Should you negotiate salary if offer is more than anticipated?
July 24, 2022 2:31 PM Subscribe
I realize this is an enviable position. Received a job offer with a salary that is way more than what I anticipated. I’ve been away from this industry for almost 10 years, but meet/exceed all of the minimum requirements, and 4 out of 5 of the preferred qualifications in the job posting. The job posting lists a salary range of $68K - $126K. The salary offered, $100K, is about $30K more than what I was previously earning when I left the industry nearly a decade ago for higher education, and more than double what I am currently making. Based on my market research, I was expecting an offer between $80 – 90K, so I am pretty happy with the initial offer. I’m looking to early retire in 10 – 12 years.
During the interviews, HR asked for my salary requirements, and I deferred, asking for the salary range and I said if we decided I’m the right fit I was in that range.
Benefits are pretty good; mostly WFH, 20 days PTO, 8 holidays, 401k with 50% company match on first 6%, I would have to pay part of my health insurance premiums (if I took it; currently covered under partners plan which is good), discount stock purchase option, a cell phone allowance, and a company laptop. This is a well-known, multi-national infrastructure firm. I had 3 interviews and liked my direct report and the team members I met.
Most of the information about salary negotiation on Ask a Manager has to do with low-ball salary offers, the same with Reddit.
I live in a pretty high COL area. Should I take the money and run? Would I be out of line with asking for $110K?
During the interviews, HR asked for my salary requirements, and I deferred, asking for the salary range and I said if we decided I’m the right fit I was in that range.
Benefits are pretty good; mostly WFH, 20 days PTO, 8 holidays, 401k with 50% company match on first 6%, I would have to pay part of my health insurance premiums (if I took it; currently covered under partners plan which is good), discount stock purchase option, a cell phone allowance, and a company laptop. This is a well-known, multi-national infrastructure firm. I had 3 interviews and liked my direct report and the team members I met.
Most of the information about salary negotiation on Ask a Manager has to do with low-ball salary offers, the same with Reddit.
I live in a pretty high COL area. Should I take the money and run? Would I be out of line with asking for $110K?
Given they've offered you 26K under their max range, can't hurt to ask 10K for more I'd say. Easier said than done, I know, but maybe they'll counter with 105K and hey that's 5K more.
posted by emd3737 at 2:54 PM on July 24, 2022 [3 favorites]
posted by emd3737 at 2:54 PM on July 24, 2022 [3 favorites]
People respect you more when you ask for more.
posted by theora55 at 3:06 PM on July 24, 2022 [15 favorites]
posted by theora55 at 3:06 PM on July 24, 2022 [15 favorites]
As someone who negotiates pay packages from the employer side, I'd say you are definitely not out of line in asking for $110K, or maybe even more. Industry norms can definitely vary, but in my situation, if my first offer was $90K, I'd be expecting to come in somewhere between that and the max, or around $110-115K.
posted by rpfields at 3:20 PM on July 24, 2022 [1 favorite]
posted by rpfields at 3:20 PM on July 24, 2022 [1 favorite]
“Thank you for the very generous offer. I am inclined to accept. I am curious if this the maximum salary you pay for this position/similar work? If not, can you tell me what that peak salary is and how I can reach it, later on with the company, or right now to start?”
I’ve found this to be effective. It is received both as a polite and professional response to a good offer as well a direct ask for more, if they are at all inclined to pay more, including the highest they are willing to pay if they are in fact willing to pay you that. If not, their answer still provides useful information about what that peak amount is and what it will take, and how long, for you to reach it at this position. Their answer also tells you a lot about how they see you in their scheme of things and how open a dialogue you can have with this company about pay.
If they are not willing to answer the question in full transparency at all, red flag.
posted by desert exile at 3:23 PM on July 24, 2022 [11 favorites]
I’ve found this to be effective. It is received both as a polite and professional response to a good offer as well a direct ask for more, if they are at all inclined to pay more, including the highest they are willing to pay if they are in fact willing to pay you that. If not, their answer still provides useful information about what that peak amount is and what it will take, and how long, for you to reach it at this position. Their answer also tells you a lot about how they see you in their scheme of things and how open a dialogue you can have with this company about pay.
