“I want to ask for more money, but I’m scared they’ll say no and give the job offer to someone else.”
Money is what we use to go about our daily lives; it’s what we use to pay our rent, buy our groceries, buy clothes, and pay other bills. It’s what we need to live a comfortable life, yet it is the one thing we are afraid to negotiate on when we receive a job offer.
Salary negotiation is probably one of the most uncomfortable things that I’ve had to learn how to do. The truth of the matter is that a company’s main goal is to make a profit and in order to do that they need to keep their costs low. Those costs include (believe it or not), your salary.
Studies show that less than 40% of job candidates negotiate their salaries when they receive a job offer. It’s believed that people are usually afraid that if they request a higher salary, their job offer will be withdrawn and the organization will decide to go with another candidate.
About 85% of people who negotiate their salary when they receive a job offer usually come out successful. Salary negotiation is something that requires you to be confident in your abilities and skills. You have to believe in the value that you bring to your organization. There is no harm in asking for a salary increase and in today’s article, I will provide a few practical steps to a successful salary negotiation.
- Do Your Research: There are several resources that have been available to the public that allows us to research our job title and what the average pay is in the country, in our states, and sometimes even in our local cities. Make sure you know what the industry’s salary trends are so that you can provide factual information when negotiating. Resources such as Payscale, Glassdoor, Salary.com, Fishbowl, and the Bureau for Labor Statistics are great for finding out this information.
- Explain Your Reasoning: A company won’t increase your salary simply because you have asked. Be sure to provide some tangible reasons as to why you believe you should receive more money or a better compensation package. Some examples include your years of experience, skills, and any educational background/certifications in the field.
- Analyze The Full Compensation Package: While annual salary is an extremely important factor when choosing to accept or reject an offer, it’s necessary to look at the entire compensation package. Be sure to take a close look at the following items: 401K employer contribution, how much paid time off (PTO) you are allowed as a new employee, whether telework is an option, insurance plans and employer contribution, tuition assistance, bonus and/or profit-sharing, and how often raises are given in this role. Looking closely at these factors will help you make an informed decision.
Confidently following the steps outlined above will help you when negotiating your salary. It is not an easy action to take, however doing so will enable you to manage your financial affairs diligently. Knowing exactly how much money you’ll make and what is included in your compensation package gives you the freedom to make financial decisions easily.
Humanly Yours,
Abenah
“Keep on asking, and you will receive what you ask for. Keep on seeking, and you will find. Keep on knocking, and the door will be opened to you. For everyone who asks, receives. Everyone who seeks, finds. And to everyone who knocks, the door will be opened.” Matthew 7:7-8