Negotiating pay and benefits: newbie edition
October 20, 2018 7:17 AM Subscribe
I've been offered my first full-time job and am not sure what to ask for in terms of pay and benefits. Help please?
This is a pretty simple 9am-6pm Mon-Fri admin assistant job in New York City at a small family-owned company. Shortly after my interview they offered a little over my lowball salary (40k) and gave me the weekend to make a decision.
I vaguely remember them mentioning something like two weeks vacation (probably flexible?). I believe as the company is small they don't have an HR department or health insurance plans; they offered to pay or subsidize whatever plan I have now. I'm currently on Medicaid and have never shopped for insurance through healthcare.gov but I'm assuming that's what I'd have to do?
As you can probably tell I'm a total newb when it comes to negotiating pay and benefits. I have a vague idea of how I should go about it but no specifics. Should I ask for more pay? What benefits should I be asking for? How do I do this as respectfully but firmly as possible?
I plan to craft an email this weekend and see how they respond so any advice would be greatly appreciated. Thanks!
(In case it matters: late 20s, live at home but would like to move out soon, currently employed part-time)
This is a pretty simple 9am-6pm Mon-Fri admin assistant job in New York City at a small family-owned company. Shortly after my interview they offered a little over my lowball salary (40k) and gave me the weekend to make a decision.
I vaguely remember them mentioning something like two weeks vacation (probably flexible?). I believe as the company is small they don't have an HR department or health insurance plans; they offered to pay or subsidize whatever plan I have now. I'm currently on Medicaid and have never shopped for insurance through healthcare.gov but I'm assuming that's what I'd have to do?
As you can probably tell I'm a total newb when it comes to negotiating pay and benefits. I have a vague idea of how I should go about it but no specifics. Should I ask for more pay? What benefits should I be asking for? How do I do this as respectfully but firmly as possible?
I plan to craft an email this weekend and see how they respond so any advice would be greatly appreciated. Thanks!
(In case it matters: late 20s, live at home but would like to move out soon, currently employed part-time)
Ask A Manager has some advice on negotiation.
However, unless you see some way that their offer just won't work for you, there's nothing wrong with just accepting the offer. Especially if you plan to build experience in this role for a couple of years and then move to another job.
posted by bunderful at 8:08 AM on October 20, 2018 [1 favorite]
However, unless you see some way that their offer just won't work for you, there's nothing wrong with just accepting the offer. Especially if you plan to build experience in this role for a couple of years and then move to another job.
posted by bunderful at 8:08 AM on October 20, 2018 [1 favorite]
First, decide if you can live on what they're offering. Do a budget if you haven't already and figure out what it would take for you to be able to move out, pay all your various bills, save money each month, and have a bit of spending money on the side. Is what they're offering you at least that much, after tax? (It can be hard to estimate taxes, but if you can work out what percentage of your paycheck goes to taxes now, it's probably going to be pretty similar at the new place.)
If they aren't offering at least that much, you need to ask for at least enough to live on or else you'll have to walk. The line there is, "I'm sorry, but I can't afford to take this job unless it pays at least $x." Then they either meet your needs and you take the job, or they don't and you keep looking.
If they are offering enough, I'm of the opinion that it never hurts to ask for a little more anyway. Maybe you'll get it, maybe you'll get at least some of it. If they're offering $42k and you can get them to $45k, that's $3,000 every year you wouldn't otherwise have. $3,000 is nothing to sneeze at! Ask for 10% more with the line, "I'd really like to be able to accept this job, but I'm not sure I'll be able to do so for less than $x."
Maybe you'll get nothing, maybe you'll get 5%. It's a bluff—you're going to take the job regardless—but if they agree to bump up your offer then you'll be making that much more money for the rest of your life (you'll probably still get about the same raises over time) and that adds up! So you're doing yourself a disservice if you don't at least make a token attempt at negotiating.
posted by Anticipation Of A New Lover's Arrival, The at 8:35 AM on October 20, 2018
If they aren't offering at least that much, you need to ask for at least enough to live on or else you'll have to walk. The line there is, "I'm sorry, but I can't afford to take this job unless it pays at least $x." Then they either meet your needs and you take the job, or they don't and you keep looking.
