Receive a job offer? Don't rush to accept it. Knowing how to negotiate a better job offer, even asking for more money—could be worthwhile. Fidelity's 2022 Career Assessment Study revealed that 87% of Americans who countered on salary, other compensation or benefits, or both, received at least some of what they requested.1
Negotiating can be awkward. You don't want to come off as ungrateful and you might even be concerned about losing the offer you have if you try to get a better one. Even though 55% of workers don't ask for a higher salary when offered a new position, 73% of employers are willing to negotiate salary on an initial job offer.2
According to Alexandra Carter, a professor at Columbia Law School, employers are expecting you to negotiate.2 Still, there's a way to navigate it so you're still in your new employer's good graces—and help your chances of getting a raise in the future—or some other benefit you want. Here's how to negotiate salary and a job offer.
How to negotiate salary and a job offer
If you receive a job offer, assume the employer is motivated to agree to a deal that makes everyone happy. It's okay to be optimistic and to even start planning for negotiation before a job offer.
1. Schedule a conversation with the right person to negotiate with
Usually, whoever makes the offer—whether it's a hiring manager, HR rep, or recruiter—is the person to talk to when you negotiate. You could request half an hour of their time to discuss the offer after you receive it, but make sure you leave enough time for the following prep work.
2. Gather data
You may have done research about salaries for the role before you interviewed. Now, go deeper. Check job review sites and public forums for more information about salaries at your prospective employer. You can also look at competitors' details to find rough salary ranges for your role, area, and field. Save these numbers for your negotiating conversation, yet keep in mind that depending on the organization and role, there may or may not be flexibility within the salary band.
3. Talk to your future coworkers
Maybe you made a connection with a peer during an interview panel, or a former colleague referred you. If you're in contact with someone you trust at the organization who isn't your potential manager or a recruiter, you could ask if they've successfully negotiated a job offer with the employer—and how. However, they might not feel comfortable sharing, and that's okay. If they do open up, then you may get an idea of what works with negotiating for that company.
4. Prioritize what you want to get out of negotiating
Consider what parts of the job offer—beyond salary—may be negotiable:
- Your title
- Signing bonus amount
- Start date
- Stock options/restricted stock units (RSUs)
- Remote work/schedule flexibility
- Paid time off, family leave
- Bonus payout %
- Tuition reimbursement
- Childcare assistance
Even if you can ask for more, pick the top 3 benefits you care most about and focus on them. If the employer can't budge on your wages, bring up the other alternatives.
5. Prepare your negotiating assets
If you're currently employed, you could take your new job offer to your current employer and see if they'd counter. If you're interviewing elsewhere and plan to leave your current job–that could be an incentive to increase your current pay. If another offer is better, you could ask the employer to match or beat it. If you're far along in the job application process at another company, you could tell that employer that you'll withdraw your application unless they raise your base salary. If you have specialized skills, advanced education, or qualifiable experiences this could also be leveraged during negotiation.
6. Write out a strategy based on your ideal outcome
Decide what you'll say first. Then, think through how the employer might respond to your opening line and come up with a response. The more you prepare for every potential reply, the more successful you stand to be.
7. Stay polite during your conversation
The employer shouldn't be annoyed that you want to negotiate, but how you negotiate is important. Throughout the discussion, it should be apparent that you care about the role and company—you're just trying to land on an offer that works for both parties. Be assertive, but not aggressive, and show you can find common ground with others, a skill you'd want to be known for in the workplace anyway.
8. Make your question simple
If you know exactly where you'd like to land on salary, and it's within reason, then ask, "Are you able to offer (your goal salary)?" It's a basic question that could get you an easy answer.
9. Show them what you're worth
If their offer isn't on par with similar pay based on the data you gathered, then bring that up—plus any supporting evidence the salary is on the lower end of what's fair. Remind them of ways you're valuable, whether it's a long tenure in the industry, experience, relationships with prospective clients, or deep knowledge of a program the team is beginning to use.
10. Be patient
It may be unlikely that the person you're talking to can authorize a better offer on the spot. Once you've made your case and they've agreed to take your request to the person with authority to approve it, thank them for considering being flexible with their offer. Also, restate your interest in the position and the company and then let them know you look forward to hearing back from them. Then, wait. If anything about your situation changes. For example, if another company makes you a better offer, then let that employer know. Otherwise, give them time to respond to you.