What are the industry standards for salary negotiations?

1 Benchmarking your salary

Before you enter a salary negotiation, you need to have a realistic and data-driven idea of what your skills and qualifications are worth in the market. You can use various sources to benchmark your salary, such as online salary calculators, industry reports, job boards, and networking with peers and mentors. You should also consider factors such as the cost of living, the size and reputation of the employer, the level of demand and competition for your role, and your current and desired career progression.

2 Preparing your pitch

Once you have a salary range in mind, you need to prepare your pitch to convince the employer that you deserve it. Your pitch should highlight your achievements, skills, and potential, as well as how you align with the employer's goals and values. You should also anticipate and address any possible objections or questions that the employer might have, such as why you are asking for more than their initial offer, or how you compare to other candidates. You should practice your pitch in advance and deliver it with confidence and professionalism.

3 Negotiating with tact and flexibility

When you are in a salary negotiation, you should aim to build rapport and trust with the employer, while also asserting your needs and interests. You should avoid making ultimatums, threats, or demands, as they can damage the relationship and reduce your chances of success. Instead, you should use positive and respectful language, ask open-ended questions, and listen actively to the employer's perspective. You should also be flexible and willing to compromise on some aspects of the compensation package, such as benefits, bonuses, or perks, if you cannot get your desired salary.

4 Handling counteroffers and competing offers

Sometimes, you might receive a counteroffer from your current employer, or a competing offer from another employer, when you are negotiating your salary. These situations can be tricky, as they involve balancing your loyalty, reputation, and career goals. You should evaluate each offer carefully, considering not only the salary, but also the work environment, culture, opportunities, and risks. You should also communicate honestly and respectfully with each employer, and avoid playing them against each other or creating false expectations. You should make your decision based on what is best for you in the long term, and not just on the money.

5 Following up and finalizing the deal

After you have reached a verbal agreement on your salary, you should follow up with the employer in writing to confirm the details and express your appreciation. You should also review the formal offer letter carefully, and make sure it matches what you discussed and agreed on. If you notice any discrepancies or issues, you should raise them with the employer as soon as possible, and seek clarification or correction. You should also avoid accepting or rejecting the offer until you have resolved any concerns. Once you are satisfied with the offer, you should sign it and return it to the employer, and prepare for your new role.

6 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?