Winning Salary and Offer Negotiation Strategies: Everything You Need to Know

Did you get a job offer and are now wondering if you should say “yes”? Getting hired abroad and relocating is a big deal. So we want to help you feel sure you are matched with a job opportunity that makes you happy. We talked to Rodrigo Porto, founder and CEO of CoachRod, for some tips. Here is everything you need to know about salary and offer negotiation strategies.

Research by management consulting firm Robert Half shows that 65% of recruiters expect candidates to negotiate an offer. On the other side, only 1 out of 3 candidates do. Maybe we should start by addressing the elephant in the room: is negotiating an offer really ok? Should I do it? Rodrigo guarantees that yes! “I think it’s really cool for us to normalize it because salary negotiation always brings butterflies to our stomachs but this is just a common step in the process of discussing what’s best for both parties” 

What is salary or offer negotiation and why everyone should negotiate

Salary negotiation is a conversation you have with your future employer to discuss the terms of the offer. The goal is to reach an agreement that will work for both you and the company. Rodrigo says a successful talk will lead to four positive outcomes:

• Knowing your worth
• Setting yourself up for success
• Confirming to your employer that you are the right choice
• Reaching a fair, win-win compromise

Now that we know what salary or offer negotiation really is, how about we look at some misconceptions? Rodrigo says some employees don’t talk about the offer because they assume what they got is the last word, and that is not true. “Ninety-nine percent of employers will make an offer expecting a review, a negotiation, a discussion. No initial offer is a final offer”. 

Another preconceived notion that hurts candidates is the idea that recruiters always want to close the deal as soon as possible. While this can be somewhat true, there is still room for conversations. “Things are moving faster, but take your time reviewing an offer”, Rodrigo advises. “Be confident and don’t presuppose people are in a hurry”. 

Candidates should also be aware that offer negotiation is not only about getting paid more. It’s also about other benefits like vacation time, education opportunities, and other work agreements. 

Back up your point with data 

In negotiating an offer, two things keep your arguments strong: knowing about yourself and learning about the market. So you should prepare for the conversation by assessing what you bring to the table and how other companies value what you offer.

Rodrigo says candidates have to gather data like jobs in high demand, benchmarks for different kinds of roles or industries, and salary comparisons:

• GlassDoor  

• PayScale 

• LinkedIn Premium 

Consider this before starting the interview process

Negotiating is about creating a long-lasting relationship with the company that offered you the position. Make sure you’re not just asking for more money but actually considering what kind of compensation would really work for you. 

Shortlisted candidates who went through the whole process with Vanhack are one step ahead when it comes to getting the best out of a job opportunity. Cecília Bydlowski, our technical recruiter, says she and her team are already working hard to math tech talents with companies that fit their needs and vice versa. This is very true when it comes to salary. VanHacks links candidates with opportunities within a matching pay range, so that leaves less room and need for negotiations. 

Cecília advises candidates to research costs beforehand so they have a salary expectation formulated early in the process. Have an idea of how much you will need to spend if you move to Toronto, for example. Consider things like, rent, taxes, your family size, and if your partner will be working. Then only say yes to starting the interview process with companies that offer a salary that will cover these costs.  

Make sure you understand the different compensations you get being a full-time employee or a contractor, and how working remotely affects your costs. “While you are remote, you will have to rely on your country’s public health system, is that something that makes sense to you?”, Cecília asks. “While you are a contractor you are not going to be covered by the country’s labor laws, so what are the costs that you will have to include in your salary negotiation to cover what will have to pay with your own money?”

https://blog.vanhack.com/blog/tech-jobs-in-europe-the-us-and-other-regions-vanhack-can-help-you-get-hired/

 How to reply to an offer 

So you did the research, calculated costs, went through the interview process, and got an offer, congratulations! The first thing you need to do is show appreciation and enthusiasm for being selected. Rodrigo says candidates should thank the recruiter and let them know you will review it in detail and get back to them before it expires. Common deadlines are between 24 and 72 hours.

Here’s what you should say to the company when you get the call with an offer:

“Thank you very much for your offer. I am truly excited about the possibility of joining your organization. I am looking forward to receiving the offer in writing. I will review it ASAP. I will let you know if I have any questions. And I will be in touch before the deadline”

This is what you need to do during an offer negotiation

Some golden rules for analyzing an offer and starting an offer negotiation are:

• Always begin negotiations BEFORE the deadline expires: Let’s say you get your offer at 3 pm on a Monday, make sure to contact them first thing in the morning the next day. Allow the company time to review your offer.
• List your “asks” but keep it simple: Rodrigo advises candidates to limit offer reviews to two or three items most. 
• Determine how will you substantiate your requests: you have to gather data to back up your asks. Bring it back to how it impacts the job. Do you need more professional development money? Tell the company how you are going to use it to prepare for an important certification, for example.

https://blog.vanhack.com/blog/ask-us-anything-tech-jobs-abroad-in-canada-tech-jobs-europe-how-to-preper/

Offer negotiation is much more than just asking for more money 

What makes a job great? Sure getting paid well is part of the equation but it’s not the only factor, right? Talking to your future employee about compensation that goes beyond pay is a good opportunity to increase your chances of being happy at work. It is also a way of making the job more significant to you, so think about how the offer meets your needs and expectations. “Create your pro and cons list”, Rodrigo says, think about “what is more important to you at that moment? Is it compensation? Vacations? Other benefits? Do you have a family, do need extended health coverage? Do you like staying fit and would like to know about gym memberships?”.

Here are some items candidates can negotiate that go way beyond only salary:

• More money
• Job Title
• Start date
• Vacations
• Relocation expenses
• Memberships and associations
• Signing bonus
• Laptop, mobile phone, remote office technology
• Car, mileage
• Flex-time
• Professional development
• Stock options
• Shorter probation time, earlier salary review, etc

What NOT to do when negotiating an offer

“I have seen offers being withdrawn because the candidate is taking so long to reach an agreement, always wanting a little more”, Cecilia warns. The ultimate goal of any negotiation is to reach a deal that works for both parties so be aware of arriving at this point. “It is important to understand when the company is already going above and beyond to meet what the candidate is asking for”.

Here are a few don’ts when it comes to offer negotiation:

• Negotiate in person or over a video call, never via email.
• Make it clear that you are interested. Never negotiate an offer you don’t plan on taking.
• Never give ultimatums or be unprofessional.