Thursday, August 12, 2010

Salary Negotiation Don’ts

Salary Negotiations Knowing the salary negotiation tactics is very essential, whether you are new to job hunting or an experienced individual. The art of negotiation aids to achieve the salary target that you wish and deserve.

The article focuses on what to avoid when negotiating one’s salary package.

1. Accepting the offer and not negotiating
This is the biggest mistake that a candidate does when he accepts what is offered. This mistake is often made by young job seekers, because they firstly are eager to start their career and do not understand the process of negotiation or are at discomfort with the idea .
Settling for less then what you worth results in major financial disadvantages, you will earn less, you increment will be lower as they are based on your salary, lower contribution in pension funds. So all in all you peg yourself low!!

2. Focusing on Need rather than value.
A common error by job seekers is focusing towards how much monetary benefit / the designation and authority can be achieved out of the process rather then your value to the prospective employer.
Negotiate the job offer on the basis of sagacious research and demonstrate your value to the organization, and avoid telling your employer what you need as salary.

3. Poor research leads to poor negotiation
There are various ways of extracting the information about the compensation packages offered by the company and the market value of the candidate.
Research on prospective employer can be done on historic salary levels, if the data is easily available if not evaluate on your own and understand the market value of your services our if there a reference in the company try to extract details out.

4. Quick in asking about Salary and Perks
There are many job seekers who jump in very quickly to the compensation details. The appropriate time is when you are being offered the job, and this is where you ask about bonuses, insurance, medical allowances and other perks. Asking at any point earlier then this point reveals that you are too focused on money.

5. Accepting Job Offer Too Quickly
Seems unintelligent but it is, even the best offers must be evaluated with a clear head and without the pressure of your future boss or HR manger looking at you right in the eyes. Probably every employer gives candidate time to contemplate, use this time to assess or re-assess if this is the job you want (if there is any other job offer in line) or since they have chosen you now you have the power to negotiate for a better offer if you feel it should be better than what is offered. Just remember that make your decision in the time that you buy from them.

6. Declining Job Offer Too Quickly.
Many of the new job seekers do not do it, but this often done when the salary offered is much lesser then expected and in many cases it is correct to reject it out rightly. However, if the take home amount is not attractive – take a closer look at the over all benefits that are offered, it’s a big mistake to decline the job offer immediately without looking at the compensation package in it entirety.
An example to above is, many organization offer low salary, but they make up to it by offering monthly bonuses, full medical even of the family, gratuity funds, pension contributions etc.
Consider the long term benefits of being affiliated with the company, not just the short term, gratuity and pension contributions are one of them.

7. Taking negotiations personally.
It is extremely important that you remain professional through out the process even if in the negotiation process does not bear results as you desired.

Move graciously; thank the employer for the opportunity because there is a probability that you may come to an interview again later in your life with the same person or same organization thus its better not to be at a point of no return.
Best of Luck!!!! 

Give Me More Money!: Smart Salary Negotiation Tips for Getting Paid What You're Really Worth 


"The ultimate salary negotiation book for anyone applying for a job or seeking a raise or promotion. Dispels numerous myths, outlines key salary mistakes, and reviews major compensation trends in the process of revealing how to acquire salary information and figure one's worth."


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