Salary Negotiation Coaching

Salary negotiation coaching is something I do with all my candidates. Not because I’m not the one doing the negotiating. But because I want them prepared in case they’re caught off guard.

Salary discussions are intimidating! Many people don’t know how to go about them. I can relate since I once had an offer rescinded very early in my career. This was devastating at the time. If only I had had someone to coach me! This article will offer salary negotiation coaching as if you are NOT working with a 3^rd party recruiter who would represent you.

Start at the Beginning

Salary negotiation should start from the moment you begin speaking with a recruiter (internal or external) and/or hiring manager about a new role. Let’s be real. We exchange work for money. It’s kind of the main point of employment.

Sure, we all (hopefully) get a lot more out of our job. But first and foremost, we are looking to make a living, and that involves the almighty dollar – your salary.

When I first speak with a candidate, I almost always ask what ballpark salary and total compensation range they would require to make a change to a new role, assuming everything else about the job met their needs.

Why a Ballpark?

I say ballpark, because it is critical to evaluate all the components of a compensation package before landing on a definite number. My question is to simply determine the neighborhood we are talking about rather than the exact location on which we would need to land.  

If and when someone asks for your initial compensation expectation, give a range with caveats. It might go something like this:

“I’m most focused at this point on learning how I could add value in this role and progress my career. With that said, I can share that I would look for a ballpark range of $150,000 to $170,000 base salary plus bonus, give or take. The exact amount could vary depending on the specifics of any bonus or incentives plus the benefit package.”

Salary Negotiation Coaching Tips for Early Conversations

• Do research ahead of time for what the role should pay someone at your experience level. Here is a good place to start.
• Give a wider but realistic ballpark.
• Ask the interviewer what they have in mind for a range.
• Don’t ever give a low-end number below which you would accept.
• Make the low end of your range a bit higher than the lowest you would accept.
• Always ask for additional information on all the benefits (Vacation, Medical, Dental, Vision, Parental leave, 401K/retirement options, etc.) and state that you will provide a more concrete range once you’ve evaluated those alongside the opportunity.

Later and Final Interviews

By now, you should be getting a good feel for the job, the ways in which your background fits and how you can add value, and how it will align with your career goals. Ideally, it should be a great match on both sides. Let’s assume it is and you want the job.

At this point, I review salary expectations with candidates to see if anything has changed as they’ve reviewed the job AND the benefits package.

If by chance the employer has not shared with you any information on benefits or the information is incomplete, ask again. If they still won’t share until offer, and they ask for your salary expectations again (or for the first time), you’ll need to default to your original answer. Unless something new and materially different has come out of the interview process. Such as, you’re interviewing for a Senior Analyst role, and they have decided to consider you for a Manager role with direct reports instead. This is a higher level of responsibility and would command a higher salary.

If nothing material has changed, restate your original range and emphasize that you will need to review the benefits package before offering a more definitive salary requirement, so the employer understands that it may change depending on this information.

No Surprises

Something to note: employers AND candidates don’t like it when salary expectations are changed late in the game. If both sides are 100% up front in offering complete information, this shouldn’t be a problem. In fact, salary negotiation at the end should go smoothly if it has been discussed throughout the process. Adjustments should be minor.

Many of you believe there should be an offer, counteroffer, and wrangling back and forth at the end. But when I work with candidates, most of the back and forth happens during the process rather than at the end, so there are few surprises. This leads to better outcomes for everyone and a LOT less wasted time.

The worst thing that can happen is that salary and benefits are never discussed until offer time, and both parties have fallen in love but find out they’re incompatible when it comes to money.

Salary Negotiation Coaching Tips for the Middle and End of the Interview Process

• Ask all your qualitative questions about the job. Get clear on whether or not you want the job before an offer is made. This way, if they make an offer in line with your salary objective, you are ready to accept.
• If you still have questions, ask the recruiter or hiring manager to schedule a follow up chat. If they won’t do this, it’s a red flag and you should consider whether or not it makes sense to continue forward in the process.
• Ask again if the employer can provide information on benefits. Call them if necessary to get this information. It’s vital to evaluate. I have seen candidates pull out of a process once they reviewed medical coverage OR learned about key policies, such as vacation time or parental leave.

