Salary is one of the major reasons professionals look out for a job change. Still, most of them don’t negotiate their salary during the final stages of discussion with the recruiters. Rather they accept whatever compensation package (even if it is just slightly higher than their previous package) is offered to them without even putting their point forward to the recruiters.
Salary negotiation is nothing but discussing a job offer with a prospective employer to negotiate a compensation package which is in line with the industry trends. Even a little addition to your monetary value would make a huge difference in the long run. If you need some tips on ‘how to negotiate your salary’, here are six things that you can do to initiate the salary negotiation discussion with prospective recruiters:
6 Tips on ‘How to Negotiate Your Salary?’
Tip #1: Deeply Research the Industry Standards
Ideally, you should prepare for the salary negotiation when preparing for the job interview. Just as you research about the company and the job profile so that you can give apt answers during the job interview, research how much the job profile you are looking at is worth. Why is the research required? There are a number of reasons such as
– Firstly, it will help you arrive at a figure that is in line with the industry standards instead of your own limited experience
– You will be able to back your arguments with facts and figures
– Lastly, you will be able to speak more confidently during the salary negotiation discussion
When you sit down doing your research among other factors you should also consider the average salary at a specific company, position and average salary in your area.
Tip #2: Know what your Worth to the Company is
Don’t just stop at understanding the industry standards. Go a step beyond to figure out how much your skills and experience are worth to the employer. Your value as an employee for the company is far beyond the position you are interviewing for. For example, a senior business development manager with an entrepreneurial background and abilities of social media marketing is much more than just a senior business development manager with 5 years of experience. All the skills that you have developed over the years in your professional experience add a lot more value to your profile. So it is important that you take them into consideration while negotiating your salary with the recruiters.
You can also check the various salary tools to understand the salaries offered by the company you are going to interview at for your preferred job role. Also, when determining your new salary, back it up with the improvements you can bring to the organizations.
Tip #3: Do Not Use Your Previous Salary as a Base
One crucial mistake that people who are not good at salary negotiations make is to use their previous salary as the base to calculate what their salary package at the next job should be. As an amateur, they ask for some additional percentage to what they already have or maybe even settle for more or less the same amount. Never use your current salary as a base to arrive at your future salary package during salary negotiations with the recruiters. This is where the research comes to your rescue. Always base your negotiation conversation on the current industry trends. This will improve your chances of fetching your desired salary package from the recruiters.
Tip #4: There is More Than Base Salary
While salary Negotiation is a game of numbers, you should be ready to negotiate more than just your base salary. For example, if you have to settle on a salary that doesn’t match with your expectations, try to negotiate other benefits that are part of the cost to company (CTC). You can ask for more vacation days, better healthcare & insurance policies, work from home options or any other perks that suit you. Think what is really important to you and then decide where you need to negotiate.
Tip #5: Explain the Research
When quoting a figure during the salary negotiation discussion, be sure you back it up with the research you have done. Most times recruiters try to sell a lower salary package to prospective employees with the intent to gauge how desperate they are to grab the job offer. It is important not to give in to the temptation and at least tell the recruiter what you think you deserve to be paid and why you deserve it.
Your explanation should justify the additional cost that you are asking. Chances are the employer will admire the thought and research you have put into backing your request and might agree to it.
Tip #6: Display a Strong Body Language
This is one of the most important salary negotiation tips for professionals. Displaying a strong body language while having the talk will make you look and sound more convincing to the recruiters. Avoid showing any signs of nervousness or desperation to keep the recruiters hooked to what you have to say. Make frequent eye contact, speak slowly & clearly, look confidence and display professional behavior throughout the discussion.
Money is one of the major motivators for professionals. Negotiating your salary to match it with the industry will ensure you stay motivated to give your best at the new job.