KentuckianaWorks - Greater Louisville's Workforce Investment Board

More Links!

In the hiring process, money is always the most sensitive of issues. Discussion of salary causes anxiety on both sides of the table. Even though you may be uncomfortable negotiating, it is always best to try. Remember, if you don’t, you not only lose money on your initial salary, but also on every year’s salary thereafter. If you can turn a $30,000 offer into a $33,000 offer, the difference is worth an additional $15,000 plus in as few as five years. Another point to consider is that good negotiation can help create the impression that you are a formidable and valued individual, which will assist your status throughout your career.

Salary/Wage Negotiation Principles

Never discuss salary until a good fit between you and the organization has been established. If salary questions come up early in an interview, try to defer the discussion. "I’m confident we can reach an agreement on pay and benefits, but first I would like to get more information on the job responsibilities."
Never give your salary history. If you are asked for salary history, try to avoid putting yourself at a disadvantage in future negotiations. If your previous salary was confidential, simply advise the interviewer that you prefer not to breach that confidentiality. Otherwise, note that past employment and this position are different, and giving this information would not lead to a fair comparison.
Focus on your worth not your need. If asked, "What salary do you need," structure your answer to focus on you wish to be paid based on the strengths and value you bring to the company.
Use the word "modest". If the salary offer is low, a diplomatic way to object is to refer to the offer as modest. "Based on the strengths and experience I bring to this position, the offer seems modest."
Don’t jump at the first figure. No matter how high the offer, you may be able to do better. A silent pause can be an effective way to get a better offer.
Don’t sell yourself short. The job may be a perfect fit, but if the salary is not what you expected, you need to reconsider.
Know with whom you are negotiating. This person may be the messenger but not the decision-maker.
Ask for 24 - 48 hours to decide. Don’t allow yourself to be pressured for a decision. It is usually best to discuss any offer with a significant other, and then to sleep on it.
Prepare with research. The Bureau of Labor and Statistics and various professional organizations publish salary surveys that are available at the library.
Never negotiate benefits in lieu of salary. Get the salary set first. Do not allow perks and benefits to substitute for money.
If you accept a lower figure, ask for an early performance review. Establish clear criteria, with built-in pay raises based on accomplishments.