5 Mistakes to avoid during salary negotiation

People often get excited or defending when it comes to money especially salary. But there are people in this world who accept their salary as fixed by their employer without negotiating. Statistics say there are 59% of such employees. But the fact is there are very fewer employees who manage to successfully negotiate the salary. The reason why many fail to negotiate the salary is due to some key mistakes. Here are some mistakes one must avoid while negotiating the salary.

1. FOCUSING ONLY ON YOUR SIDE OF THE ARGUMENT

You have to stay strong and fight for the argument which you are making when it comes to salary negotiations. But you have to keep in mind that you are not the only party involved in the conversation employer might have some suggestions or views regarding the salary for suggesting specific figures.

That goes against you if you show inflexibility and focus only on what you want and does not give importance to your employer or recruiter's views and suggestions. Focusing only on your demand will not help in getting a better deal rather it can go against you. 

How to avoid this mistake??

Researching about employers will help in knowing a few things.

You should be aware of the salary and the kind of compensation provided by the company.

You should be aware of the financial situation of the company i.e. demanding a high salary when the company is laying off the employees does not seem to be a good option because it would be impossible for a company to fulfil it. 

By keeping these points into consideration while negotiating the salary. Always remember negotiation should be flexible and realistic.

2. OVERLOOKING THE IMPORTANCE OF PROPER RESEARCH

The best way of negotiating and doing so successfully is by research. Without doing so you are making a huge mistake because you might not have a strong base to make your point. While researching consider average salary offered for a particular role, Average salary of the company, your worth and value in terms of your capability, Other benefits and perks offered by the company. You can lose the deal by simply throwing numbers on the employer and trying to settle whatever you think good. It can have a bad impact on your side.

How to avoid this mistake??

Nowadays there are various tools available to research various aspects of the businesses and companies. You can find salary and company information from sites like Indeed.com, Salary.com, Randstand.ca, Monster.com, PayScale.com, etc. you can also go to the company’s website for all the information.

3. MAKING HASTY DECISIONS TO ACCEPT OR TO DECLINE THE OFFER

Rushing your decision to accept or reject the salary offer it could be another big mistake. It can be tempting to completely overlook the negotiation. Accepting a salary is a bid decision it can have a big impact on your career. It could hurt your future earning potential and also can ruin your motivation.  

      How to avoid this mistake?

 Take your time in deciding the salary. Ask for the time from the employer to go over the details of the salary. If you are not sure then discuss it with your friends or family and consider all the factors that can affect your decision.

4. REVEALING YOUR LOWEST SALARY LIMIT

One of the biggest mistakes while negotiating the salary is to disclose your lowest salary. Your focus must be not to disclose your salary limit. This is important for your minimum salary you are willing to accept. If by any chance they got to know about your acceptance of job at low pay that can go against you. As a business, they will always want to keep their expenses low.

How to avoid this mistake??

If you have previous work experience there might be chances of them to ask you about the salary you have been earning and what are your current expectations from salary. The best way to avoid revealing too much is to conceal figures during this time. If you were asked about your expected salary then give a range of the salary that’s higher than your absolute red line. Or if they ask about the expected salary figure prior to receiving an offer, you could simply say right now it’s important to find a job and giving my best to it that will be eventually reflected in my salary. Also, focus on a more flexible and realistic negotiation.


5. FORGETTING TO CONSIDER THE NON-SALARY ITEMS

Most of the time while negotiating salary many a time one tends to forget to negotiate for the non-salary component which is also important. It’s important that you shouldn’t focus on your negotiations just on the salary. There are various other monetary and non-monetary benefits you can consider before deciding whether a salary offer is good or bad. You should mention any non-salary component that you think is necessary/important for you. It’s likely that you’ll end up with a better deal because it might be that the employer can’t budge much with the salary but they can make adjustments with other benefits.

How to avoid this mistake?

Think prior to your salary negotiations what other non-salary items you’re interested in and which might be enough even if the pay isn’t exactly what you want. Non-salary items can be other monetary and non-monetary benefits such as:

  • Bonuses and commissions

  • An agreed raise in the future

  • Paid or non-paid vacation time

  • Healthcare

  • Pension or investment schemes

  • Membership to gym, movie theatre and other such clubs

  • Childcare

It might even be something to do with your work. For example, you could negotiate flexible work hours that allow you to choose your own work hours or to work from home.

There are many such perks you might ask for that can make the job offer more appealing and valuable to you.


2 Comments

  • Ashekur Rahman

    Posted on September 3, 2012 at 10:18 am

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    • Ashekur Rahman

      Posted on September 3, 2012 at 10:18 am

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  • Ashekur Rahman

    Posted on September 3, 2012 at 10:18 am

    Do sit amet, consectetur adipisicing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veni est, qui d tempora incidunt ut labore et dolore magnam aliquam quaerat voluptatem.

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