How to Negotiate Salary During a Job Offer

Effectively negotiating a salary requires research and analysis.

After the successful completion of one or several interviews, an employer may decide to offer you the job. In many cases, the first topic of discussion is salary. Some employers include the salary range in the job posting you applied for, which gives you some insight into what salary offer to expect. If you know or do not know the salary range for the job, being prepared before receiving the job offer will assist you in negotiating the salary.

Difficulty:

Moderately Challenging

Instructions

1. Compare your qualifications to the required qualifications of the job. Most job offers are based on your education, skills and professional experience. If your potential employer does not give you a detailed job description, ask if you can see one. Most employers post the job description when the job opens. Use the job posting to compare your qualifications. Based on your interview and the job description, use qualitative analysis to understand how your skills fit the job, using a percentage. Employers consider this before making a salary offer.

2. Use sources such as the Bureau of Labor Statistics (BLS) to investigate the average salary for similar jobs to your job offer. Sources like the BLS offer salary ranges for different occupations in specific metropolitan areas; BLS statistics include the 10th through 90th percentile salaries. Like the BLS's percentiles, most employers use a salary matrix, which is a salary range to decide what salary to offer you.

3. Negotiate your salary offer. Use your qualitative analysis, research and current salary to negotiate the offer. After you receive the offer from your potential employer, ask for the salary you are expecting. Explain how you decided your salary expectations based on your research and analysis.

Tips & Warnings

• Ask the employer for the salary range of the job as early as possible during the interview process. If the salary range is much lower than you expected, you should not continue interviewing for the job.

• Review your personal expenses and discuss salary expectations with your family before the job is offered. The employer will want to confirm your employment as quickly as possible to fill the job. The ability to accept or decline the offer immediately shows your interest in the organization and allows the employer to focus on other priorities and job openings.

• Employers use extensive analysis to compile salary ranges for each job within the organization. Do not ask for the highest salary in the salary range. The employer may accept your demands, but it does not allow room for growth and allows for only a minimum salary increase each year.

• Expecting a high salary results in higher expectations from the employer. This can include additional job responsibilities or exceptional performance by you during the first several months. Not meeting the expectations related to the higher salary offer can lead to termination.

• Do not negotiate salary based on your personal expenses, such as a new home or car. Your personal spending is not the employer's responsibility and reflects poorly on you.

Resources

• Bureau of Labor Statistics: Overview of BLS Wage Data by Area and Occupation