After applying, interviewing, answering questions, and waiting for a decision, finally seeing an offer in your inbox can feel like a big win. Receiving a job offer is exciting, no matter how long you’ve been on the job market!
Already working in your current role and thinking about asking for a raise? Read our article on How to Ask for a Salary Increase instead.
But there is one more conversation you may want to have before accepting: salary negotiation.
Many job seekers feel uncomfortable negotiating their salary. You might worry about asking for too much, wonder whether the employer will change their mind, or simply have no idea what number to give.
The good news is that salary negotiation does not have to be complicated or confrontational. When you approach it with preparation, research, and a clear understanding of your value, you can have a professional conversation about your compensation.
Should you negotiate your salary?
Not every job offer needs to be negotiated, but you do not have to automatically accept the first salary an employer offers either. If the salary is below your expectations, your experience is particularly relevant to the position, or you have skills that are valuable to the employer, it may be worth asking whether there is flexibility.
A salary negotiation is simply a conversation about compensation. You are not demanding that an employer agree to your number. You are asking whether there is room to find an arrangement that works for both sides. And remember, the fact that an employer has offered you the job means they already see value in what you can bring to the company.
Do your research before negotiating
One of the most important parts of salary negotiation happens before you speak to the employer. You need to have an idea of what similar positions are paying.
Research salaries based on:
- Your job title
- Industry
- Location
- Experience
- Qualifications
- Specialist skills
- Level of responsibility
Look at current job vacancies, salary information, and other reliable sources rather than relying on one number you find online. You are trying to build a realistic picture of the market, not find one “correct” salary. A financial analyst in Amsterdam, for example, may have very different salary expectations from one in London or Singapore, depending on their experience, employer, and responsibilities.
Know your value
Market research is important, but your personal experience matters too. Before negotiating your salary, think about what makes you a strong candidate for the position.
Consider:
- Relevant professional experience
- Technical or specialist skills
- Qualifications and certifications
- Industry knowledge
- Leadership experience
- Results you have achieved
- Experience with similar responsibilities
- Skills that are particularly difficult to find
Think about the connection between your experience and the job you have been offered. The stronger that connection is, the easier it becomes to explain why your salary expectations are reasonable.
Decide what salary you want
Do not wait until the employer asks, “What salary would you accept?” to decide what you want. Before the conversation, work out your numbers.
Your ideal salary : The amount you would be very happy to receive.
Your target salary: The amount you realistically want to negotiate towards.
Your minimum acceptable salary: The lowest amount you would personally be comfortable accepting.
Your minimum is for your own decision-making. You do not have to reveal it to the employer.
Having these numbers in mind can make the negotiation much easier because you are less likely to make a decision in the moment simply because you feel pressured to respond.
Should you give a salary range?
You may be asked for your salary expectations during the hiring process or after receiving an offer. If you decide to give a range, make sure it is based on your research and experience.
For example, if your research shows that similar roles typically pay between €50,000 and €60,000, you might use that information alongside your experience and qualifications to decide where your own expectations should sit.
Also remember that employers may interpret the lower end of your range as the figure they should offer. This is why it is important to choose your range carefully.
Wait until you have the job offer when possible
If you have already received a formal job offer, you are in a stronger position to discuss the details of the compensation package. The employer has decided that they want you to join the company. That changes the conversation. You now know more about the position, its responsibilities, and what the company is prepared to offer.
If salary comes up earlier in the hiring process, you can still discuss your expectations. But when possible, having the salary conversation after an offer has been made gives you more information to work with.
Prepare for the salary conversation
You do not need to memorize a speech, but it helps to know what you want to discuss before you speak with the employer. Think about the main points you want to cover, including your experience, relevant skills, market value, and the salary you would like to discuss. Keep your points clear and focused. You want the conversation to feel like a professional discussion rather than a long presentation. It can also help to practice beforehand, especially if talking about money makes you nervous.
Look beyond the base salary
Salary negotiation does not always mean negotiating only the base salary.
Depending on the role and company, compensation may also include:
- Annual bonuses
- Performance bonuses
- Commission
- Signing bonuses
- Salary review timelines
- Potential salary increases
If the employer cannot move on the base salary, there may be other salary-related elements worth discussing. This does not mean you should automatically accept a lower salary because of a bonus. Make sure you understand how bonuses or commissions work and whether they are guaranteed, performance-based, or dependent on specific conditions.
Keep your negotiation professional
Salary negotiation should feel like a professional conversation, not a competition. You do not need to apologize for asking about compensation, but you also do not need to make demands. Keep the conversation focused on your experience, skills, market value, and the responsibilities of the position. Stay open to the employer’s response and listen to what they have to say. A confident approach can be as simple as being clear about what you are asking for and why.
What if the employer says the salary is fixed?
Sometimes the answer will be no. The company may have a fixed salary range for the position, budget limitations, or internal salary structures that prevent them from increasing the offer. That does not necessarily mean the negotiation was unsuccessful.
You can ask whether there is flexibility around other salary-related compensation, such as a signing bonus, performance bonus, or the timing of a salary review. You can also ask when your salary would next be reviewed.
Most importantly, do not feel that you have done something wrong simply because the employer cannot increase the offer. You asked. They gave you an answer. That’s part of the process.
Take your time before accepting
You do not have to accept a job offer the second it arrives. Take some time to review the salary and compensation details carefully, but do not leave the employer waiting indefinitely. In most cases, giving yourself a few days to consider the offer is reasonable, while a week or more could risk delaying the process or even losing the offer, depending on the employer and hiring timeline. If the employer has given you a specific deadline, use that as your starting point.
Make sure you understand exactly what you are being offered and whether any bonuses or other salary-related elements have conditions attached to them. If something is unclear, ask. It is much easier to have these conversations before you accept the offer than afterwards.
Common salary negotiation mistakes
Salary negotiation can become much more difficult when you go into it unprepared.
Try to avoid:
- Giving a salary expectation without researching the market
- Choosing a number simply because it sounds good
- Revealing your minimum acceptable salary too early
- Focusing only on personal financial needs
- Making unrealistic demands
- Treating the negotiation like an argument
- Accepting immediately without reviewing the offer
- Forgetting to confirm agreed salary changes in writing
You do not need to be an expert negotiator. Preparation can take you a long way.
A little confidence goes a long way
It is completely normal to feel nervous about salary negotiation. Talking about money can feel much more personal than talking about your experience or qualifications. But compensation is part of your employment agreement, and discussing it professionally is a normal part of accepting a new position.
Do your research. Know your value. Decide what you want. Then have the conversation. You might get exactly what you asked for. You might receive a counteroffer. Or the employer might tell you that the salary is fixed. Whatever happens, you will have made an informed decision rather than simply accepting the first number because you were unsure what else to do.
Ready to negotiate your next job offer?
We’ve created a free Salary Negotiation Checklist to help you prepare.
Use it to research your market value, decide what salary you want, prepare for the conversation, and keep track of the key points before accepting your next job offer.
Download the free Salary Negotiation Checklist
Want extra support with your career?
Negotiating a job offer is only one part of building a successful career. If you would like personalized support from an experienced professional, MentorCruise connects professionals with mentors for career development, interview preparation, and other career goals. Click here to find a Mentor on MentorCruise!
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Content Disclaimer
The information provided by Banks and Insurance Jobs is intended for general informational and educational purposes. While we aim to provide useful, accurate, and up-to-date career information, individual circumstances vary, and the information may not apply to every situation. The content should not be considered legal, tax, financial, or investment advice. Readers should seek advice from a qualified professional where appropriate.