Whatever anyone might say, ultimately the reason for most of us working is money so that we can sustain ourselves. Money is a necessity and a priority. Hence salary negotiation times are important ones. It is also a tricky situation and if you will know how to handle the situation, you can easily be the winner. Understand that when it comes to salary, even the employers know that they will have to negotiate and hence there is no need to be anxious about the process. The trick is to be confident and assertive and not too demanding.
Here are Some Constructive, Assertive and Established Strategies for Salary Negotiations:
1. Enthusiasm and professionalism is the key:
You have to be assertive all right, but at the same time, a professional attitude is a must. Never show that the salary is more important than the job but display a positive attitude. Be polite and keep stubbornness at bay.
2. Know your needs and priorities:
What is your priority in life? We all need money but at what cost? When you know what your priorities in life are, you will be better at the negotiating table. It will help you trade a thing or two here and help you get what you need not just in terms of salary but also other perks.
3. Know how much you are worth:
Do a research to find what you are worth. Find what other companies are offering for the post you are applying for. Take the help of reliable and expert sources to calculate your worth in terms of money by taking into consideration your qualifications, expertise, experience and other skills. Do consider the industry, the size of the company and its location too into account while calculating.
4. Take the larger picture into account:
When you are in the negotiating table for a new job, one of the main points that you should know while negotiating salary is that never make salary the only issue. Do pay attention to the healthcare policy of the company, and also other factors such as flexible work opportunities, reimbursement policies and so on.
5. Find more about the company:
Before starting negotiations for salary, it is important to know who is it that you are negotiating with. Do a thorough research about the firm and find about its financial standing by going through the website and annual reports of the company. Also try to get more information from professionals from your network.
6. Keep the negotiation process friendly:
A tactful attitude can keep you on the stronger side. Throwing a tantrum or displaying a proud attitude won’t be of help. Remember, sometimes, a good attitude and perseverance and politeness can do wonders in getting what you want.
7. A negotiating point is to know how soon will there be a salary hike:
If in case, the company says it is not possible to give you the figure you asked for, ask them if they will consider offering a hike in the next three or six months. If they agree, it is worth accepting it.
8. Do not come up with a number:
This is a strategy that has differed opinions by experts. Some feel that if the candidate gives a number, it might be too low to which the employer might agree, putting the former in a losing position. But if you have researched enough and you know how much the position is worth in the market, you can quote a figure that is real.
9. Strike hard and well if you are quoting:
If you are unaware of the market pay for the position you are applying and your are asked to quote a figure, then quote a high sum but a practical figure. Anyway, the figure may come low after negotiations but you can be assured that the final sum will be worthwhile.
10. Wait a while before the topic is broached:
Do not begin with the salary because first, you need to know what your responsibilities are. Even if your employer comes up with the topic, you ask him about the job profile and the list of things you are expected to do. Once the profile is clear, you will be in a clearer position as to what to negotiate for.
11. Salary is not just about base pay:
It is important to note that the base pay is just one aspect of the salary package. Hence before worrying or haggling about the base pay, look at other components of the salary such as benefits, variable pay, performance allowance, rent allowance and other allowances, salary hike schedules and so on.
12. The first offer:
When a figure is quoted for the first time, either by the candidate or the employer, both know that there is room for negotiations. Be comfortable to ask the employer what you need and do not hesitate to quote what you wish for. The research that you have done will be of great help in this step.
13. The counteroffer should not be just about money:
If you are making a counteroffer, then consider other factors such as bonuses, work hours, holidays, vacations, flexibility and more and do not just spend time on base pay alone.
14. Quantifying your value helps:
Experts are of the opinion that when you put across your value and talent in terms of a quantity, the employers can see the picture more clearly and you will be able to make them see why you are worth a certain amount. You can quote the amount you saved for your last company, the number of clients you have managed to get, etc.
15. Think about extra perks:
If the employer is adamant about the figure they have quoted, you can be creative and wise and handle the situation tactfully. If the pay is too less, you can always refuse and even if there is no other job offer with you, it is better to search for something that will pay you decently rather than accepting such a low pay. If the employer has quoted a decent sum but not as per your expectations, then negotiate in other areas. If they have a non-holiday clause, you can request them for a waive-off. You can even ask for further training in the job.
16.You can have a long list but stick to the important ones:
A smart strategy for salary negotiations that is quite followed is to ask additional benefits that you may not require at all but then agreeing to give in. This puts the employers too in a happy position for they know they have not given into all demands. You too are happy that you are letting go of things you really don’t require.
17. Salary negotiation is also about how you sell – yourself:
Take efforts to justify each penny you are asking for. Explain clearly how you will be able to bring value to the company and how the money that they will be paying you will bring in additional gains for the company. Promote yourself well.
18. Be confident:
A confident approach and body language are what are important in a negotiating meeting. Be precise and stick to the point. Too much of talking won’t help but a brief yet detailed explanation will do the trick for sure.
19. Treat the negotiation as a sport:
If you look at in a different way, the salary negotiation process is almost like a sport. You throw the ball, the other one tries to dodge it or catch it and then tries to throw it back at you. Use persuasion, assertive skills and even be competitive but remember, unlike in sports, salary negotiation is a process where both parties need to have a winning feel.
20. Be ready to take risks:
A study conducted by Marks in 2011 states that those who are hesitant to take risks, will get less as compared to those who are ready to go that extra mile. Risk aversion can cost you at the negotiation process but at the same time, you also need to look at what you need and are looking at and then come to a decision rather than blindly taking up something that might appear risky.
21. You are worth it:
The first step that you need to take to win at the negotiation process is to convince yourself about your achievements, calibre, talent and to realize that you are worth every penny and more the company is giving you. Half the battle is won when you are confident about yourself.
22. Be true and honest:
A common technique employed by candidates is to inflate the current salary and put a figure in front of the new employees. This will never work, for the company may have its own resources or ways to find about your current salary. They are also aware of the market value, hence lying about such matters will only bring disrepute.
23. Compromise too is a key factor:
As in any other negotiation, some compromise is required not just from your side but also from the other side. So, show lenience wherever possible but at the same time, you should get what you deserve and what you are worth.
24. Put all the clauses on the paper:
When you have reached a successful salary negotiation, do not walk away happily but ensure that each clause that has been agreed upon is put on a contract. Read each of the points or word carefully. See to it that everything that have been agreed upon or discussed is in the contract.
25. Take your time:
Even if the agreement drafted is what you have desired, take your own time to say yes. Take a break or tell them that you will get back after going through the contract. Take couple of days or even a week to study the document and to decide if you want to go ahead.
Talking about money isn’t easy for most of us but the salary negotiation process is the place where you have to talk about money. In fact, experts have opined that a candidate who can negotiate the salary process skilfully and confidently earn the praise of even employers. What is required for an effective negotiation is great people skills and honest knowledge about yourself. Asking for a good salary is your basic right and you should go about it confidently. These 25 tactics will help you score a point for sure.