Maximizing Your Salary Potential
Posted in Salaries & Benefits
Salary negotiation is one of the hardest part of getting hired. It is actually something that makes people petrified because potential employees are stuck whether to ask for a price lower than what they want in order for the employer to accept them, or ask for a price that they believe is fair but may be deemed too high for the company. However, negotiating a fair salary and benefits package during the job offer is more important than what you think.
Most employees accept the job offer the employer provides to them, thinking that a higher pay will come once they have proven themselves. Sadly, this does not happen most of the time, as the amount of their first salary is most likely what they will receive in the long run regardless of how well they perform on the job. Here are important things to consider when it comes to negotiating your salary.
Ask how you will be rewarded - You need to ask the potential employer how you will be rewarded every year for your performance, as well as how your salary will meet cost of living expenses. You may think the two are the same, but salary increase to cover inflation and a raise for excellent performance are different. For instance, a 10 percent annual increase in salary is different from a $100 monthly bonus for being able to sell more than the assigned number of product units.
Think ahead when thinking about salary - Make the topic of salary increases a part of the negotiation process, but only after you know how the industry pays for your occupation and understand how the organization operates. Ask about the company's compensation policies and how raises are handled, whether they simply provide annual raises or a flexible raise depending on your performance. Also ask if there is a possibility to increase your salary ahead of the typical rate or if they consider bonuses tied to goals and other achievements. Remember to raise these questions at the end of your overall interview process.
The base pay is not the only option - Do not be fooled when a prospective employer tells you whether to "take or leave" the base salary being offered if you get into the company. Remember that the base salary of one company may cost higher to another company on the same position, including all of the other perks, bonuses and commissions. In times like these, stay professional and speak in a non-threatening manner on how you will bring value to the company (but do not forget to live up to your own hype).
