Are you considering switching jobs?
Already have a job offer?
Or Are you waiting for other offers?
We, salaried employees, have expectations, that we hope our employers will meet. According to Mint Life, 58% of millennials do not negotiate their salaries. According to another survey, one out of four applicants does not negotiate salary because they do not know how.
It’s sometimes the case that companies don’t adjust the salary for a more tenured employee to match that of a new hire, so they continue to be underpaid unknowingly.
Is there anything you can do to ensure you are not underpaid? Exactly what are some signs that you’re underpaid and need to talk about salary negotiations?
Despite the fact that job-hopping can rapidly raise your salary, people who stay in the same position instead of switching jobs every few years need to keep in mind that their skills, experience, and accomplishments have grown, and their salaries should reflect them as well.
Often, salary negotiation is considered an art, that only a few people know to draw on!
What is salary negotiation?
Employers usually present you with a package that includes a proposed salary when they extend a job offer. It is possible to negotiate for more if you feel the pay does not align with your education, career level, skillset, and strengths. A different form of compensation (such as equity or stock options) or additional perks (such as extra vacation days) might also be suggested.
Developing negotiation skills is a lifelong skill. There are plenty of chances to negotiate, from negotiating the price of a car to negotiating the terms of a new job.
As for the best negotiators, though some of them seem to be born with silver tongues, you can always improve your skills by learning the art of negotiation!
Why don’t people negotiate their salaries?
Bringing up money can be really intimidating for many people, especially when it’s for a job they really want. There are some people who are afraid they’ll lose their job offer if they ask for more money, but it almost never happens. In most job offers, salaries aren’t disclosed upfront, so recruiters expect you to discuss them at some point.
Some have an “agreeable” nature. They believe that their actions speak louder. They expect that if they are working well the company will on its own will give them a valuable raise/offer.
When you negotiate your compensation respectfully and amicably, recruiters won’t get offended. Particularly when the salary is left open. New hires are expected to do this as part of the hiring process. A recruiter may even be surprised if you do not negotiate your salary.
Is it really wrong to negotiate and try to get more if you believe you deserve a higher paycheck? The answer is NO!
If you wish for a higher salary though, it is very important to handle the negotiations as skilfully as possible to turn the tide in your favor.
How to negotiate your salary?
When people think of negotiations, they often imagine a “battle” mentality at the bargaining table. It is common for people to believe that anger or obstinance will somehow improve their chances of achieving their goals. However, research shows that coming up with a complementary approach improves negotiation results.
During the negotiation, be prepared to listen and not dominate the conversation. You will often reach better “deals” or “win-win” scenarios if you use your humanity. Practice is the only way to become a better negotiator.
1. Confidence is key: Negotiating with anyone can be challenging, whether it is a boss, a colleague, or even a partner. However, don’t let fear stop you. Being confident is the first rule of good negotiators. Take a seat at the negotiation table believing that what you want – whether it’s more pay, more days off, or a better title – is something you deserve. Put an end to automatic, negative thoughts that feed imposter syndrome.
The best way to feel confident going into a negotiation is by practicing some negotiation tactics beforehand. Try to remain relaxed by approaching it like a conversation if you struggle to feel confident before the big talk. Remember to make eye contact and read the room if you are having the conversation face-to-face.
2. Be respectful: The ability to negotiate confidently does not mean that you have to be arrogant or persistent in your demands. Ensure that what you say is sincere. Don’t talk too much out of nervousness, and listen to what the other party has to say. It takes some serious communication skills to master the art of negotiating.
It is always better to remain empathic to where the other person is coming from if you want to create a win-win situation.
3. Calculate your value first
- Experience in the industry
- Experience as a leader
- Level of education
- Level of career
- Certifications and licenses
To justify your desired salary, be sure to reiterate why you are a valuable employee and use the above factors.
4. Invest some time in research:
The greatest defense is a good offense. If you’re going to negotiate, make sure you do your research first. Make sure you know what the market rate pay is for the position before settling on a job offer, negotiating a raise, or crafting a better offer.
Get a quick idea of what salary ranges are based on experience by checking out websites such as Payscale, Glassdoor, LinkedIn, etc.
Bring in a clear number of your ideal salary and the level of financial security you would like to achieve if you are negotiating a raise. It will be easier for you to manage the conversation if you have a plan and know what you want when entering a negotiation.
5. Don’t make it personal:
When negotiating a job offer, keep your worth in mind. The best negotiators know that if they don’t take things personally, they’ll have better negotiation outcomes. Mention that you have 10 years of experience in the business if your annual salary is too low for you. If you feel you haven’t received what you’re owed for all your hard work, don’t say that you need to earn more money.
You should also refrain from discussing your personal financial responsibilities. You are valuable enough to negotiate based on the actionable skills you can offer a place of employment. In some cases, though, you may want to negotiate additional compensation if the position requires relocation, commuting, or long hours.