What They Don’t Teach You in School: How to Negotiate Your Job Offer

As we navigate the ever-changing landscape of the job market, it’s becoming increasingly important to have the skills and knowledge to negotiate job offers effectively.

Unfortunately, negotiating job offers is not something that most of us were taught in school.

According to a recent survey by Jobvite, only 29% of job seekers negotiated their last job offer.

This means that a majority of people are leaving money and other important benefits on the table.

And with millennials carrying an average of $27,900 in student loan debt, according to the Federal Reserve, it’s more important than ever to maximize our earning potential.

That’s why in this post, we’re going to talk about what they don’t teach you in school: how to negotiate your job offer.

We’ll cover everything from understanding your worth to preparing for negotiations, making your case, handling counteroffers, and negotiating other job offer details.

By the end of this post, you’ll have the tools and knowledge to confidently negotiate your job offer and set yourself up for personal finance success.

So, let’s dive in and get started!

1. Understanding Your Worth

1.1 Researching salary information for your industry and position

When it comes to negotiating your job offer, it’s important to have a good understanding of what others in your industry and position are earning.

This will help you determine a reasonable salary range to ask for and ensure that you’re being fairly compensated for your skills and experience.

Several online resources can help you research salary information for your industry and position.

Some popular options include:

• Glassdoor: This website allows you to search for salaries by company, job title, and location. You can also see reviews from current and former employees, which can give you a better idea of what it’s like to work for a particular company.
• Payscale: Payscale provides a salary calculator that takes into account your job title, location, years of experience, and education level. You can also compare your salary to others in your industry and position.
• Bureau of Labor Statistics: The BLS publishes data on wages and employment by industry and occupation. This information can give you a good sense of the average salary for your job and industry.

Once you’ve gathered information on salaries for your industry and position, you can use this information to determine a reasonable salary range to ask for during negotiations.

1.2 Determining your skills and qualifications

In addition to researching salary information, it’s important to have a good understanding of your skills and qualifications.

This will help you make a strong case for why you deserve a certain salary and can help you negotiate additional benefits or perks.

To determine your skills and qualifications, consider the following:

• What education or training do you have that’s relevant to your job?
• What certifications or licenses do you hold?
• What skills or experience do you have that sets you apart from others in your field?
• What achievements or accomplishments have you had in your current or previous positions?

By taking an inventory of your skills and qualifications, you’ll be better equipped to make a strong case for why you deserve a certain salary or benefit.

1.3 Considering your experience and education

Finally, when determining your worth, it’s important to consider your experience and education.

These factors can have a big impact on your earning potential, as more experienced and educated workers tend to earn more than those who are just starting.

To determine the impact of your experience and education on your earning potential, consider the following:

• How many years of experience do you have in your field?
• Have you worked for any well-known or respected companies?
• What level of education have you completed?
• Have you completed any specialized training or certifications that are relevant to your job?

By taking into account your experience and education, you’ll be able to make a more accurate assessment of your worth and negotiate for a fair salary or benefits package.

Resource	Description
Glassdoor	Search for salaries by company, job title, and location. Also, see reviews from current and former employees.
Payscale	Provides a salary calculator that takes into account your job title, location, years of experience, and education level. You can also compare your salary to others in your industry and position.
Bureau of Labor Statistics	Publishes data on wages and employment by industry and occupation. This information can give you a good sense of the average salary for your job and industry.

2. Preparing for Negotiations

2.1 Gathering information about the company and its culture

Before you enter negotiations, it’s important to have a good understanding of the company and its culture.

This will help you make a stronger case for why you deserve certain benefits or perks, and it will also give you a better idea of what to expect during negotiations.

To gather information about the company and its culture, consider the following:

• Research the company’s mission statement, values, and goals. This will give you a good sense of what the company is all about and what it prioritizes.
• Check out the company’s social media accounts and website. This can give you a good sense of the company’s branding and marketing, as well as any recent news or updates.
• Look up the company on Glassdoor. This website allows current and former employees to leave reviews of the company, which can give you a better idea of what it’s like to work there.
• Reach out to your network. If you know anyone who currently or previously worked for the company, ask them about their experiences and any advice they have for negotiating with the company.

