9 Tactics to Master Offer Negotiations

To maximize gains and advance your career, a lot rides on offer negotiations. Learning to master them is well worth the effort.

By Julie Norwell and Keiva Ditchfield-Agboh

Want to know how to earn more money? Change jobs. Really.  

It’s well-documented that job changers tend to outpace job stayers when it comes to year-over-year annual pay. On average, U.S. workers who switch jobs see 4% more annual pay than those who stay put. And that’s just the average. In the crazy post-pandemic job market, job changers saw over twice the year-on-year pay gains of job stayers. 

The best part is that these gains are cumulative. Research shows that those who regularly make career moves also end up enjoying significantly higher lifetime earnings. 

So, yes, switching jobs can lead to more money. But here’s the rub—negotiating a job offer effectively is the key to maximizing your gains. Unfortunately, many executives fall into the trap of accepting the first offer or focusing solely on base salary, leaving other valuable aspects of the package untouched. Frankly, if you’re not optimizing every component of the offer, you’re leaving money—and opportunities—on the table.

The good news is that mastering offer negotiations isn’t as hard as you might think. Below are nine tactics to help you navigate job offers with confidence, walk away with the best deal possible, and set yourself up for future success.

1.  First, Qualify Yourself for the Role 

Before you even think of discussing compensation during an executive hiring process, you must qualify yourself for the role. This point is critically important. In fact, your goal should be to position yourself as the ideal candidate. This means thoroughly understanding the company’s needs and demonstrating how your unique skills and experience are the answer. The more you can show that you’re the perfect fit, the stronger your position will be when negotiations begin. 

2.  Know Your Value 

Your power to negotiate effectively comes from the value you bring to the table. So, you should have a deep understanding of your own worth in the marketplace. Sure, this means researching compensation trends for similar executive roles in your industry and geographical region. 

Even more important, though, is to quantify the value you bring to a company. How have your professional activities driven revenue, cut costs, or improved efficiency? Have you surpassed performance goals? Implemented strategies that resulted in measurable growth? Fostered innovation that gave your company a competitive edge? Take the pains to translate these achievements into compelling metrics. 

By tying your accomplishments to measurable outcomes, you will greatly strengthen your negotiating position. Make it easy for an employer to see how hiring you would benefit the company.

Think holistically. Don’t overlook non-monetary perks that improve your quality of life. By evaluating the full package, you’ll secure the best overall deal, not just the biggest paycheck.

3.  Time Your Negotiations Well

Never ask questions regarding what’s in it for you before you receive an offer. Doing so shifts the focus away from your fit for the role, weakens your negotiating position, and could derail your chances of getting an offer at all. 

Also, avoid discussing specific salary expectations before you have an offer. It limits your leverage. Instead, you might say, “I’m sure we can come to an agreement on compensation once we determine that I’m the right fit for the role.” This keeps the focus on your qualifications and value.

After you obtain an offer, you have the greatest leverage. Getting an offer demonstrates that the employer believes you are the most qualified person for the job. It’s at that point they will be most willing to sweeten the pot to bring you on board. 

What if you’re pressed to show your hand early?

“If they try to nail you down on salary before you get an offer, you should say, “If you make me a fair offer, it’ll be fine,” said Dan Resendes, chief consulting officer emeritus at The Barrett Group (TBG) and an expert on offer negotiations.

“If they persist in asking for specific numbers, ask what the salary range is and say, “All I request is that you consider the range and budget, take into account my experience and achievements, and give me a fair offer.” Don’t raise any barriers in the early stages or they might give the offer to someone else.”

4.  Get Your Offer in Writing Before Negotiating

Verbal offers can sound promising, but unless the offer is in writing, it’s not final. Before you start negotiating any aspect of the compensation package, say whatever is necessary to get an offer in writing – and nothing more. The written offer includes all the key details that you should consider in your negotiations. Without it, you risk negotiating with incomplete information. 

“Typically, organizations mention only a small part of the overall compensation package verbally. So, if they ask whether you’ll accept the verbally proposed salary, ask them to send the written offer so you can review the whole package,” advises Resendes. “Be agreeable, but don’t go into any details. You could say, “That’s definitely in the ballpark, but I want to look at the full package.” When you get the real offer, then you can negotiate.”

5.  Think Holistically

When negotiating an offer, it’s easy to focus solely on the salary—but the total compensation package comprises much more. Bonuses, equity, retirement contributions, health benefits, vacation time, professional development opportunities, relocation assistance, and endless other perks can add significant value to your overall offer. At the executive level you should consider all of them. 

In addition, there are plenty of novel approaches to compensation beyond what you may be accustomed to. Keep an open mind. A lower salary may be offset by a generous bonus structure or equity offering long-term financial growth. 

“By negotiating all aspects of the compensation package, one of my clients saw his total annual compensation jump from $450,000 to over $2 million during his job transition,” said Resendes. 

