How to effectively research and negotiate your salary during job interviews
Today, I am going to show you how to effectively research and negotiate your salary during job interviews.
Many people don't do enough research to identify how much they should be getting paid in advance. They often become disappointed later when they realize they should be getting paid more than what they initially asked during the interview.
Most people get worried during the salary questions and ask for lower amounts than what they should be getting paid because they fear asking for a higher salary would price them out of the position. However, this can lead you to get low-ball offers that are well below the market average. Establishing a salary range in advance ensures that this does not happen to you and helps you maximize the potential salary you can receive during negotiations.
You don't want to give a low number in the interview, accept it, and then resent the company for paying you a low salary later on. I have seen this happen to professionals too many times in my career. Not only does getting a low salary affect their perceived worth, it negatively impacts their work and their career growth as well.
Here are three steps I recommend for you to effectively research and negotiate your salary during job interviews:
Research and establish your salary range in advance
Ask about the salary budget
Ask about vacation days and other benefits
Step 1: Research and establish your salary range in advance
Do the research in advance to figure out how much you should be getting paid and be confident with the number. You are doing a favor for yourself and for your employer if you put in the time to do the research to establish a fair salary.
There are even cases where employers are unaware of the optimal salary range for the role. In these cases, the range you came up with may be more representative of what the market average is for the role than the company’s. Therefore, take the time to do the research in advance to make sure you are getting paid correctly, and if they ask, advise them on how you came up with the number.
In many cases, companies are willing to be reasonably flexible to find the right candidate for the job even if they are on the little expensive side.
As long as you do the research and you are not asking for outrageous amounts, you can establish a relatively higher range for your salary as long your experience backs it up. If the employers are having a challenging time affording you, you can always bring the range down as long as it makes sense to you.
There are three factors to consider when establishing your salary:
The location you want to perform the work
Years of experience you have
Certifications and courses you completed
To establish the salary range for yourself, use sites like Glassdoor Salaries and Indeed Salary. For example, if you are Project Manager from Toronto with a PMP, you may expect a salary between the range of 100-120K CAD. Also, establish what type of health benefits, number of vacation days, and other benefits you expect from your potential employers.
Step 2: Ask about the salary budget
Remember that companies establish a salary budget for the role before they start interviewing candidates for the position. Therefore, it’s a good practice to check if the interviewers are willing to be open about the allocated salary budget.
During interviews, the interviewers will ask you, “What sort of compensation or salary are you looking for?”
Let them know you're open to negotiating but curious about the budget:
Say, “I am fairly open in terms of salary, however, I would love to know what sort of budget your team has opened up for this position?”
If they provide you a range you expected (or higher), you can let them know that's what you expected. If their budget is lower than you expected, let them know what your true minimum salary expectations are. They may take it to their higher-ups and decide to give you what you ask for in the end.
If they ask you how you came up with the range, you can mention what you did to research your salary. They may also not know what the ideal pay range for the role and your experience is. Don't get offended if they ask you this question. They may simply not know it themselves.
In some cases, the interviewers may not or do not want to provide the salary range at this stage in the interview. It could be that it’s confidential or they simply don't want to share it at this stage of the interview.
If they insist on you providing a range first, you can let them know you are pretty flexible with the salary and the range you expect. You can add 5-10% more to the salary if you are feeling confident. I generally did this when the interviewers were unwilling to share their budgets with me.
You can say, “I am pretty flexible in terms of salary but based on my research and experience in the field, I am expecting a salary of $130,000. Is this within your budget?” If they say yes, great!
If the salary amount I ask is too much for them, then I casually and humorously ask them, “What's the maximum amount you can offer me without getting anyone in trouble?” This question usually yields me the best salary I can get from the company.
Step 3: Ask about vacation days and other benefits
Also, remember to ask about vacation days, benefits and compensation offered by the company in addition to salary.
Ask them, “I would love to know if there are any other benefits or compensation offered by the company?” Let them know what your expectations are and if you have predetermined ones.
Pro-tip: Always negotiate your salary through a phone call or in person.
They are more likely to say yes to what you ask for through phone or in person than through email or any other form.
That’s it for today!
Thanks for reading!