By gathering information about the company and its culture, you’ll be better equipped to negotiate benefits or perks that align with the company’s values and goals.

You’ll also be better prepared to navigate any potential challenges that may arise during negotiations.

Resource	Description
Company website	Check out the company’s branding and marketing, as well as any recent news or updates.
Glassdoor	Read reviews from current and former employees about their experiences working for the company.
Network	Reach out to anyone you know who has worked for the company to ask about their experiences and advice for negotiating.

2.2 Identifying Your Priorities and Goals

Before you enter negotiations, it’s important to have a clear understanding of your priorities and goals.

This will help you determine what benefits or perks you’re willing to negotiate for, and what you’re willing to compromise on.

To identify your priorities and goals, consider the following:

• Make a list of your top priorities. These could include things like salary, benefits, vacation time, work-life balance, or opportunities for growth and development.
• Determine what’s negotiable and what’s not. Some benefits or perks may be non-negotiable, while others may be up for discussion.
• Consider your long-term goals. Are you looking to advance your career within the company? Are you hoping to save money for a down payment on a home or to pay off student loans? Your long-term goals can help guide your negotiations.

By identifying your priorities and goals, you’ll be better equipped to negotiate for benefits or perks that align with your values and goals.

You’ll also be better prepared to navigate any potential trade-offs or compromises that may arise during negotiations.

2.3 Planning your negotiation strategy

Now that you’ve gathered information about the company and identified your priorities and goals, it’s time to plan your negotiation strategy.

This involves determining your desired outcome, anticipating potential obstacles or objections, and preparing responses to those objections.

Here are some steps you can take to plan your negotiation strategy:

• Determine your desired outcome. What is your ideal salary, benefits package, or work arrangement? Be sure to consider your priorities and goals when setting your desired outcome.
• Anticipate potential obstacles or objections. Put yourself in the shoes of the hiring manager and consider what objections they may raise during negotiations. For example, they may say that the salary you’re asking for is outside of the company’s budget, or that they can’t offer the work arrangement you’re requesting.
• Prepare responses to those objections. Come up with counterarguments or alternative proposals that address the hiring manager’s objections while still aligning with your priorities and goals. For example, if the hiring manager says the salary you’re asking for is outside of the company’s budget, you could propose a performance-based pay increase after six months.
• Practice your negotiation skills. Role-play negotiations with a friend or family member, or consider hiring a career coach to help you improve your negotiation skills.

By planning your negotiation strategy, you’ll be better prepared to enter negotiations with confidence and a clear understanding of what you want to achieve.

This can help you avoid common negotiation pitfalls and increase your chances of success.

3. Making Your Case

3.1 Presenting your value to the company

Once you’ve planned your negotiation strategy, it’s time to make your case for why you deserve the salary, benefits, or work arrangement you’re asking for.

This involves presenting your value to the company and highlighting how you can contribute to its success.

Here are some steps you can take to present your value to the company:

• Highlight your skills and experience. Use specific examples to demonstrate how your skills and experience align with the company’s needs and how you can contribute to its success.
• Show enthusiasm for the role and the company. Let the hiring manager know that you’re excited about the opportunity to work for the company and that you’re committed to their success.
• Be confident and assertive. Don’t be afraid to speak up and advocate for yourself. Remember, the hiring manager wants to hire the best candidate for the role, and by presenting your value, you’re demonstrating that you’re the best candidate.
• Use data and research to support your case. Research industry standards and salary information to support your salary negotiation, and use data and research to back up any claims you make about your skills and experience.

By presenting your value to the company, you’re demonstrating that you’re the best candidate for the role and that you’re committed to their success.

This can help you negotiate a better salary, benefits package, or work arrangement, and can set you up for long-term success in your career.

3.2 Addressing any concerns or objections

When negotiating your job offer, it’s important to be prepared to address any concerns or objections that the employer might have.

