If you’re straight out of college and looking for work, I’m sure you’ve got a new power suit, a diligently edited resume, and the perfect elevator pitch. But how prepared are you to bargain for a raise?
It can be difficult to navigate the offer and negotiation process if you have never done so before. Most folks need a few tries to get the hang of it, but don’t worry. Here’s a little cheat sheet to help you get the details, skills, and confidence you need to ask for what you should have the first time.
Do Your Research
Realizing your industry is one of the most crucial components of negotiating your salary. However, if you are trying to enter the professional world this way, you may not have a good recommendation point for what new elementary teachers or aspiring web designers are expected to make.
To begin, you should research the average wage for professionals in your industry. These statistics typically provide the entire salary range, from entry-level to top positions in the field, allowing you to see where everybody falls.
You’ll need to figure out where you fit into the picture from there. Are you a recent college graduate with little to no work experience? Did you work in your chosen field while in school, giving you the opportunity to build your resume? Do you have a Bachelor’s, Engineering degree, or Master’s degree? All of these considerations, including job experience and education level, can influence the final offer. To determine what your offer should be, consult the salary range or salary formulas on websites such as pay scale.
Build Your Budget
Begin by calculating your monthly budget, which should include rent, utilities, loan repayments, grocery items, car loans, renter’s insurance, and amusement. Then multiply that figure by 12. Then add $3,000 to $5,000 for emergencies, travel, doctor’s visits, dental cleanings, birthday gifts, and anything else you’ll require money for during the year. Then figure out how much you want to put into your cash savings account each year. That should give you an idea of how much you should earn per year.
So what if your salary offers and annual budget aren’t in sync? Then it’s time to set priorities. Reduce your entertainment spending, sell your car and begin taking public transportation, or find a roommate for the first few years of your career. You’ll be able to boost your remuneration and adapt your budget as you gain more experience and establish a salary history.
Consider All Your Options
One of the most important aspects of salary negotiation is taking into account all of your options. It’s easy to overlook the numerous benefits that employers provide and instead focus solely on cash.