The Definitive Guide to Negotiating Your First Salary

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While many employers might wish we’d work for free, let’s face it: we’ve got to pay for our kale somehow.

So when you’re faced with your first salary offer, you’re also faced with a tough decision of whether or not you want to negotiate. On one hand, you want to get paid as much as the company is willing to offer you. On the other, you don’t want to ask for too much and lose the offer to a comparable candidate who’s available at a discount. The truth is, it’s not easy asking for a higher salary, especially when it’s your first one.

If you’re afraid of asking for a higher starting salary, you’re not alone. In fact, more than 60% of millennials aren’t negotiating a salary. (Funny, considering our reputation for being overconfident!)

As it turns out, though, that fear is largely unfounded: PayScale’s data shows that 43% of those who asked for a higher salary had their requests fulfilled.

What you should be afraid of is not negotiating your first salary. Believe it or not, research says that those who fail to negotiate their salary at the beginning of their careers stand to miss out on a whopping $500,000 over the course of their lives. (Tweet this!)

Remember, your first salary is a starting point. Your future salary increases – assuming you stay at the same company – are going to be proportional to that starting figure. The bigger your first salary, the bigger your future salaries and total lifetime earnings will be.

OK, So Now What?

So just how do you go about ensuring you’re getting the right salary right off the bat? Different situations might call for different tactics, but for the most part, if you keep the following steps in mind as you prepare for your negotiations, chances are you’ll end up closer to where you want to be.

1. Do Your Homework

As the top candidate, you need to know what the job entails, and know the company inside and out. After you’ve turned the tables around, it’s now time to use their offer as a starting point and see if you could bump that number a little higher. To do this, you need to know everything about what your job expectations would be, and you have to know everything there is to know about the company. Present yourself like an expert, and you’re more likely to be rewarded like one.

2. Research Salary Figures for Comparable Jobs

There are a good deal of resources available that you could use to find salary information pertaining to similar jobs in your field of interest. Try checking out your school’s resources and data to get a breakdown of salaries for different careers, or look at salary directories like PayScale and Salary.com.

Armed with this information, you can simply request a number that you think is fair based on your qualifications and your geographic location.

3. Sell Yourself

Demonstrate what sets you apart and makes you worth the salary you’re requesting. At the end of the day, you’ve got to prove to the hiring manager that you will be vital to the team. Focus on the value you’re bringing to the company by quantifying your accomplishments. You want to show the hiring manager that they would be making a mistake by letting you go.

4. Don’t Discuss Salary Before You Receive an Offer

Many employers will ask for salary requirements on an application and during the interview process. Whatever you do, don’t tell them how much you’d be willing to take. If the application requires an input before moving on, enter “will discuss” or put a dash through it. If you must put a number, use 0 so you can move on. (Don’t worry, employers know you won’t work for free.) If you’re feeling pressured in an interview, let the company know that you’re more concerned with the work you’d be doing than the pay and that any reasonable offer will suffice.

5. Don’t Be the First to Say a Number

Employers want to pay you the lowest wage possible that will make you moderately happy. So they’re bound to ask you to name the first figure after extending an offer. If you respond with your salary expectations, there’s a good chance they’ll use that number as a starting point and go lower. Instead, ask them what they’re offering and remind them that you will consider any reasonable offer. If necessary, use your research to coax a number out of them. You’ll be throwing some numbers out there and leaving the ball in their court without having to give them your magic number.

6. Stay Quiet

In this situation, silence is a virtue. Let them speak first. Once they offer a number, you can employ a tactic like repeating that number to yourself and then being silent. Silence puts pressure on the manager, which may very well force them to bump up the offer. It may be awkward, but just go with it. Take a deep breath to calm your nerves and imagine your salary rising a little higher with each passing second. By the time it’s over, you’ll be fighting back a grin.

7. Don’t Forget About Additional Benefits

While some stubborn companies might not budge on salary, it’s important to keep in mind that compensation isn’t limited to how much money gets directly deposited into your bank account every other week. In these cases, you might want to negotiate for other kinds of perks, like extra vacation days, a higher 401(k) match or the ability to work from home.

Remember, you won’t get what you don’t ask for. So don’t be afraid to speak up when you are offered your first salary — it can only go up!

Have you ever negotiated for a higher salary? How did it go?

Image: Flickr

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