Don't Wimp Out in the Face of Salary Negotiations
We know that, especially in today's economy, many job seekers are just grateful to receive a job offer. Make no mistake, having a job offer is a reason to celebrate, especially after all the hard work that goes into a job search. But you shouldn't consider yourself lucky just to have an offer and feel you need to take whatever's put in front of you.
Today we have a guest post from two authors who remind job seekers how important it the art of salary negotiation is and what it can mean for your long-term income.
Four Ways to Wimp out During Salary Negotiations
By Selena Dehne, JIST Publishing. Featuring excerpted information from Next-Day Job Interview by Michael Farr and Dick Gaither.
Don't underestimate the importance of negotiating in the job search. In their book "Next-Day Job Interview," Michael Farr and Dick Gaither share the following example of how powerful a seemingly small boost to a job offer can be.
- An 18-year-old high school graduate negotiates for $21,000 per year instead of accepting the $20,000 per year that was initially offered.
- That graduate then gets an average 3 percent raise each year.
- He or she works for 50 years (normal in today's world).
- The result is that this person ends up with at least $112,000 more during the course of his or her career lifetime than a person who didn't negotiate for that extra $1,000.
That's a pretty substantial difference, wouldn't you say? A mere $1,000 increase to a job offer can prove to be quite rewarding over time. That's why it's so important that you give negotiations a chance, rather than skipping the process because you're too uncomfortable to attach a value to your talents and skills.
As you negotiate, avoid the following mistakes. According to Farr and Gaither, these are some of the most common ways to botch the process.
Mistake #1: Assume that nothing is negotiable.
If you're concerned that an attempt to negotiate you job offer will offend the potential employer or make you look greedy, don't fret. According to Farr and Gaither, "More than 80 percent of employers expect some form of negotiation for pay, benefits, perks, work schedules, work locations and so on. If you don't ask for it, you won't get it."
Mistake #2: Throw in the towel too quickly.
"Just because you're told no, that doesn't mean the negotiation is over," say Farr and Gaither. "Salespeople know that the first no is just the start of the sale. Keep plugging away. Patience and persistence are paths to success."
Mistake #3: Say "yes" too soon.
"Most of the time the first offer isn't the last offer. And the first offer will usually be lower than the last offer. One theme running through every book on salary negotiation is that interviewees need to delay talking about salary expectations. The longer that an interviewer talks to you, the more likely you'll be to negotiate better compensation," explain Farr and Gaither.
Mistake #4: Negotiate just for money.
The employer may not be able to boost your salary or hourly rate, but there are additional ways to sweeten your job offer. According to Farr and Gaither, "If you can't get the money, you should negotiate for things that translate into money or that make your life easier such as extra vacation time; educational reimbursements; flexible schedules; help in buying tools, computers or software; travel allowances; and so on."
Selena Dehne is a career writer for JIST Publishing who shares the latest occupational, career and job search information available with job seekers and career changers. She is also the author of JIST's Job Search and Career Blog. Follow her on Twitter at @SelenaDehne.
Don't Miss: Top 10 Companies Hiring Now
Stories from Daily Finance
- When a Pay Cut Is Worth It
- Dream Job Could Come Without Dream Pay
- The Sneaky Little European Tax That's Robbing U.S. Businesses Blind