and then talk about what you need vs. what they have offered.
|Jennifer Mathes, Ph.D.|