If they are offering enough, I'm of the opinion that it never hurts to ask for a little more anyway. Maybe you'll get it, maybe you'll get at least some of it. If they're offering $42k and you can get them to $45k, that's $3,000 every year you wouldn't otherwise have. $3,000 is nothing to sneeze at! Ask for 10% more with the line, "I'd really like to be able to accept this job, but I'm not sure I'll be able to do so for less than $x."
Maybe you'll get nothing, maybe you'll get 5%. It's a bluff—you're going to take the job regardless—but if they agree to bump up your offer then you'll be making that much more money for the rest of your life (you'll probably still get about the same raises over time) and that adds up! So you're doing yourself a disservice if you don't at least make a token attempt at negotiating.
posted by Anticipation Of A New Lover's Arrival, The at 8:35 AM on October 20, 2018
What do you mean by this: "they offered a little over my lowball salary (40k)"? Did you already ask for $40K? That would affect my advice.
What I would do to figure out a counteroffer would be:
1. Figure out a budget (I see Anticipation's already suggested this). If you haven't done a budget before, remember to account for entertainment, eating out, unexpected expenses like a new phone, etc.
2. Look at job postings for administrative assistants in your area to see what salaries are being offered.
Honestly, I'd probably just accept the job if the above analysis showed that it was reasonable, but that's me. Since it's your first full-time job you're not bringing a huge amount of experience, they can expect to spend awhile training you, and because they're a small business they probably haven't budgeted for a lot more than the salary they offered. In particular, I wouldn't negotiate on vacation time since as a small business it's probably difficult to cover your job while you're away.
However, I agree that it's rarely a bad idea to ask for more (minus the studies that show women who negotiate salaries are often seen as "aggressive" or other negative things), and it's good to get some experience negotiating. I'd ask for either whatever your analysis showed was reasonable, or an additional 10% (basically, I agree with the previous advice), with a brief statement about the cost of living, the value you bring to the company, or even just that you're very interested in the job but initially were looking for something that paid more.
posted by ersatzhuman at 8:59 AM on October 20, 2018 [1 favorite]
What I would do to figure out a counteroffer would be:
1. Figure out a budget (I see Anticipation's already suggested this). If you haven't done a budget before, remember to account for entertainment, eating out, unexpected expenses like a new phone, etc.
2. Look at job postings for administrative assistants in your area to see what salaries are being offered.
Honestly, I'd probably just accept the job if the above analysis showed that it was reasonable, but that's me. Since it's your first full-time job you're not bringing a huge amount of experience, they can expect to spend awhile training you, and because they're a small business they probably haven't budgeted for a lot more than the salary they offered. In particular, I wouldn't negotiate on vacation time since as a small business it's probably difficult to cover your job while you're away.
However, I agree that it's rarely a bad idea to ask for more (minus the studies that show women who negotiate salaries are often seen as "aggressive" or other negative things), and it's good to get some experience negotiating. I'd ask for either whatever your analysis showed was reasonable, or an additional 10% (basically, I agree with the previous advice), with a brief statement about the cost of living, the value you bring to the company, or even just that you're very interested in the job but initially were looking for something that paid more.
posted by ersatzhuman at 8:59 AM on October 20, 2018 [1 favorite]
Your exchange plan would be at least $1k a month...
Not necessarily. My silver exchange plan is quite a bit less that $1000/mo. and my wife is making more than $40k. Of course, it's all dependent on where you are. I live in a very anti-exchange state. It's best you check with the exchange first and see what kind of discount you can qualify for.
posted by Thorzdad at 9:01 AM on October 20, 2018
Not necessarily. My silver exchange plan is quite a bit less that $1000/mo. and my wife is making more than $40k. Of course, it's all dependent on where you are. I live in a very anti-exchange state. It's best you check with the exchange first and see what kind of discount you can qualify for.
posted by Thorzdad at 9:01 AM on October 20, 2018
Response by poster: What do you mean by this: "they offered a little over my lowball salary (40k)"? Did you already ask for $40K? That would affect my advice.
