You’ve got the job, congratulations! But have you got the salary and compensation package you deserve? Often people put so much work into successfully completing the interview process they settle for what’s offered when accepting the role.
But, before you do start the conversation, is it even a good idea? Yes, according to a survey from Fidelity Investments, which found that 58% of people accepted the initial offer at their current position without negotiating. But the tactic works: the survey also uncovered the fact that 85% of people who asked for a better offer on salary, other compensation or benefits, got at least some of what they asked for.
So, when you get a job offer and you’d like to see those salary figures go northward, there is absolutely a case to be made for going back with a fully prepared case for negotiation, and watching as the offered salary increases. We also know that talking about money is something that makes a lot of people uncomfortable, so read our four-point tutorial below which covers everything you need to know about negotiating a better package.
Oh—and good luck.
Research Is King
We’re sure you know what you’d like to earn, but before you enter a salary negotiation it’s important you understand your market value. What is the salary scale for your experience within your industry and where does the job offer fall on that scale?
Secondly, what is your personal market value? Have you completed any recent training or upskilling courses, do you have more experience than the job requires or will you bring an extra layer of knowledge to the role? If this is the case, then you need to factor all of these things into your compensation conversation. Additionally, this also means that you are starting negotiations from a really solid base.
Establish Your Talking Points
Okay: you’ve done your research, you know your market value and have some flexibility on the figure you want. Now, establish your talking points. The fact remains that for the majority of us, talking about money and negotiating a higher salary is uncomfortable.
Having some key talking points prepared ahead of time makes things a little easier. Not to mention, having all your information at hand will mean you appear really prepared to the hiring manager. And to a hiring manager, being prepared equals a professional, organized person they’d like to hire
Starting with market averages, you can then bring in your additional experience, elaborate again on wins you were responsible for with your previous employer. End on why you are the most qualified person for this role. If necessary, translate your previous wins into profit, and end on your value. Practice this at least once before you jump on your call to seal the deal.
No Is Not The End
If the hiring manager says no to your request for a higher salary, you can still take it as a jumping off point for further negotiations. Financial compensation may be off the table, but what other benefits can be added to the overall package to make it more attractive?
Additional benefits are valuable. In fact, according to Qualtrix, 79% of workers would choose additional benefits over a pay raise. Differentiate these from perks, which include things like in-office happy hours, games’ tables and company socials. All nice to have, but hard to quantify.
You’ll derive real life value from a workplace that can offer a mix of flexible working, good, flexible annual leave (and can you negotiate more paid time off), training and development, life insurance, wellness and health benefits.
Plus, can the company increase its pension contribution, can it offer equity or staff stock plans? Remember, no is not the end of the conversation, it’s a detour into something else.
Set Your Hard Limits
Salary negotiation is essentially a back and forth between you and the hiring manager, and good negotiators set their hard no even before they begin. What figure will you settle for, what figure will you not go below and what benefits are important to you. If you have your hard nos decided ahead of time, you won’t get distracted by benefits that are of little impact to your day-to-day life—like pizza parties for example. Set your hard limits and don’t budge, because the right job will come.
Finally, be prepared to walk away. If you can’t get a package that works for you, and your figure is realistic, then you need to be prepared to reject the offer and look elsewhere.
This article was written by Aisling O’Toole and is part of a collaboration between NextPit and Jobbio. Find out more about the partnership between NextPit and Jobbio here.