“If you want to maximize your pay, the cardinal rule is: Do not bring up pay, if you make yourself desirable to them, your offer will be higher.”
Tessa White, The Job Doctor
Salary negotiations are an art form. Stepping up to the plate to negotiate a worthy stipend for yourself can be intimidating. You will often be bogged down by questions such as; How much should I ask for? Am I asking for too much? Too little? Is this enough? What if they say no?
Worry not, this article is for you. To guide you through the, can be a treacherous journey, of negotiating a salary.
How much is your worth?
For recent graduates, you might not have a lot to showcase at first, you still have positives. Pitch your work ethic and enthusiasm. At the very least, ask for ten percent more than what was offered; if it was below market rate. For those who are looking to transition out of their current job, ensure that you research how your experience and skills are valued across the industry in which you have applied for a job. Moreover, figure out what the company or others like it, pay current employees; either through publicly available information or by networking with current or former employees. Remember to ask for a raise before you leave.
For those seeking a raise, evaluate the new skills you may have gained, your input to the company and the benefits you have brought them. Base your new salary range on that. Choose your moment; new available positions, an expanded job description and a bigger workload to name a few. Schedule a discussion with your boss.
What are you negotiating?
Unfortunately, many people tend to only negotiate salary and bonuses. Consider additional compensation, like bonuses and perks that have monetary value: insurance, medical coverage, leave days, remote working and mileage among others. Remember to list those when you negotiate the salary on your new job.
How to determine your salary range
1. Define the low point. How much do you need to make ends meet and would accept if there was no better alternative around the corner?
2. Define the midpoint. How much people like you make. Be real, consult the research you’ve done.
3. Define the high point. That’s your dream pay - one that would make you feel like you got a raise before you even started.
Forget the low point - you don’t want that. Your salary range is between your midpoint and your high point. Use that range when talking to current or prospective employers.
Don’t bring up your salary
Throwing out the first number, might be negotiating against yourself, since it is possible the employer would be willing to make a higher salary offer than what you propose. If the employer directly asks how much money you would like to make, respond by asking what the budget for the role is.
If they ask for your current salary, consider deflecting with;
“My employer considers employee compensation to be confidential. As I’m sure you understand, access to this information is limited to inside management. So, unfortunately, I’m unable to share it with you. However, if you share the salary range for this position, I can confirm that my salary is within that range or not.”
Bottom line is, try as hard as possible to not present your figure first.
Make all your requests at once when negotiating.
Avoid negotiating each benefit individually so that you are not constantly requesting new terms. While adjusting the offer, divide your requests into hard and soft categories.
Anything related to pay and bonus options should be negotiated together, as part of your hard requests. Once you have reached an agreement on those, move on to the softer requests like leave days, flexible work and job title.
Selling yourself
When negotiating, start by explaining what is in it for the other party. Detail at the start and at the end how hiring you is going to benefit your potential employer. Give specific examples of value you’ve given to employers in your career.
When asking for a raise, detail your accomplishments.
Negotiating Tips to Keep in Mind:
Don’t make demands, ask questions instead. To make the exchange feel like a win-win solution and to honour your potential new manager’s authority, form your requests as a question. For example, if asking for a higher salary, form your question like: “Based on my specific skills in [state technical skills], I was expecting a higher starting salary. What can we do to increase this number?”
Negotiate with the right parties. Know who has the ultimate authority to make negotiations. It isn’t necessarily HR.
Be prepared to walk away. If the offer doesn’t meet your expectations in areas important to you, you may be better off declining the offer. You may be bitter or resentful if you accept less.
Keep quiet and always wait for an answer. There’s an old saying, she who talks first loses. When you propose your salary number or your item to negotiate and your desired terms, do not talk. Wait for the response.
Leave your emotions outside. This is a business transaction. Do not let your pride, fear, uncertainty, or any other emotion impact what you say or do.
Be honest and confident in your value. Remember, the company is lucky to get you and your skills. They’ve invested a lot in this process and they do not want to start over unless they must. Remind them of the problems you will solve.
Use your research information. If you know the company has made exceptions in vacation policy, use it to your advantage (without naming names).
Smile. You have to be positive and likeable. It also reflects how you handle stress on the job!
Get it in writing. When all is said and done, be sure you get the agreed terms in writing before you start.
Lastly, be confident in your delivery. If you don’t believe your worth, no one else will. Leave the negotiator understanding why you’re worth the money.
All in all, we at Café Construct wish you success in getting paid what you are worth.
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