I had $40k in mind as a low-end figure since that's approximately what I'd be making now if I were full-time--I didn't say it outloud.
It looks like should be looking at 3 things: salary (most important, obviously), insurance, and vacation time / sick leave? Is there anything else?
I know salary's important but I think I'm primarily concerned with the cost of insurance, especially since I go to therapy. I'll do some research on the exchange.
Thank you so much for all the answers so far! Please keep them coming :D
posted by junques at 10:04 AM on October 20, 2018
I had $40k in mind as a low-end figure since that's approximately what I'd be making now if I were full-time--I didn't say it outloud.
It looks like should be looking at 3 things: salary (most important, obviously), insurance, and vacation time / sick leave? Is there anything else?
I know salary's important but I think I'm primarily concerned with the cost of insurance, especially since I go to therapy. I'll do some research on the exchange.
Thank you so much for all the answers so far! Please keep them coming :D
posted by junques at 10:04 AM on October 20, 2018
Are they paying for your entire health insurance premium? If not, I'd ask for enough extra to cover those insurance contributions you'll be expected to make. I'd also ask for paid sick time (5 days/year separate from your vacation time (minimum 10 days per year.)
posted by quince at 10:45 AM on October 20, 2018
posted by quince at 10:45 AM on October 20, 2018
Is what they're offering you at least that much, after tax? (It can be hard to estimate taxes
Paycheck City will estimate tax withholding for you, generally pretty accurately.
Do they have an FSA program?
Probably not even worth asking about pensions, but do they have any kind of retirement plan?
If you use public transit to get to work, ask them if they participate in TransitChek (allowing pre-tax purchase of your MetroCard).
posted by praemunire at 10:47 AM on October 20, 2018
Paycheck City will estimate tax withholding for you, generally pretty accurately.
Do they have an FSA program?
Probably not even worth asking about pensions, but do they have any kind of retirement plan?
If you use public transit to get to work, ask them if they participate in TransitChek (allowing pre-tax purchase of your MetroCard).
posted by praemunire at 10:47 AM on October 20, 2018
(Also, if they are reimbursing you for your health care rather than paying for it directly, I think that might count as income. In which case you need to "gross up" the amount they will pay to cover the fact that it will be taxed. E.g., if you're paying $1K/mo., and they give you another $1K/mo. gross salary, by the time all the taxes are taken out it will be only $750/mo. or something, so you will be running at a loss. Not 100% sure about this, but you should definitely confirm. It makes a significant difference.)
posted by praemunire at 10:49 AM on October 20, 2018
posted by praemunire at 10:49 AM on October 20, 2018
I'd also ask for paid sick time
One more thing, if they're an NYC employer and have five or more employees they are required to give you forty hours of sick leave a year (accrued at a rate of one hour for every 30 hours worked).
posted by praemunire at 10:52 AM on October 20, 2018
One more thing, if they're an NYC employer and have five or more employees they are required to give you forty hours of sick leave a year (accrued at a rate of one hour for every 30 hours worked).
posted by praemunire at 10:52 AM on October 20, 2018
Response by poster: Are they paying for your entire health insurance premium?
That's the goal (I think).
Do they have an FSA program?
Probably not even worth asking about pensions, but do they have any kind of retirement plan?
Is this the same thing as the HCFSA? I'm leaning towards "no" but would have to ask to make sure. Same goes for retirement plans.
posted by junques at 2:47 PM on October 20, 2018
That's the goal (I think).
Do they have an FSA program?
Probably not even worth asking about pensions, but do they have any kind of retirement plan?
Is this the same thing as the HCFSA? I'm leaning towards "no" but would have to ask to make sure. Same goes for retirement plans.
posted by junques at 2:47 PM on October 20, 2018
I mean, it's not the exact same thing since it's one employer's version of it and everyone runs their own with minor variations on the rules, but it is an example of what I was referring to.
posted by praemunire at 6:33 PM on October 20, 2018
posted by praemunire at 6:33 PM on October 20, 2018
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posted by MattD at 8:00 AM on October 20, 2018 [1 favorite]