Top 15 Salary Negotiation Tips
Irrespective of whether you are a novice or a seasoned pro, whether you love the art of salary negotiation or dread it, the truth is – you need to know salary negotiation tactics and how to avoid disaster to obtain the offer you deserve and that coveted job. From the moment you make initial contact with any company or organization you wish to work with, you are in negotiation. You may not be discussing money openly, but you are making a permanent imprint on the minds of the hiring authorities. Throughout your job search you need to seriously consider several questions about your financial value and future income. What, for example, are you worth? How much should you be paid for your work. How can you best demonstrate your value to an employer?
Salary negotiation is something at which HR Managers managers are usually a lot more proficient than the people they hire are. Here are my Top 15 Salary Negotiation Tips which will help you to bargain for a better deal.
1. Never discuss on the salary part until there is an offer on the table. You are in the strongest negotiating position as soon as the offer is made. Delay discussing salary until you’ve been offered the position.
2. Know your value. You must know how you can contribute to the organization. Establish this in the mind of the HR and hiring manager. Make a list of what you have to offer. Know what you have to offer the future employer. Make a list of your skills, abilities, talents, and knowledge. Be prepared to show your employer what capability you bring to their company. Make sure you have some firm basis for added compensation, i.e., skills, abilities, and value to the company.
3. Prepare well. If you are ready and well prepared, you’ll be confident and poised for success. Maximize on your past experience. Understand what you have achieved. Bring your past experiences to the table as a tool when negotiating for your salary.
4. Know your market. Prior to going into employment negotiations, you must know the average salary paid for similar positions with other organizations in your geographical area. Understand your geographical area strengths and weaknesses. Salary ranges vary dramatically across the nation and even from rural to urban areas.
5. If possible try to get the salary range that the company you’re interviewing with will pay or what former employees were earning.
6. Define your personal needs and requirements before going into negotiations.
7. Also keep in mind the fringes and perks, such as Incentive plans, Leave Policies, health benefits, pension plans, and so on as the “total” salary package. How badly does this job need to be filled? Find out what you are worth to the employer and how badly (or not) they need to fill this position with a qualified candidate. This gives you more negotiating power.
8. Salary negotiations must be win-win negotiations. If they’re not, everybody loses in the end.
9. Be Flexible; don’t get hung up on trivial issues, and always seek compromise when possible. Anticipate objections and prepare effective answers to these objections.
10. Don’t be afraid to negotiate out of fear of losing the offer. Most employers expect you to negotiate as long as you negotiate in a fair and reasonable manner. Always negotiate in a way that reflects your personality, character, and work ethic. Remain within your comfort zone.
11. Never lose control. Remain enthusiastic and upbeat even if the negotiations get a little hot. This might be your first test under fire. Play hardball only if you’re willing to walk away from, or lose, the deal.
12. Be sure to get the offer and final agreement in writing. You should feel comfortable asking the employer for 24 to 48 hours to think about the deal if you need time to think it over.
13. Never link salary to personal needs or problems. Compensation should always be linked to your value.
14. Listen carefully and pay close attention. Your goals will most likely be different from the goals of the employer. Try to understand the employer’s point of view. Then plan a strategy to meet both the employer’s concerns and your needs. For instance, the firm’s main focus might be “base salary.” Yours might be “total earning potential.” So a win-win solution might be to negotiate a lower base salary but a higher commission or bonus structure.
15. Understand your leverage. Know if you are in a position of strength or weakness and negotiate intelligently based on your personal situation. End salary negotiations on a friendly and cheerful note.
