With the job market more competitive than ever, job seekers are looking for any edge they can get during the hiring process. One common strategy is using sites like LinkedIn and Glassdoor to research the typical pay range for a given role, so you can go into salary negotiations with that benchmark in mind. However, relying too heavily on sites like LinkedIn can backfire in a few key ways.
The Drawbacks of LinkedIn Salary Data
While LinkedIn can provide some useful salary insights, there are some significant drawbacks to using it as your sole data source during salary negotiations:
- LinkedIn data is self-reported and therefore less reliable than data from official salary surveys.
- The sample size for any given job title is usually small, meaning the salary range may not be truly representative.
- Factors like geography, company size, and experience level are not accounted for in the standard LinkedIn salary feature.
- Salary information is not verified, allowing for exaggerations or under-reporting.
- The data can quickly become outdated, as salaries rise over time.
Relying too much on LinkedIn salary data can cause you to undervalue or overestimate your market worth. A more rounded approach is needed.
Alternative Salary Research Strategies
Here are some alternative ways to research typical salary ranges, in addition to checking sites like LinkedIn and Glassdoor:
Use Salary Surveys
Professional associations and HR organizations regularly conduct extensive salary surveys across industries. These surveys have much larger sample sizes and may break down salary by factors like location, experience, company size, education level, and responsibilities. Organizations like the Society for Human Resource Management (SHRM) and WorldatWork publish respected annual salary survey reports.
Talk to Recruiters
Specialist recruiters areanother great resource, as they work with many companies to fill positions. They can advise you on the typical pay range for your skillset within your local market. Connect with recruiters on LinkedIn or set up informational interviews to get their insight.
Research Cost of Living
Online cost of living calculators can tell you how salaries are adjusted between geographic regions. This gives you an idea of how your salary needs to change based on where you live and work. Sites like PayScale and Salary.com offer helpful cost of living tools.
Benchmark Within Your Network
Speaking with close colleagues and your professional network can reveal useful local salary intel too. While you want to be discreet, trusted contacts may be willing to share general insight on pay rates for similar roles in your area. This can give you another data point to consider.
How to Use Salary Data During Negotiations
Once you’ve researched salary ranges through multiple avenues, how do you actually use that data during negotiations? Here are some tips:
- Avoid citing specific salary figures early on. Wait for the employer to provide a number first.
- If the initial offer is lower than expected, respectfully note your research shows a higher range based on your experience and capabilities.
- Highlight your unique value proposition and skills that may warrant above-average compensation.
- Remain flexible and open to non-salary benefits that might meet your needs too.
- Express your enthusiasm for the role and emphasize you want to find mutual agreement.
The most persuasive salary negotiations combine market data with your personal value to the organization. Avoid rigid demands and ultimatums. Instead, use salary research to frame the discussion but stay focused on getting the details right for both sides.
When to Disregard Typical Salary Ranges
While benchmarking against market data is helpful, there are certain situations where you may want to disregard typical salary ranges altogether:
- When changing careers: Making a major career change to a new field often means starting again at a junior level in terms of pay.
- When pursuing your passion: If you are moving into a nonprofit or cause-driven field, be prepared for lower pay but more fulfillment.
- When seeking a rapid promotion: Taking on a higher role well before you meet the typical experience requirements may mean compromising on pay at first.
- When prioritizing growth potential: A role with tremendous learning and advancement opportunities may offset a lower immediate salary.
In these situations, focus more on the long-term career capital you can build rather than short-term compensation. Weigh what’s most important to you and the tradeoffs required.
Questions to Ask About Salary and Benefits
Here are some key questions to ask when negotiating salary and benefits with a new employer:
- When do salaries typically get reviewed and adjusted based on performance?
- How much of a raise could I expect in the first year if I meet/exceed goals?
- Are there annual bonuses or profit sharing programs?
- Do you offer signing bonuses or relocation packages?
- What is the policy on overtime pay?
- Are there opportunities for annual equity grants or participation in employee stock purchase plans?
- How much vacation time, sick leave, and personal days are provided?
- Are work schedule and remote work options available?
- Which health, dental, and vision plans are offered and how much is the employee contribution?
- Is there tuition assistance or professional development reimbursement?
Getting clarity upfront on the full compensation picture, beyond just base salary, allows you to make an informed decision on any job offer.
How to Handle “Salary Requirements” Questions
Many job applications and interviews will probe for your current or desired salary figure. This is asked early on to control salary expectations. How should you respond? Here are some tips:
- If required, provide a reasonable range based on your research, not an exact number.
- Explain you are flexible on salary depending on the entire package and growth opportunities.
- Note this is negotiable and you welcome a fair offer from the employer.
- Redirect the focus to your qualifications and interest in the role.
- Ask to discuss compensation details later once you have learned more about the position.
Avoid giving a direct salary number until an actual offer is on the table. Stress your flexibility and redirect the discussion to the value you can bring to the organization.
Leveraging Job Offers and Counteroffers
Actively pursuing multiple opportunities can maximize your salary negotiating power. Here are some ways to leverage competing offers and counteroffers from your current employer:
- Time your job search to coincide with peak hiring seasons or busy periods for your industry.
- Apply to several roles at once to create multiple offers simultaneously.
- Communicate that you are exploring a few exciting options but are very interested in their role.
