Negotiating salary and benefits: a guide for job seekers
posted 25 Jul 23
Picture this, you’ve been offered a great role – but the starting salary is less than you expected. How do you respond?
It can be tempting to take the money on the table, especially if you want the job. But many hiring managers expect candidates to counteroffer and view it as part of the recruitment process.
The importance of salary negotiation
Don’t bargain yourself down before you get to the table.
Negotiating a job offer can feel daunting. However, if done effectively, it can be beneficial for both sides.
You want to feel happy and valued for your work. If you take a role with a lower salary, you may become disheartened and look for a new job a few months later.
It’s also important for the company that’s recruiting. They will want someone enthusiastic about joining their business, plans to stay for a few years and can help them reach their goals.
Remember, they picked you out of all the candidates who applied. This puts you in a good position to negotiate. But be realistic, asking for a 50% increase in salary is probably unlikely but an extra 10% and 20% is reasonable.
Identifying your value and desired salary
No one will ever pay you what you’re worth. They’ll only ever pay you what they think you’re worth, and you control their thinking.
How do you make sure you’re not undervaluing yourself? By working out your market value - this is approximately how much you should make, based on your experiences, skills, job title and location.
You can use job boards, LinkedIn, salary guides and recruitment agencies to help you determine your market value. Payscale also has a 'What should I be paid?' tool where you can input information about your current role or a job offer, experience, skills and location to receive an estimate of what you should be earning.
It’s also worthwhile figuring out what the minimum salary you’d be willing to accept is. A good idea is to find a number that meets your market value and covers your financial circumstances.
Crafting a persuasive negotiation pitch
The most difficult thing in any negotiation, almost, is making sure that you strip it of the emotion and deal with the facts.
Now comes the pitch. Firstly, decide how you want to negotiate – are you going to send an email, make a phone call or set up a video meeting?
Once you’ve chosen, make sure you have a plan. The benefits of negotiation strategies are they provide focus, can boost your confidence, and give you a solid case, so you’re more likely to be successful when counteroffering. Â
A simple structure you can use is:
- Start on a positive. Don’t focus on wanting more money straight away. Thank the company for offering you the role and reiterate that you’re excited to join their team.
- Showcase what value you can bring to the business. Remind them why they chose you. Recap the successes you’ve had in other roles and how that will help them reach their goals, or if you’ve applied for a more senior role, emphasise the extra responsibilities you’ll have.
- Highlight your market value. Don’t go into too much detail but demonstrate that you’ve researched the industry and/or role and state the salary range of what someone with your experience and skills typically earns.
- Have a solid conclusion. Be clear that you’re asking for the compensation to be renegotiated. Thank them for their time and/or consideration.
Negotiating additional benefits and perks
People work for money but go the extra mile for recognition, praise and rewards.
Negotiations can go beyond your monthly pay packet. Benefits are extremely important and shouldn’t be ignored as they can enhance your everyday working life, save you money and support your health and wellbeing.
Think about whether there are any perks that would make you more inclined to accept a job offer. For example, would you like:
- Flexible working
- Additional annual leave
- Insurance cover (Health Insurance, Life Insurance, Critical Illness Cover, Dental Insurance etc.)
- A health cash plan
- Free subscriptions to professional memberships
- Expenses included (travel, relocation, uniform or work clothes, equipment etc.)
- A company vehicle
For personalised support with your job search and salary negotiation tips, sign up today and join over 320k active candidates who trust Search to find their perfect role.
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