Job Search & Offers
Use Salary Tools the Right Way
If there's one thing that people are often most uncomfortable discussing during the hiring process, it's salary negotiations. Considered almost taboo in some circles, knowing what the company you're interviewing is offering beyond "competitive" and knowing what your position is worth is important to make sure that you're neither leaving money on the table nor pricing yourself out of the company's ability to afford you.
But what's the best way to leverage salary tools to make sure that you're getting what you're worth while still getting the job? In this article, we'll cover how to use salary tools appropriately in your negotiation process, ensuring that you can check the appropriate pay range by the job title and responsibilities, how location can impact the final offer, and how to insert salary information into the details to start the conversation with a company that seems reluctant to discuss the issue.
How to Sanity-Check Pay Ranges by Title
The first step in determining the proper salary range for the position you're considering is looking up the range by title. There is a wide range of salary tools available, with some being specific by company, others including education, experience, and reporting responsibilities, and others being more generalized. If you're simply checking what you should be paid across the industry before talking to a company, a generalized salary tool may work well.
However, in other circumstances, you may want to get into further depth. With larger companies, you want to make sure that you'll be receiving similar salaries as others in that company. You'll also want to make sure that you have a more specific idea about individuals with similar work experience, as you'll bring that experience to bear in that position. Overall, you want to try to negotiate the salary you need at the beginning of your career with that business, because it can be more difficult to negotiate during annual reviews when you've become more settled in the company.
One other consideration you'll need to think about is how much you need to live on. This should be a part of your monthly budgeting process to ensure that you're not living beyond your means. When the market is somewhat tumultuous, such as the current wave of digital transformation that we're going through, salaries may rise and fall, and what you made at your last job may not be what you make at the next one.
Location, Location, Location
The next aspect to bring into consideration is the location of the business and where you'll be working. Why is this important? As companies spread out through remote work, the location a worker is at becomes more important. In large cities, such as Los Angeles, San Francisco, New York City, and Washington, D.C., there is a significantly higher cost of living than there is in smaller cities such as Macon, Georgia, Joplin, Missouri, or Duluth, Minnesota.
For this reason, it's important to take the location you'll be working into account. Will you be relocating to a large city with higher expenses, or can you work from home in a rural area? These factors will often impact your final salary offer, and need to be considered when you're looking up pay ranges for the position you're seeking. However, be aware that different salary calculators will come up with different figures, so make sure that you take the time to check multiple platforms.
Inserting Salary Information into Conversations
Salary can be brought into the conversation at a variety of points during the interview process. Some companies will provide a salary range with the job listing, while others will wait to spring the dreaded "what are your salary expectations" question during a later interview. There is no particular time when it should be brought up, but after the first interview is often a good time to consider introducing the topic. This allows the company to see that you're interested in the position, not just the associated salary.
If the question does come up, feel free to respond with a salary range while restating your experience, education, and performance, which shows the value you are bringing to the business. This allows the business to see where your expectations and theirs are similar, and where they differ. You can also comment about being willing to negotiate other compensation, such as additional vacation time, stock options, a better title, or a flexible schedule. This shows that you are interested in the position for itself and are willing to work with them to find a good solution.
One factor to bear in mind is that what you made at a previous position has no bearing on the position you're interviewing for. In fact, in some areas it's illegal to ask that question. If you are asked this question during an interview, simply restate what research has shown to be a reasonable salary for the position and leave it. If the person you're negotiating or interviewing with seems to be a hard negotiator, silence equals strength in a negotiation; don't let them pressure you into the discussion.
Finally, you do still have some room for negotiation once the job offer is received, especially if you have multiple offers or your current company is willing to come up to keep you there. However, if you're leaving your job for reasons beyond salary, remember why you started your search in the first place.
By understanding how to use salary tools correctly during your salary negotiations, you can get the job that you want while still getting the pay that you deserve. However, salary isn't necessarily the only thing that you can negotiate in the process. If a company can't come up to your expectations, consider other options to make up for the deficit. This can include options such as a sign-on bonus, title upgrade, additional vacation time, a hybrid or flexible work schedule, and reimbursement for tuition or commuting expenses.