This could include anything from questions about your experience to concerns about salary expectations.

To effectively address these concerns, it’s important to do your research beforehand and anticipate any objections that might arise.

This will allow you to prepare thoughtful and convincing responses that address the employer’s concerns while also highlighting your value and qualifications.

If the employer has concerns about your experience, for example, you might want to come prepared with examples of relevant projects or accomplishments that demonstrate your skills and expertise.

Similarly, if the employer has concerns about your salary expectations, you might want to be prepared to explain how your experience and qualifications justify the salary you are requesting.

In addition to preparing for specific concerns, it’s also important to be open and receptive to feedback from the employer.

By listening carefully to their concerns and addressing them thoughtfully, you can demonstrate your commitment to the job and increase your chances of reaching a mutually beneficial agreement.

3.3 Asking for what you want

Once you have presented your case and addressed any concerns or objections, it’s time to ask for what you want.

This is the most important part of the negotiation process, and it can be intimidating.

However, if you have done your research and are well-prepared, you should be able to make a compelling case for your desired salary or benefits.

When asking for what you want, it’s important to be clear and direct.

Don’t beat around the bush or use vague language. Instead, state exactly what you are asking for and why you believe you deserve it.

Use the information you gathered during your research and the points you made during your presentation to back up your request.

For example, if you are asking for a higher salary, you might say something like, “Based on my research, the average salary for someone in my position with my level of experience is $X.

However, I believe my skills and qualifications make me a valuable asset to this company, and I would like to request a salary of $Y.”

It’s also important to be confident and assertive when making your request. Don’t apologize for asking or act as though you are making a huge demand.

Remember, you are simply asking for what you believe you deserve based on your skills, qualifications, and the value you bring to the company.

Finally, be open to negotiation.

Your employer may not be able to meet all of your requests, but they may be willing to compromise on certain points.

Be willing to listen to their counter-offers and be prepared to make some concessions if necessary.

The goal is to reach a mutually beneficial agreement that both you and your employer are happy with.

4. Handling Counteroffers

4.1 Considering the Pros and Cons of a Counteroffer

After you have negotiated your initial job offer, the company may provide you with a counteroffer.

A counteroffer is an offer made by the employer in response to your negotiation.

While a counteroffer may seem like a good thing, it is important to weigh the pros and cons before accepting it.

Pros of a counteroffer:

• The company is showing that they value you and want to keep you
• You may be able to get a higher salary or better benefits
• It can boost your confidence and make you feel valued

Cons of a counteroffer:

• The company may only be making the counteroffer to keep you in the short-term, and may not have long-term plans for you
• You may have burned bridges with the company if you were initially planning to leave, and they may hold it against you in the future
• It could lead to a culture of constantly negotiating for more, which may be unsustainable

4.2 Responding to a Counteroffer

If you do receive a counteroffer, it is important to respond thoughtfully and professionally.

Here are some tips for responding to a counteroffer:

• Thank the employer for the counteroffer and express appreciation for their willingness to negotiate
• Consider the pros and cons of the counteroffer and take some time to decide
• Be transparent with the employer about your decision-making process
• Remember that the negotiation process is a two-way street – be willing to compromise and find a solution that works for both parties

4.3 Negotiating further if necessary

If you decide to negotiate further after receiving a counteroffer, it is important to remain respectful and professional throughout the process.

Here are some tips for negotiating further:

• Be clear and specific about what you are asking for
• Use data and research to support your arguments
• Be willing to compromise and find a solution that works for both parties
• Be prepared to walk away if the negotiation is not going well or if the company is not willing to meet your needs

Remember that the negotiation process is not just about getting the highest salary possible, but about finding a solution that works for both you and the company.

It is important to approach the negotiation process with an open mind and a willingness to compromise.

5. Negotiating Other Job Offer Details

When negotiating your job offer, it’s not just about the salary.

There are other important details that you can negotiate to make your job offer even more appealing.

Here are some areas that you can consider negotiating:

5.1 Benefits and perks negotiation

Benefits and perks can be important factors when deciding on a job offer.