- Request expedited timelines and negotiate firmly using your competitive options.
- Consider pros and cons carefully before accepting a counteroffer from your current employer.
Handling the job search diplomatically is key. Never misrepresent the status of your process. But exploring various opportunities can incentivize companies to put their best offer forward.
Negotiating Salary Remotely
Remote work is now commonplace, which means salary negotiations often happen virtually too. Here are some tips for effective remote salary negotiations:
- Prepare and practice your talking points to appear polished on video calls.
- Send summary emails after verbal discussions to document the key points covered.
- Request time to consider offers and counteroffers to reduce pressure.
- Explain your value proposition and enthusiasm clearly when not meeting in person.
- Leverage tools like video calls, screenshots, and presentations to showcase your skills visually.
While in-person meetings may aid rapport building, the core negotiation strategies remain the same. Use remote tools strategically and follow up diligently to gain salary leverage.
Salary Negotiation Tips for Women
The gender pay gap remains a stubborn reality. On average, women earn 82 cents for every dollar men earn. Salary negotiation is key to narrowing this gap. Here are tips specifically for women negotiating pay:
- Research typical pay at your experience level regardless of gender. Benchmark to the highest end.
- Enlist a mentor or advisor to review your negotiation approach and provide feedback.
- Roleplay negotiations with a friend to build confidence and practice responses.
- Highlight achievements and results that clearly demonstrate your value.
- Project confidence through assertive (but not aggressive) language and tone.
- Push back respectfully but firmly if you encounter bias or double standards.
While change takes time, women can make a difference by advocating strongly for themselves during salary discussions. Approach negotiation as an opportunity to showcase your talents and earn equitable pay.
Creative Salary Negotiation Tactics
Think outside the box during salary talks. Consider proposing creative alternatives or value-adds to make an offer more appealing, such as:
- Flex scheduling or remote work options
- Paid training and conference participation
- Tuition reimbursement for continuing education
- Additional vacation time
- Earlier salary review dates
- Expanded job duties or scope of role
- Commitment to clearly defined career advancement path
- Company car, cell phone, or other tangible perks
Sometimes enhanced non-salary benefits can fill the gap if base pay increase room is limited. Get creative in requesting alternatives that provide value to you.
Handling Salary Negotiation Rejection
Despite your best efforts, sometimes salary negotiation requests are rejected. How you handle that rejection determines whether the door remains open. Here are constructive responses if your ask is declined:
- Express your understanding and acknowledge the employer’s perspective.
- Reiterate your interest in the role and the organization.
- Request consideration for future reviews once you demonstrate your contributions.
- Ask about alternative forms of compensation that could bridge the gap.
- Maintain a positive tone to preserve the relationship, even if you decline the offer.
Negotiation does not have to end in an impasse if your initial request is denied. Look for creative solutions to find middle ground when possible.
When to Work with a Negotiation Expert or Lawyer
In high-stakes negotiations for senior executive roles or specialized positions, it may be wise to work with a professional negotiator, such as:
- Executive coach
- Recruiter or talent agent
- Contract negotiation lawyer
- Private consultant or negotiator
These experts can provide leverage in critical negotiations by:
- Setting aggressive but reasonable goals for total compensation.
- Advising on industry standards for executive-level perks.
- Researching precedents from within the company.
- Crafting optimal strategies and fallbacks.
- Joining calls or meetings as an advocate.
- Ensuring favorable legal terms and protections.
While the cost can be substantial, their specialized expertise may yield significant financial upside that greatly outweighs the investment.
Common Salary Negotiation Mistakes to Avoid
These common mistakes can severely undermine your salary negotiation success:
- Neglecting to research market salary ranges
- Sharing your current salary or required number prematurely
- Making extreme demands not backed by data
- Issuing ultimatums or threats
- Lying about competing offers
- Stonewalling meaningful discussion
- Focusing solely on money rather than value provided
- Displaying anger or annoyance if requests are denied
- Forgetting to ask about other forms of compensation
- Accepting offers too quickly without deliberation
Salary negotiation is an art that requires careful preparation, strategic communication, and win-win thinking. Avoid aggressive or unethical tactics that can backfire.
Key Takeaways
Here are some key takeaways on salary negotiation best practices:
- Do thorough research using multiple sources beyond just LinkedIn or Glassdoor.
- Leverage competitive offers politely and ethically to encourage urgency.
- Frame requests in terms of the value you provide, not just dollar figures.
- Prioritize clear communication, flexibility, and relationship-building.
- Consider creative alternatives like additional vacation time if base pay cannot be increased.
- Stay positive and look for compromise solutions if initial requests are denied.
- Enlist outside experts for high-stakes executive negotiations.
- Avoid common mistakes like making inflexible demands or ultimatums.
With proper preparation and strategic execution, salary negotiation can significantly boost your compensation. Approach it as an ongoing conversation aimed at a win-win outcome.
Final Thoughts
Salary negotiation is all about understanding your worth and advocating skillfully for fair compensation. Rather than simply accepting standard offers, dig deeper into industry data to negotiate from a position of knowledge. Prepare thoroughly, communicate professionally, and focus on the big picture value you bring to the table. While each situation is unique, these best practices can help maximize your salary and achieve a mutually beneficial result.