Negotiating salary is most probably the one thing that may be currently preventing you from enjoying your current job. Think about it. With increased pay comes better financial security, which ultimately results in better job satisfaction. It is therefore essential that, you make an attempt to negotiate salary.
In this article, we’ll take a look at when and how you should go about negotiating your salary, and we will also cover situations in which you shouldn’t negotiate your salary.
Benefits of negotiating salary
As mentioned above, one of the most significant benefits of negotiating salary is increased job satisfaction. Additionally, if you’re starting a new role, negotiating for a higher salary will result in increased earnings over time. As with each promotion or salary increase, you can expect a higher raise which means future negotiations won’t be as necessary. Additionally, if you consider most job roles have an average salary – most people will typically start on the lower end and work towards the higher end. Take, for example, the salary of a Banking Manager. While the average is $154,262 Per Year, the pay can range from $79,132 to $332,999, which is quite significant. Therefore, through negotiation, it’s easier to receive an increased salary.
When Negotiating Salary May Not Be Appropriate
If you’re not currently employed and are looking to negotiate before accepting a job, think about your experience and qualifications. Additionally, think about the job market and economy along with the company that you’re applying to. Simply put, if the job market is highly competitive and your experience and qualification are similar to others – it’s not going to be easy to negotiate. In fact, recruiters or new employers may simply decline to negotiate and go with another candidate. In that situation, it may be better to accept the job and then delay negotiation till you’re settled into the company and have proved your value.
There are also some jobs, and some industries where negotiating salary is not the norm and may not go down so well. Those roles are usually the following types:
- Entry-level positions
- Low-paying jobs
- Non-profit or social impact organizations
- Government or public sector jobs.
Unfortunately, with these types of jobs and industries, the budget is usually set, which means there’s little to no room for a salary negotiation process.
Strategies for Successful Salary Negotiation: How to negotiate a job offer.
It’s important to have a plan in place when negotiating salary. This will at least help to secure a salary with which you’ll be happy.
Know your worth
Before even selecting a salary goal, you should know your worth. Use sites like Glassdoor or Indeed to get an idea of how much people are getting paid for similar roles. Be sure to check the company that you’re applying for too. This should give you a better idea of what the general salary ranges are.
Do Your Research
Next, get an idea of how much the job role will pay in the long term. Use our site to gather this information. It may be a good idea to scour LinkedIn for other people working in similar roles or who have in the past. Look at what experience and qualifications they had and which companies they worked for. Make sure to compare this with your own experience and qualifications.
Request to negotiate salary
Now ideally, you’ll have gathered all the information required prior to accepting a job offer. However, once you’ve got a salary amount in mind, it’s time to let the recruiter or potential employer know. You can either request to negotiate the salary in person or over the phone, as that would be more professional. However, you can also list your request in an email.
Here are two email templates that you can use to request a salary negotiation – the first is to set a meeting, while the second is detailing the request.
Salary negotiation meeting email:
Dear [Hiring Manager],
I am grateful for the opportunity to work as a [Job Position] at [Company Name]. I appreciate the offer and am excited about the prospect of joining your team.
I would like to respectfully request a meeting to discuss the salary offer that was presented to me. While I appreciate the initial offer, I believe that my experience and qualifications warrant a higher salary than what was offered.
I propose that we schedule a meeting in person or via phone to discuss my salary expectations and to find a mutually agreeable solution. I am available to meet at your convenience.
In addition to discussing the salary, I would also like to inquire about the possibility of receiving [Other Benefits or Perks you’d like to negotiate, such as a signing bonus, stock options, tuition reimbursement, health insurance, etc.] as part of my compensation package.
Thank you for considering my request. I look forward to discussing this matter with you soon.
Salary negotiation request email:
Dear [Hiring Manager],
Thank you for offering me the opportunity to work as a [Job Position] at [Company Name]. I am excited about the prospect of joining your team and contributing my skills to the company’s success.
However, I would like to discuss the salary offer presented to me. After careful consideration and research of similar positions in the industry, I believe that my experience and qualifications warrant a higher salary than the initial offer.
I would like to propose a salary range of [Proposed Salary Range], which I believe is more in line with my market value and experience. I understand that this is a negotiation, and I am willing to work with you to find a salary that is fair for both parties.