Make sure you research the company’s benefits package and see if any benefits are particularly important to you.

Here are some examples of benefits and perks you could negotiate:

• Health insurance: If the company offers health insurance, see if they are willing to cover a higher percentage of the premiums or if they offer better coverage options.
• Retirement plan: Negotiate for a higher employer contribution or ask for a more flexible retirement plan.
• Vacation time: If the company has a set vacation policy, see if they are willing to negotiate more time off or if they have a policy for extra vacation days for special circumstances.
• Professional development: If you’re interested in continuing education or professional development, see if the company is willing to cover the cost of courses or conferences.

5.2 Remote work and flexible schedules negotiation

With the rise of remote work and flexible schedules, negotiating these options can be very appealing to many job seekers.

Here are some examples of what you can negotiate:

• Remote work: If the job can be done remotely, see if the company is open to a partial or full remote work schedule.
• Flexible schedules: Negotiate for flexible hours or a compressed workweek if the company’s policies allow it.
• Time off: See if the company has policies for personal days, mental health days, or flexible time off and if they can be negotiated.

5.3 Relocation and signing bonus negotiation

If you’re relocating for the job, negotiating for relocation expenses and a signing bonus can be helpful in offsetting costs.

Here are some examples of what you can negotiate:

• Relocation expenses: Negotiate for the company to cover or partially cover moving expenses, temporary housing, or transportation costs.
• Signing bonus: Negotiate for a signing bonus to help cover any upfront costs associated with the job, such as a new wardrobe or housing deposits.

Remember, negotiating these additional details of your job offer can make a significant impact on your overall satisfaction with your job.

Don’t be afraid to negotiate and advocate for yourself!

6. Closing the Deal

After a successful negotiation, it’s time to close the deal and finalize the job offer agreement.

Here are some key steps to take to close the deal:

6.1 Finalizing the job offer agreement

Once you have negotiated the terms of the job offer and both parties are in agreement, it’s time to finalize the job offer agreement.

Make sure to review the agreement thoroughly, and if there are any changes or clarifications that need to be made, make sure to address them before signing the agreement.

6.2 Expressing Gratitude and Enthusiasm

It’s important to show gratitude and enthusiasm towards the company and the hiring manager once the job offer agreement has been finalized.

This can be done through a thank you email or letter, expressing your excitement about joining the team and reiterating your commitment to the company.

6.3 Following up with the next steps

After the job offer agreement has been finalized, it’s important to follow up with the next steps.

This can include filling out any necessary paperwork, scheduling a start date, or coordinating any necessary training or orientation.

Make sure to stay in communication with the company throughout this process to ensure a smooth transition into your new role.

Now that you’ve successfully negotiated your job offer and closed the deal, it’s important to continue building a strong relationship with your employer.

Maintaining open communication, meeting performance expectations, and continuing to develop your skills and knowledge will help you succeed in your new role and potentially lead to future opportunities for growth and advancement within the company.

Bottom Line…

Hopefully, this article has helped you to have a better understanding of the negotiation process and the steps you can take to increase your chances of getting the job offer you want.

Remember, negotiating your job offer is not just about getting more money.

It’s also about considering other important factors such as benefits, perks, flexible schedules, and more.

By preparing for your negotiation, identifying your priorities and goals, and presenting your value to the company, you can make a compelling case for why you deserve the job offer you want.

Studies have shown that negotiating your job offer can have a significant impact on your earnings over time.

A study by Payscale found that employees who negotiate their salaries can earn up to $1 million more over their careers than those who don’t negotiate.

So, don’t be afraid to negotiate your job offer.

Express your gratitude and enthusiasm for the offer, but also be willing to advocate for yourself and your worth.

Follow up with the next steps and make sure to finalize the agreement in writing.

Remember, negotiating your job offer is just one step in your personal finance journey.

By taking control of your finances, budgeting wisely, and investing in your future, you can achieve your financial goals and build a bright financial future for yourself.

Thank you for reading and good luck with your job offer negotiations!