“Price is what you pay and value is what you get.”

 

 

Compensation is always equal to the VALUE you bring to the table for the employer. So your entire effort has to be on presenting your VALUE. Do remember that there is no replacement for establishing your value first.

Use the following 4 things while negotiating salary:

 

1. Industry standards:

 

Know what are the industry levels of compensation.

Do your research on the industry standards of compensation for the role you are targetting.

The following 2 steps will help.

A] Look at sources like Glassdoor and you will get an idea of the range.

B] Study 8-10 jobs which are published and see the range of salary being offered for the role you are seeking in the industry.

Then arrive at a range that is being offered and that becomes one reference point.

 

2. Your salary expectations:

 

When it comes to your salary expectations, present it as a range and not an absolute figure. Use the industry standard to mention a range of your expectations. Mentioning a range reflects flexibility on your part.

For example mention it as an increase of 25 to 35% over your current CTC. A percentage range leaves room for negotiation.

 

3. Options to offer for negotiation:

 

If the increase in fixed component is not as per your expecation, ask them for the following adjustments:

A] Can the employer do an early performance review in 6 months?

B] Can you be offered a joining bonus?

C] Can a performance bonus at the end of the year be added  to your package?

D] Can the variable component linked to performance be increased?

 

4. Win –Win:

 

While money is important , you need to evaluate the offer holistically from the point of view of career advancement opportunities offered and the kind of learning opportunity you get at the prospective employer company.

Best wishes!