Additionally, I would like to inquire about the possibility of receiving [Other Benefits or Perks you’d like to negotiate, such as a signing bonus, stock options, tuition reimbursement, health insurance, etc.] as part of my compensation package.
Thank you for your time and consideration. I am eager to discuss these matters further and find a mutually agreeable solution. Please let me know your thoughts and any next steps we can take to move this process forward.
Prepare your talking points: Plan accordingly.
Prior to the meeting, ensure that you have the reasons why you warrant a higher salary. Additionally, consider benefits that you’d accept in return for a reduced salary. It can be worth practicing beforehand how you’ll negotiate. Additionally, keep in mind your target salary range. As long as what you’d like is feasible, you may consider starting negotiations with a higher figure to allow it to then reduce into the target salary range you wanted.
During the negotiation
Ensure that you’re professional and treat the meeting like you would any other business meeting. Ensure that you get your point across respectfully but remain open-minded to hear back what they have to say. It’s important to keep in mind that you don’t need to accept any proposal straight away (neither do they); if you need time to think about the final offer, don’t hesitate to ask. However, be sure to seem interested and thankful for the opportunity throughout.
Post Salary Negotiation: Should you follow up after negotiating salary?
Following the meeting, the communication shouldn’t end there. You want to continue showcasing that you’re interested in the position and would really like to work there. Consider sending an email to display this. You may have already accepted the job offer during the meeting, or you may still be thinking about the proposal. Here are two templates you can use in either context:
Salary Negotiation and Job Offer Acceptance Template
Dear [Hiring Manager],
I want to express my sincere gratitude for the opportunity to negotiate my salary as part of the recruitment process. I also appreciate your willingness to discuss the compensation package as requested.
I am excited to accept the position of [Job Position] at [Company Name], and I look forward to contributing my skills and experience to the team.
Thank you again for your flexibility and understanding throughout the negotiation process. I am eager to begin my new role and to make a valuable contribution to the company.
Please let me know if there are any next steps or paperwork that I need to complete to finalize my acceptance of the job offer. I look forward to hearing from you soon.
Salary Negotiation and Job Offer Consideration Template
Dear [Hiring Manager’s Name],
Thank you so much for taking the time to discuss the job offer with me and being open to negotiating the salary. I appreciate the opportunity to have an open and honest conversation with you about my salary expectations.
After considering the offer and the proposed salary, I would like to take a few more days to think about it and weigh my options. I hope you understand that this is a big decision for me, and I want to make sure I am making the best choice for both myself and your company.
I will let you know my decision by [date], and I hope that we can continue our discussion at that time. Again, thank you for your willingness to negotiate and for considering my request.
How long should I wait after a counter-offer?
Now a counter-offer should ideally take place with an initial job offer and not the negotiated salary. However, one working day is sufficient before sending an email or ringing the recruiter. You can use the template provided earlier in the article to request a meeting or to state your salary expectations.
How long should I wait after negotiating salary?
After negotiating salary, how long you wait is completely up to you. As long as the employer is no longer looking for any candidates, that is. However, if the new salary proposed meets your expectations, then you can accept it straight away. If, however, you’ll have to take a lower-than-expected salary, you may wish to weigh your options. However, 7-14 days should give you ample time to think about the offer. In some cases, you may only need 3-5. However, ultimately starting a new job is a big decision and requires you to think before accepting anything straight away.
Can you lose a job offer negotiating salary?
This is an important question. If you’ve done your research and are sure that your skills, qualifications, and experience are in high demand with low competition, it’s unlikely you’ll lose a job offer. If, however, you propose an unrealistic salary and the company has multiple candidates available then you’re likely to lose out. However, if a company or recruiter is willing to negotiate in the first place, that would usually be a sign that they’re interested. Whatever the case, sometimes you need to take your career into your own hands and potentially risk a job offer in return for better pay and better surroundings. Just be sure to weigh up the pros and cons beforehand.
Negotiating salary is something you definitely must consider if you’d like an increase in job satisfaction and achievement in general. Additionally, recruiters expect the topic of salary to come up during the job interview process. Therefore, you shouldn’t just settle for the starting salary, and don’t be afraid to request more money if it’s necessary. The majority of this article has focussed on salary negotiations during the hiring process, but we have covered requesting a salary raise in other articles. Feel free to browse the rest of our site for more articles about employment and salaries.