In short, think holistically. And don’t overlook non-monetary perks like flexible work arrangements, which can improve your quality of life. By evaluating the full package, you’ll secure the best overall deal, not just the biggest paycheck.

6.  Demonstrate Exceptional Value

Now is the time to negotiate! Employers usually establish salary ranges based on what the average person in that role will earn. You should prove that you are far above the average. If you convince them that you are a profit center, you are more likely to obtain an offer from the high end of the salary range – or higher! (If salaries are capped, some companies will supplement your paycheck with a Special Performance Incentive Fund bonus.) Come to the discussion armed with examples and metrics.

Find out what the company’s pain points are. If you possess a specific skill that the company lacks, you will be more valuable. If you can prove that you have the skills to resolve their problems, you’ll be more valuable. Again, be prepared to provide examples to justify your compensation expectations. 

Demonstrating your value – and that it is exceptional – is the way to squeeze out the best deal.

When you negotiate thoughtfully and professionally, you demonstrate confidence and bolster your credibility as an executive. It shows that you know your worth and aren’t afraid to stand up for it.

7.  Read the Fine Print

Before accepting any offer, carefully review the details of the agreement. The fine print contains critical information that may affect your compensation or future flexibility. Look closely at clauses related to bonuses, equity vesting schedules, severance terms, non-compete agreements, and other contractual obligations. These provisions can significantly impact your financial outlook and career mobility. A generous signing bonus might come with strings attached, for example, or a non-compete clause could limit your future job options. 

Resendes typically advises clients to negotiate a severance agreement (which should be at least as long as any non-compete agreement) because he has seen clients get blindsided when a new job didn’t pan out as anticipated. He proposes using the following gentle language to ask for one:

“After three months on the job, if I’m hitting all my KPIs but there is an unexpected change of leadership, how will I be protected?”

Lastly, don’t be shy to seek legal advice. A thorough review ensures you avoid unwelcome surprises down the road.

8.  Play It Cool

Executives are often savvy in making business deals. Compensation talks, however, are different. YOU are the product you are selling. The stakes are personal. 

Many people fumble compensation negotiations because they have a poor perception of their own value. (See Tactic #2.) Others lack the confidence to advocate for themselves. And some fear jeopardizing an offer by coming across as too pushy. 

“I’m used to negotiating deals as part of my job, but negotiating for yourself is a different challenge,” observed TBG client Marijo Prodanic. “Knowing what to say and what not to say when asked about salary expectations is hard!” 

It’s important to play it cool. That means that when you get an offer, don’t make demands. Ask questions. If the base is low, try asking, “Is there anything else I can do to boost my income? Pull in new investors, for example?” or “If I’m hitting all my KPIs, would you give me the opportunity for a raise at 6-months instead of 12 months?”

Frame your requests in terms of mutual benefit and creating more value for the company. And, very importantly, conduct these discussions verbally so you can listen for verbal cues. Don’t negotiate by email!

Lastly, don’t ever say, “Give me your best offer.” Instead, say, “Give me a fair offer.” The former you can’t negotiate, but you can always argue that the latter isn’t fair and continue negotiating!

9.  Do Negotiate! 

Far too many people avoid negotiating at all. But here’s the reality—employers expect it. Especially at the executive level.

“A little secret HR teams don’t want you to know is that the salary ranges they post are typically 30% less than what they expect to pay a new hiree because they anticipate negotiating,” Resendes notes. 

In other words, the first offer is rarely the best offer, and there’s almost always room for improvement. Moreover, when you negotiate thoughtfully and professionally, you demonstrate confidence and bolster your credibility as an executive. It shows that you know your worth and aren’t afraid to stand up for it. 

And negotiating isn’t as hard as you might think. TBG client Vijay Sardeshpande was surprised by how easy it was to boost his offer after some coaching.

“I have flubbed compensation negotiations in the past, but this time I was prepared! My career consultant told me about several different ways to approach them. She said, “If they say this, you can say that.” Just by following what she coached me to say, I got an additional $20K!” 

So, do negotiate! Sometimes all it takes to get what you want is to ask for it. 

Maximize Your Gains

There are many important elements of conducting an effective job search. But to truly maximize your gains and advance your career, a lot rides on offer negotiations. Learning to master them is well worth the effort. After all, every job change is a fresh opportunity to improve your financial trajectory and set new standards for your professional worth. Of course, for those who want it, professional help is available from career management firms like The Barrett Group, whose chairman boasts of returns on investment as great as 40-fold after using career management firms during his career transitions. But, whether you engage help or go it alone, employing these nine negotiation tactics is an excellent starting point. 

So, when that next offer comes in, be ready to make it work for you.

…

Written by Julie Norwell, senior writer & content manager at The Barrett Group.

 

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