If they are not willing to answer the question in full transparency at all, red flag.
posted by desert exile at 3:23 PM on July 24, 2022 [11 favorites]
Always negotiate.
posted by OrangeDisk at 3:31 PM on July 24, 2022 [5 favorites]
posted by OrangeDisk at 3:31 PM on July 24, 2022 [5 favorites]
This phrasing has worked for me in the past. Keep it short and simple:
Thank you for the offer. If you can find a way to get to $110K, I will accept today and be ready to start on August 8th.
It seems to make the ask a lot more digestible, and also seems to signal that there's nothing else you want to negotiate. You're in.
posted by JoeZydeco at 3:38 PM on July 24, 2022 [37 favorites]
Thank you for the offer. If you can find a way to get to $110K, I will accept today and be ready to start on August 8th.
It seems to make the ask a lot more digestible, and also seems to signal that there's nothing else you want to negotiate. You're in.
posted by JoeZydeco at 3:38 PM on July 24, 2022 [37 favorites]
I would ask for more. I like Joey Zydeco's approach, but I would make it seem even more reasonable for them by putting it in a monthly term. "If you can find a way to make it $500 a month more ($106k), I will accept today and be ready to start..." Maybe ask for $750 more per month which is the $10k more per year.
$500 a month or $750 a month sounds even more reasonable than $6 to $10 thousand more a year. Especially to a large company that seems to have its shit together in terms on compensation and benefits.
posted by JohnnyGunn at 3:58 PM on July 24, 2022 [4 favorites]
$500 a month or $750 a month sounds even more reasonable than $6 to $10 thousand more a year. Especially to a large company that seems to have its shit together in terms on compensation and benefits.
posted by JohnnyGunn at 3:58 PM on July 24, 2022 [4 favorites]
The salary offered, $100K, is about $30K more than what I was previously earning when I left the industry nearly a decade ago for higher education
$70K in 2012 is worth about $90K now. This is only a 1% real growth rate in income over a 10 year period. I suspect the fact that you went to higher industry is masking that this seems to me to potentially be a low offer, if not a lowball offer.
You don't get to pay rent, your car payment, or your insurance money, in salary compared to your expectations. You pay those in actual, real dollars. Ask for more money.
posted by saeculorum at 4:27 PM on July 24, 2022 [7 favorites]
$70K in 2012 is worth about $90K now. This is only a 1% real growth rate in income over a 10 year period. I suspect the fact that you went to higher industry is masking that this seems to me to potentially be a low offer, if not a lowball offer.
You don't get to pay rent, your car payment, or your insurance money, in salary compared to your expectations. You pay those in actual, real dollars. Ask for more money.
posted by saeculorum at 4:27 PM on July 24, 2022 [7 favorites]
$70K in 2012 is worth about $90K now.
Or another way to look at it is that 100k now is about a 3.6% raise annually on 70k since 2012. And while that's fine when staying in one org, when you find a new position you're looking for an increase, and my rule of thumb is at least 10% to go somewhere new. So asking for 110k seems totally reasonable.
posted by solotoro at 5:02 PM on July 24, 2022 [1 favorite]
Or another way to look at it is that 100k now is about a 3.6% raise annually on 70k since 2012. And while that's fine when staying in one org, when you find a new position you're looking for an increase, and my rule of thumb is at least 10% to go somewhere new. So asking for 110k seems totally reasonable.
posted by solotoro at 5:02 PM on July 24, 2022 [1 favorite]
In my most recent job switch, I was offered more than I expected, and asked for a large amount of time off. I'm not trying to push hard for early retirement (I enjoy what I do for a living enough that I'd keep doing it in one form or another, and doing it in a team is more fun than solo), but time off gives me both the space to be more productive at work, and to have the flexibility to enjoy the ride more as I go.
posted by straw at 5:14 PM on July 24, 2022 [1 favorite]
posted by straw at 5:14 PM on July 24, 2022 [1 favorite]
Yeah, ask. Make it clear that you’re interested first though. It probably hurts your negotiating position, but I think desert exile has the right idea about how to say it. As anecdata, this is what I’d done at the last two jobs I’ve gotten. It worked 50% of the time.
posted by kevinbelt at 5:28 PM on July 24, 2022
posted by kevinbelt at 5:28 PM on July 24, 2022
The salary offered, $100K, is about $30K more than what I was previously earning when I left the industry nearly a decade ago for higher education, and more than double what I am currently making.
