This is a very basic guide for those that choose to handle their compensation negotiations without the help of a recruiter. No two negotiations are alike and this article is meant to give you a solid foundation on negotiating the best possible compensation.
Learning Objectives
You will learn:
- How to respond to questions about salary that are posed at different times in the interview process.
- How to acknowledge (but not accept) an offer and request time to consider it.
- How to initiate a discussion that resolves the differences between a job offer and what you need or want.
Handling Salary Questions
At any part of the job search and interviewing process, expect to be asked your salary history, your most recent salary, or your salary expectations. Try to avoid such disclosures, since they rob you of any opportunity for negotiation.
Naming a number may create any of the following reactions:
- The figure seems too high, and they don't yet see why you might be worth it.
- The figure seems to low, and they may question your qualification for the job.
- The number is in their range, but your bargaining position is made more complicated because they know where you fall in their range, but you don't.
First, you must be convinced yourself that your prior salary has nothing to do with what you should be paid for a potential new job nor what the company is prepared to pay you to do it.
Try to avoid discussing salary until an offer is made. Until they are convinced you are the one for the job, they have no interest in what you want.
Know your bottom line, your "walk away amount," and research position compensation ranges beforehand.
There are a number of times when you may need to respond to salary inquiries. Here are some suggestions on how to handle those questions.
State Salary History
Usually requested when replying to job ads and web applications. This almost always means "salary requirements or expectations." This is an attempt to screen out applicants with salaries too high and sometimes, too low. Your salary history is not relevant to the position for which you are applying. The position responsibilities may be higher or lower than other jobs you have had, or the company may be one which pays more or less for the position.
How to handle - It's your decision to include or not include this information.
- If you do not provide this information and you match the job qualifications exactly, you probably will not be screened out. They will try to obtain salary information from you later.
- If you feel you must include your salary history, provide an accurate one. There are too many ways the company can verify this information.
State Salary Requirements
Usually requested when replying to job ads, web applications, or initial screening by HR Representatives. Again, it is an attempt to screen you out or in, and provides a starting point for the employer on which to base the offer, without respect to what the employer might have been prepared to pay.
How to handle:
- Leave the salary information blank. If the application specifies "Please fill in all information," then write in "Open" or "Negotiable" in the blanks.
- If you know the employer's salary range for the position and are compelled to write something in the blank, state your requirements as a range, with the top of the employer's range being the midpoint of your range.
Early Interview Process
This is usually asked by an HR Representative conducting the initial screening interview.
How to handle:
- "I would prefer to learn more about the position and responsibilities before getting into salary discussions."
- "I would like to come back to discuss that after I am able to provide a better picture of what I have to offer."
Later in the Interview Process
Usually asked by the hiring manager, the person to whom you would report.
How to handle:
- "I'm most interested in learning about the opportunity at XYZ Company first. When I more fully understand the scope of responsibility, I'll be able to give you an idea of the compensation I would expect."
- "Your company has a reputation for fair compensation. I don't think salary will be a problem. I would like to ask you some additional questions about what would be expected in this position."
- "I'm sure that XYZ Company has a fair compensation scale, and if we decide that this match is a good one, I'm confident that we will be able to agree on a salary."
- "The issue isn't as much what I want, it's what you have budgeted for this position. Most companies work within salary ranges. If I knew what the range for this position was, I'd be able to tell you if that fits what I would expect. What is the salary range for this position?"
- Most effective if done right is to make a neutral and noncommittal response, then ask another question related to the position. Deflection doesn't always work but with a little practice, you'll be a pro.
When the Questions Become More Direct
Communicate your desire to fit into their budget or salary structure, not to be compared to your former job or company.
How to handle:
- "Actually, the responsibilities are different from my previous position, so the salaries are really not comparable. I would prefer to fit into your salary structure."
- I would prefer to fit in with your scale for this position, given its level of responsibility."
If the Interviewer is Really Insistent
You do not want to antagonize the interviewer, potentially your next manager.
How to handle:
- "As I have researched information about salaries for this level position, the market value of the total compensation package is between (give a range)."
- "If I package together all the factors, I would expect a base compensation package in the (range), competitive (or a percentage range) stock options, plus standard company benefits."
- "When I consider what my total compensation package would have come to this year, it would have been $xxx, including $xxx for base salary and taking into account that my former company provided a generous benefit package."


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