It's always better to ask for more money when you're offered a job than after you've accepted it. It often takes months or more for an employer to offer a raise.
If you're asking for a raise in exchange for a job offer, use caution. An overzealous strategy can ruin your job opportunities.
In this article, we'll explain everything you need to know about how to ask for more money when you get a job offer, and we'll give you all the tools you need to be successful.
Before we dive into the specific tactics for negotiating a hefty salary, though, let's take a look at a few points you need to consider before submitting your application.
How to ask for more money when offering a job: What to consider before negotiating
Before you start trading, you need to do some research and plan. These points are crucial to asking for more money when you receive a job offer and increasing your chances of winning the negotiation.
To prepare for your trade:
01Do your homework
For any job you're applying for, it's always a good idea to research your prospective employer and prepare in advance. Find out what similar jobs attract as a salary and compare the market price with the proposed compensation.
If you were offered much less than your peers, you have every right to ask for more money. However, if you are being offered more than the market price, you may want to reconsider your request.
02Do you have a good reason to ask?
A strong motivation to ask for more money increases your chances of hearing a yes answer to your request.
Avoid giving personal reasons like paying off your student loan or mortgage. Everyone has bills to pay, and their employers will rarely understand their needs. Valid reasons are based on industry standards and the value you bring to the company - your years of experience in the field or industry compensation standards.
03Think about the value of work
A job that pays well and has great benefits is not necessarily a worse offer compared to a job that pays better and has fewer benefits. For example, a lower-paying job might have a great retirement plan, promotion potential, comprehensive insurance coverage, and flexible work hours.
On the other hand, a higher-paying job may not have many vacation days, and you may not be reimbursed for certain work-related expenses.
04Against the offer with 10-25% above the bid
Your counter offer must not exceed 30% of the original offer. A pay increase over 30% may indicate that you think you are overqualified for the job and could cause problems in the long run. When you ask for an increase of 5% (or less) over the original offer, it seems like you're only putting up a fight to negotiate.
Your counter offer does not have to be monetary. In addition to the salary you receive, you can request additional vacation days or request that part of the work week be spent at home.
05Don't be upset if you get rejected
If your counteroffer is rejected, you have the option of accepting the job anyway, or leaving. If you leave, you will likely lose future job prospects with that company.
In many cases employers are willing to negotiate and if you are tough enough they may be able to find additional funds in the budget to supplement your salary.
How to ask for more money when offered a job: Reasons to support your request
The biggest factor in how you ask for more money when offered a job is your reason for asking. This is the basis of your application, which will help convince your potential employer to give you more money.
Here are 8 top reasons to ask for more money when a job is offered:
01Travel/transfer fee
If you feel you have to travel far for work, it is in your best interest to ask for a raise. You can apply for a commuting allowance or the opportunity to work from home for part of the week. Of course, this only works if you are a top candidate with skills and knowledge that are in high demand.
If it's a job that requires you to relocate to other cities or countries, it's probably already at the company's expense, but it's never a bad idea to try and improve the quality of your stay and trip. . If the job requires moving to a new city or country, higher living costs justify a relocation allowance.
02The old job paid better
If you came from a job that paid much more than you were offered, you cannot be expected to voluntarily accept a demotion.
This is a good reason to ask for more money (or benefits) as you were clearly a valued member of your previous team and that's where you earned your hefty salary. Your last documented salary may cause your potential employer to reconsider the offer and your options.
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03Market/industry wage
If after your research you find that this position is underpaid, you can use the market rate as a backbone to ask for more money. For example, if Job A and Job B both have a base wage of $35 an hour, but you were offered $20 an hour by Company C, you and other job seekers are more likely to look for work at A or B.
Salary records from other similar companies will surely cause the employer to reconsider your offer and readjust your budget to match industry standards.
04The services are below average
If the job doesn't offer a great benefits package and they're not willing to negotiate those terms, you can apply for financial compensation to fill the gap.
For example, if a large part of your salary goes towards health insurance costs and you already have full insurance, you can claim compensation for the lost money. If you only have a few vacation days, you can ask your employer to compensate for this with a salary increase.
05Experience
If you think your experience would benefit the company more than the salary being offered, you should bring that up when asking for more money. Citing your industry experience and expertise is a good way to challenge an offer, and it's important to allay concerns that the proposed offer falls short of your expectations.
This is an excellent tactic, especially when your services are in demand and other companies would be willing to do business with you.
06Personal Risk/Safety
If the job you are applying for puts your safety in the field at risk, you can ask for more money regardless of the safety measures taken.
You have the right to fair compensation for the wear and tear on your body or the risks you take on a daily basis. Your employer is aware of these risks and should understand them, especially if your insurance benefits are not satisfactory.
07additional responsibilities
If the job posting lists x, y, and z as responsibilities and expectations, but you find out at the interview that you expect t, u, v, w, x, y, and z, you can use that as a reason to ask for more money.
The rationale is simple: if they want you to take on more responsibilities than the job description says, they need to pay you more for the extra time and effort you have to put in.
08Superior offer from another company
If you are looking for a job and are being offered a higher salary with one company, but want another company that ultimately offers a less valuable package, you can discuss an alternative offer during salary negotiations.
To achieve this, you must demonstrate a willingness and enthusiasm to work with the company of your choice. It is important that you do not give in to their demands. Try not to blame your potential employer for increasing your salary. Your counter offer should show respect for the company, but also respect for yourself and your professional worth.
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Alternatives if you don't get a higher salary
01expense account
If your prospective employer requires you to travel extensively, you may have to spend some of your own money while conducting business. If you are not offered a company card for miscellaneous expenses, you can apply for an expense report or an expense allowance for your trip.
02Performance Based Bonuses
If you don't seem to have a budget for a monthly raise, or you work in a commission-based field, asking for a performance-based bonus is a good way to cushion your income.
Performance-based bonuses put you in control of your income. This means that if you perform well, you will be rewarded. Your employer will likely find this option more attractive than a monthly raise, as you can be assured that your money is value for money. For example, if you sign a contract or close a deal, you would earn a share of the profits that the company receives.
How to ask for more money when offered a job: 2 templates to use if your application is rejected
If your request for more money is denied, you must respond in a professional and respectful manner.
Here are two templates you can use.
01“Unfortunately, I cannot move forward in this interview process. However, I hope you find a good fit.
This message is short and concise. It states that you are not interested in further discussion and that you should proceed with another candidate.
02"Thank you for your time, but I will look for a job elsewhere. Good luck in finding employees.”
By expressing your desire for them to find a good match, you respectfully decline their offer.
How to ask for more money when offered a job: 2 templates to use if your application is approved
If your request for more money is successful, it's always a good idea to show gratitude. Here are two templates you can use.
01"I am pleased that we have reached an agreement on my salary expectations. I look forward to being a part of this company.”
It shows that you are happy with the outcome of the negotiations and looking forward to working there.
02"I appreciate your time and understanding. I look forward to ironing out the rest of the details.”
This short message elegantly indicates that you are ready for work!
Finally
If you go into the follow-up interview knowing how to ask for more money if you're offered a job, you'll be more confident in your approach and more likely to be successful.
Be careful with the language you use - try not to be too colloquial using phrases like "settle down" and try not to blame your potential employer for increasing your salary and avoid Expressions such as "it would be unfortunate if...".
Always remember to be respectful regardless of their reaction. There is something suitable for you!