They don't know that, and therefore won't be surprised if you ask for more. I think they would more likely be surprised if you didn't ask for more. I like JoeZydeco's suggested script.
posted by Dolley at 5:45 PM on July 24, 2022
They don't know that, and therefore won't be surprised if you ask for more. I think they would more likely be surprised if you didn't ask for more. I like JoeZydeco's suggested script.
posted by Dolley at 5:45 PM on July 24, 2022
One other negotiation tip - if there's an annual bonus, ask if you'd be eligible for it signing on this late in the year and if not, push for a signing bonus to make up for that fact. If everyone else at your same level gets a $10K bonus as part of their total comp package, you should get at least a prorated portion as you'll be doing equal work as them.
posted by Candleman at 6:25 PM on July 24, 2022 [1 favorite]
posted by Candleman at 6:25 PM on July 24, 2022 [1 favorite]
Yes, here's why.
And as mentioned above, a $30k increase after 10 years is not... much. Presumably your skills and abilities have increased since then and therefore you bring considerably more to an empoyer today than you did 10 years ago.
posted by Goblin Barbarian at 7:52 PM on July 24, 2022
And as mentioned above, a $30k increase after 10 years is not... much. Presumably your skills and abilities have increased since then and therefore you bring considerably more to an empoyer today than you did 10 years ago.
posted by Goblin Barbarian at 7:52 PM on July 24, 2022
If it makes you feel any better about asking for more money, then remember that unless you know there’s a good pathway of salary progression, you’re actually negotiating for the next couple of years. 70k to 100k is an acceptable pace-keeping increase over a decade; over 12 years or so, especially with the current increases in cost of living, it starts to look a bit weaker.
I like the way you handled salary with them. (I come from a country where it’s normal to post salary ranges with the advert, and asking the candidate to name an expected figure feels exploitative, even though I know it’s The American Way.) I presume they could have come back with a single figure for you, but they gave you a range — chances are they expect you to use that knowledge.
posted by breakfast burrito at 2:47 AM on July 25, 2022
I like the way you handled salary with them. (I come from a country where it’s normal to post salary ranges with the advert, and asking the candidate to name an expected figure feels exploitative, even though I know it’s The American Way.) I presume they could have come back with a single figure for you, but they gave you a range — chances are they expect you to use that knowledge.
posted by breakfast burrito at 2:47 AM on July 25, 2022
Thank you for the offer. If you can find a way to get to $110K, I will accept today and be ready to start on August 8th.
It seems to make the ask a lot more digestible, and also seems to signal that there's nothing else you want to negotiate. You're in.
This tactic also gives you a good plan B if they say no to $110k — you say "Ok, let me sleep on it then." Occasionally that gets them to say "You know what, we'll give you the $110k after all," and if they don't, you can come back and say yes to $100k the next day.
posted by nebulawindphone at 5:01 AM on July 25, 2022 [7 favorites]
It seems to make the ask a lot more digestible, and also seems to signal that there's nothing else you want to negotiate. You're in.
This tactic also gives you a good plan B if they say no to $110k — you say "Ok, let me sleep on it then." Occasionally that gets them to say "You know what, we'll give you the $110k after all," and if they don't, you can come back and say yes to $100k the next day.
posted by nebulawindphone at 5:01 AM on July 25, 2022 [7 favorites]
They already told you they’ll pay up to 126k. Definitely ask for more!
posted by sunflower16 at 6:22 AM on July 26, 2022
posted by sunflower16 at 6:22 AM on July 26, 2022
Do ask! Ask for $136k and the signing bonus, justify it with your high COL location, and back off and accept $126k and no bonus. You can always allude to "other offers" you are pursuing to make them feel more pressure. It's just business.
posted by soylent00FF00 at 4:01 PM on July 26, 2022
posted by soylent00FF00 at 4:01 PM on July 26, 2022
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posted by Tell Me No Lies at 2:33 PM on July 24, 2022