Negotiating Salary Tips
Negotiating salary or negotiating anything: He who cares less wins! This is a lesson I learned from a clever negotiator.
This is why when you are leaving a job it is easier to negotiate a higher salary. Don’t wait until you are so fed up with a job that you resign, try negotiate your salary and other benefits before that stage. Also going to interviews when you aren’t particularly interested in the job, because you already have one is a great way to build your confidence and get better at negotiating salary.
Probably the area where negotiating will have the biggest impact financially to you is negotiating salary. So I will talk about salary. These negotiating tips can also be applied to buying a car, a house, or something from a market stall.
First realise everything is negotiable and it is normal to negotiate salary in the interview process. It is okay to ask for more money if you can justify why. Your manager will respect you more if you negotiate and if you are worth it. People want to pay more for the best.
Negotiating Salary Tip
Research, you need to do your homework and find out what the going rate is and assess your skills. The more research and evidence you can find the better. This will build your confidence and help you know your value to the company. Find the average salary for your target position, the average at this specific company and in your geographic area.
Explain your reasoning on why you came up with that number, even if your request is denied they will admire the forethought and research.
How to Negotiate a Higher Salary
If in a job interview and you are offered the job with £40,000, now is the time to negotiate. If the salary is lower than what you want or expect this is your time to talk about it.
Don’t get defensive and say ‘No’.
Here is a sample of what you could say:
First of all, I appreciate it and I am eager to start here. After talking to X and Y I know that I can make a big impact and I know that I have a lot to learn. I actually think we are in the right ballpark, but based on my research and my experience the number that I would be more comfortable with is £46,000.
Benefits of this approach
- Non adversarial
- It was about us
- I’m eager
- Based on my research, I didn’t just pick a number
Negotiating Benefits as well as Salary
Think beyond money and be ready to negotiate for more than just the base salary. I once negotiated my bonus away and got it included in my salary. I had a higher salary but no bonus, this worked out well as nobody got a bonus in 2008!
Get creative, many peripheral benefits are negotiable. Extra vacation days or flexible working hours, working from home, or a better health plan.
Give up X per year in exchange for being able to work from home two days per week. Pick Monday and Tuesday as your days off, nobody works hard on Fridays!
Don’t be afraid to ask, the worst thing that can happen is they answer ‘No’ and you keep negotiating.
Negotiating Salary at your Current Job
During your next annual review or if you think you deserve more money now, bring it up.
Don’t start from your current salary, and add an amount or percentage, use the research numbers instead.
You may not get all the things you want, but you could get something and you should at least try otherwise you might be leaving money on the table.
If you need some advice for your next interview, read my article about people skills and interview tips