Offer Time!

You’ve made it! They love you. You love them and the job. It’s time to seal the deal. At this point, HR or the hiring manager may once again review salary expectations with you. This is where I ask the question, “what is your ideal number that would get you to say YES immediately, and what is the number that $1 below which you would say an immediate NO?” I assume everything in between may prompt some thought but is a likely YES, maybe with a bit of adjustment on some of the main points.

If you’re representing yourself, ask this question of yourself. Do some analysis and know your bottom line. If asked again for a salary requirement, provide a tighter range with the bottom of it falling above your bottom-line number and the top a bit above your ideal figure. You could also provide a single number – the ideal salary figure or slightly above it. I advise coming in a bit higher because employers expect this and tend to come in a bit lower.

How to Position Your Salary Expectation at Offer Stage

Which you choose should depend on your current job situation, how much you want the job, and what you discovered in your market research. (Get clear on your current situation with my Should I Leave my Job Quiz)

If your ideal salary is a stretch based on the research AND you are either unemployed or determined to leave your situation, you may wish to set your sights a bit lower or express your ability to be flexible.

If your ideal salary is squarely in the market ballpark for your experience level, the industry, and the role AND you’re gainfully employed in a stable, decent situation, you may want to go for the stretch number.

I mention these nuances because, as much as compensation has been discussed, as much as the match can appear perfect, humans are humans, and things can backpedal quickly. Someone on either side can get cold feet or change their mind. Or something at the company can change or you may receive another offer. You want to position yourself to get the most out of the process, while remaining flexible, and the nuances will impact how you do this.

Salary Negotiation Coaching Tips for Offer Stage

• Re-evaluate all the components – salary, bonus or incentives, and benefits.
• Choose how you will put forward your salary expectation and be confident.
• Assess the offer in its entirety and then decide if you need or want to counter.
• Don’t counter JUST for the sake of. If it’s a fantastic offer, if they’ve stepped up and given you exactly what you want, showing you how much they want you, accept it.
• If you need to counter, write it out first before sending it or discussing live. Be sure to use the sandwich method – start by expressing your thanks for the offer and your enthusiasm for the role in a few sentences. Then lay out your counter in bullets, including why you are asking for each point. Then close with another expression of gratitude and reiterate your desire to join the company in this role. If possible, demonstrate the benefits to the employer in your reasoning for each point. You can also give something to get something.
• Example 1: “I’m seeking a $5,000 bump to the salary because I’ll be commuting 5 days per week vs. my current 2 days, and I want to make sure I can comfortably commit the time necessary to being a visible and engaging onsite leader.”
• Example 2: I could accept a salary $5,000 below my target, if you could offer one additional week of vacation time or a small sign on.”
• People like options. It’s helpful to provide them where possible, and it can help create a win-win for both sides.

Salary Negotiation Coaching for When Things Go South

The fact is, you can do everything right, and the relationship can go south. Very quickly. Money is a sensitive issue. People get offended or put off by just about anything. When I’m involved, I facilitate and can usually head these bad outcomes off at the pass. Or I can see them coming and negotiate the situation to bring it to a friendly close before it blows up or smooth it over.

When you’re representing yourself, it’s a bit more difficult.

• If something goes south, don’t panic, and don’t give in to your first knee jerk reaction.
• Be straight forward and ask for a live conversation to get to the bottom of any misunderstanding.
• If an employer ghosts you, won’t answer questions, or pulls an offer after a (reasonable) counteroffer, it’s not the right match or you dodged a bullet.

Remember, we are all human, and humans are unpredictable. Put your best foot forward, don’t play games, and think before you email, text, or speak about anything related to money. Your efforts to get better and better at salary negotiation will pay off – literally!