Negotiating an Offer
Receiving a job offer, particularly from one of your top choices, is exciting. However, the process can become stressful if the offer does not meet your expectations or match your worth.
Negotiating offers, particularly salary, is becoming more and more common. Yet it is a conversation that many students and recent graduates are unsure how to initiate.
Below is a sample negotiation script. If you would like additional advising, schedule an appointment with a career advisor.
IMPORTANT: Before initiating the conversation:
- Be sure to diligently research the salary range for the position
- Be prepared to cite your sources, and/or other pending offers, when making the case for an increase in salary
Student: I want to say thank you again for extending the offer to join the [company name] team. I am extremely pleased to have the opportunity to work with you and this organization. However, I would like to discuss compensation, as it is less than I expected.
Company: Sure we can talk about compensation. What did you have in mind?
Student: Before we get into specific numbers, I would like to understand how your organization structures salary ranges and how this particular salary was determined. I would like this to work for both of us.
Listen to the response (A likely reason will be lack of experience).
Student: I understand the organization prefers to bring recent graduates in at the lower end of the range due to a lack of experience. However, my internship experiences, technical expertise, and education warrants a higher salary. According to the Virginia Tech PostGrad Survey, graduates within my major make a higher salary than what was offered for similar work. The National Association of Colleges and Employers (NACE) most recent salary survey also indicates that the starting salary for similar positions is higher than what was offered.
Company: I have heard your argument. However, the most we can offer is XXXXX which is still less than what you want.
Student: This is indeed one of my top choices for employment. Based on what I know about the company and from my interview, I believe I would enjoy working there, gain invaluable experience, and be a contributing member of the team. I am willing to consider a signing bonus of XXXX in lieu of an increase in salary OR additional vacation time OR flexible working hours OR telecommuting once per week. Are any of these elements negotiable?
Salary & Benefit Tips
Try to answer these questions before you start to see what you bring to the table:
- What qualifications (skills and experience) do you bring to the position?
- What does the position typically pay for that geographic location and experience level?
- What salary will help you meet your budget and lifestyle (housing, food, utilities, loans, etc.)?
- How will you be able to provide for your future (savings, retirement, investments, etc.)?
Come into the discussion prepared and knowledgeable.
Below are some websites to research salary by career field and location:
- Paycheck City: Learn how much of your salary you will actually be bringing home
- BestPlaces: Cost of living can vary greatly by location. Find out what your salary needs to be
- Intuit Mint: Find out how your expenses and debt will match up with your income.
- Insurance: Health, Life, Disability and more
- Time Off: Vacation, Holidays, Sick or Personal Days
- Financial Investments: Pension Plans, 401(k), Profit Sharing, Stock Options
- Salary-related Options: Overtime, Bonuses, Commissions
- Reimbursement Programs: Parking, Commuting, Relocation, Tuition
- Work-Life Balance: Flextime, Maternity/Paternity Leave, Telecommuting
- Other: Professional Development, Gym Membership, Employee Discounts, etc.
- Create a spreadsheet with all jobs listing all benefits
- Don’t let higher salary trick you; add the whole package together
- Wait until you have an offer to ask about benefits; avoid asking at an interview!
- College hires may not be able to negotiate benefits, but consider later in your career Find out what is typical in your industry for your level of experience
- Ask Human Resources for an annual benefits statement; this should show dollar value for all benefits
- Consider setting up a one-on-one meeting with Human Resources to review benefits
- Make sure you get an offer letter in writing that details salary and benefits before you say yes
- Is there an overall monthly cost?
- Do the benefits just cover you, or also family members?
- When do the different benefits come into effect?
- Are the benefits taxable?
- How often/when can you change your choices on different benefits?
