10 Questions to Ask When Negotiating Your Starting Salary
It would be naïve to think that an employer will automatically offer you the best possible salary as their first offer. Sure, sometimes a fortunate candidate may find themselves with a salary offer they can’t refuse, but this is a rare thing.
Studies show that most employers will leave some bargaining room in their initial salary offers, as they fully expect you to ask for more. If you don’t negotiate, you are leaving money on the table.
If you move passively through the salary negotiation, there is a good chance you could end up working alongside coworkers who have bargained better and harder- coworkers earning $5,000 a year more than you. Ouch.
All of this is to say that it usually makes sense to resist the first salary offer and negotiate instead. One of the most effective ways to negotiate fairly is by asking appropriate exploratory and clarifying questions that gently persuade the employer to meet your salary expectations. To help you, here are ten such questions to ask when negotiating your salary:
1. Are You Open to a Salary Discussion?
I like this more than the classic query, “Is this salary up for negotiation?” This version is a little less direct and confrontational; upon hearing it, the employer may be less defensive and guarded, more open. Also, this question sets a more relaxed tone for a sensitive conversation.
2. Is There Any Wiggle Room in the Current Salary?
You can either lead with this question or use it to follow up if you get a positive response to question No. 1. What’s good about this question is that it may soften the employer’s stance; it implies you are looking for something small – even though you might not be.
3. When Would My Pay Be Reviewed Next?
If the employer can’t give you a clear and precise picture of when your next pay review or raise might be, there’s a chance you could be stuck with your starting salary for some time. In light of this uncertainty about your next raise, you might be justified in wanting to drive a harder bargain with your starting salary.
4. What Was the Average Annual Percentage Raise Last Year?
The employer might not be prepared to divulge this figure, but it’s a bonus if the employer is. This figure can give you an idea of the kind of annual raise you might expect. If it’s healthy, you might not need to bargain quite so hard, as a good pay raise could be right around the corner; if it’s not very healthy, you may need to negotiate harder.
5. What Percentage Raise Did Your Highest Performers Enjoy Last Year?
Asking this question shows the employer that you associate yourself with winners, and it can also give you an idea of how high performance and success are rewarded at the company. If there’s a strong positive link between performance and reward, you might settle for a lower starting salary, knowing that once you get in and prove yourself, your salary will be boosted.
6. Is There a Bonus Scheme? If so, What Was the Average Payout for Someone of My Grade Last Year?
Don’t be taken in by a delicious-sounding potential bonus of 20 percent of salary or more. Concern yourself with the reality: ask for the averagebonus payout for people in your pay grade last year. If the realities of bonuses are much lower than the advertised potential, you may need to do some harder bargaining.
7. Would You Be Prepared to Build in a Six-Month Raise Based on My Ability to Meet Certain Performance Goals?
Save this question for situations where employers are unprepared to budge on salary. In such a case, the employer may be prepared to offer a deferred raise subject to future performance as an alternative to a higher starting salary. A deferred raise is not as good as a higher starting salary, but it’s better than nothing.
8. Would You Be Prepared to Increase My Bonus Pot to Increase My Total Compensation?
This can be a backdoor approach to a higher salary. Employers may be more likely to give away bonus potential than actual salary because bonuses are linked to your performance. Employers see it as a win-win situation: you earn more pay by delivering better results.
9. Would You Be Prepared to Offer a Signing Bonus?
This is useful when the company can’t afford to pay you more because doing so would bust its pay structure. The employer can give you a one-time golden handshake for signing on the dotted line without disrupting the internal pay structure.
10. Would You Be Prepared to Offer Something Else instead of a Higher Starting Salary? (E.g., Higher Benefit Contributions, More PTO, Flexible Work Options, Etc.)
If the employer can’t offer you a higher starting salary, you may still be able to negotiate better benefits. When you have them on the ropes, they may be more likely to make concessions in this area.
To be clear, you don’t need to ask all these questions when negotiating your salary. See this list as more of a toolkit: it’s about picking and choosing the right questions to help you achieve your objective of a higher starting salary.
Additional FAQs on Salary Negotiation
Q: How do I initiate a salary negotiation conversation?
A: Begin by expressing gratitude for the offer, followed by a gentle inquiry about the flexibility of the salary package. Asking, “Are you open to discussing the salary offer?” sets a collaborative tone for the negotiation.
Q: What should I know before entering a salary negotiation?
A: Research the industry standard for your role, considering your experience, skills, and location. Understanding the company’s compensation structure, including base salary, bonuses, and benefits, will also provide a solid foundation for your requests.
Q: How can I find out if the salary offer is flexible?
A: Politely ask, “Is there any wiggle room in the current salary?” This question opens the door for dialogue about salary flexibility without making demands.
Q: When is the right time to discuss future salary reviews?
A: Inquire about the timeline for salary reviews during the negotiation phase. Asking, “When would my pay be reviewed next?” helps you understand the company’s review cycle and future earning potential.
Q: How can I gauge the company’s stance on performance-based raises?
A: Questions like “What was the average annual percentage raise last year?” and “What percentage raise did your highest performers enjoy last year?” provide insight into how the company rewards performance.
Q: Should I inquire about bonus schemes during salary negotiations?
A: Understanding the structure and reality of bonus schemes is crucial. Ask about the average payout for someone in your grade to gauge how bonuses might impact your total compensation.
Q: What if the employer is inflexible on the salary?
A: Explore alternative compensations, such as a potential six-month raise based on performance, an increase in bonus potential, a signing bonus, or enhanced benefits like more PTO or flexible work options.
Q: How do I approach the topic of additional benefits if the salary can’t be increased?
A: If salary adjustments are off the table, ask, “Would you be prepared to offer something else instead of a higher starting salary?” This could include negotiating for better benefits, which can significantly enhance your overall compensation package.
Q: How can I ensure that my salary negotiation is successful?
A: Be prepared, polite, and positive throughout the negotiation process. Clearly articulate your value, remain open to compromise, and focus on finding a mutually beneficial arrangement.
Q: What should I do if the salary offer remains non-negotiable?
A: If the salary is non-negotiable and does not meet your expectations or needs, you’ll need to decide whether the role’s other aspects—such as career development opportunities, company culture, or benefits—justify accepting the offer.