All too often, many of us think the hard work is done once we've aced a job interview and secured a job offer, however...
All too often, many of us think the hard work is done once we’ve aced a job interview and secured a job offer. However, before you accept an offer, there may be an opportunity to discuss the salary and benefits. From dreaming big (whilst being sensible!) to remembering to factor in other benefits like health care, to knowing when to back down, we’ve rounded up how to negotiate a job offer. Remember, if you’ve done your homework, you should know what you’re worth, so you should try your best to make sure that’s what you earn in your next job. Whatever happens, don’t sell yourself short.
Tom Bunkham from reed.co.uk, shares his top ten tips on how to negotiate a job offer you want…
To help decide whether you should try to negotiate a job offer, research the remuneration package you expect, as well as the current market rates for the type of role you’ve been offered. It is helpful to have an idea of what your minimum, expected, and dream salary would be.
Generally, your minimum salary should equate to your minimum cash requirements for a role, based on your circumstances. If you’re currently working and you are moving jobs, your minimum will probably be at least the same as you’re earning now.
Most of us would like more money, so, naturally, when thinking of our ‘dream’ salary, it’s easy to get carried away. However, remember to keep your feet on the ground. That means your dream earnings should be the most you can expect to be paid given the job you are applying for and your own level of experience.
Once you’ve worked out your minimum and dream salaries, you can think about what your ‘expected’ salary will be, which will be somewhere in between. But how do you calculate it? Looking at equivalent salaries for jobs with similar requirements to what you’ve been offered is a good place to start. Of course, if you’re particularly well qualified or experienced, you may well expect higher than average market rates. You can check your salary against averages for different roles within different sectors to help work out what you can expect in your circumstances.
While take-home salary is clearly important, there are other elements to consider when negotiating a job ofer. Namely, the benefits package. For example, your prospective employer might offer one or more of the following:
– health care
– pension scheme
– stock options
– free gym membership
– travel schemes
– flexible working options
Once you know what the benefits package looks like, consider how much flexibility you are willing to offer for them. Take into account the monetary value of each benefit, but also consider some of the lifestyle and time-saving benefits, for example, a company pension scheme will mean you do not have to organise your own.
Your prospective employer is likely to have a figure in mind for your salary, but don’t simply accept or reject the first offer. You can ask if there’s any flexibility in the offer, as well as how regularly salary reviews will take place – taking a lower salary will be more acceptable if there will be regular salary reviews when you join.
If the package is around your expected salary, you should still attempt negotiation, explaining how your experience, knowledge and qualifications position you in the market. In the event of being offered your dream salary, you’ll probably want to discuss room for future growth in earnings and career development. Remember that while this is your dream salary, as you progress your expectations are likely to increase.
Whatever salary and benefits package you’re offered at first, you should never flat-out refuse it straight away. You should state that you ‘need time to consider the package’, giving both you and the employer more time to consider your options.
Remember that you shouldn’t solely consider salary. Take into account other considerations, such as benefits, working hours, work culture, the job itself and room for career development. If the salary is not what you expected and not compensated by additional benefits or career development, you should still take the opportunity to weigh up your options if there is no room for manoeuvre. After all, it might be that the job is just too good to turn down…