Salary negotiation: the complete guide
Salary negotiation is one of the highest-ROI skills you can develop. A single successful negotiation can be worth tens of thousands of dollars—and compounds throughout your career.
⚡ Quick answer
Should you negotiate? Almost always yes. Research shows that people who negotiate their starting salary earn on average $5,000 more per year. Over a 40-year career with typical raises, that's over $600,000 in additional earnings.
Why you should negotiate
Most people don't negotiate because they're afraid of seeming greedy or losing the offer. But here's the reality: employers expect negotiation. The first offer is rarely the best offer.
- →Compounding returns. A higher base salary means higher raises, higher bonuses, and a higher baseline for your next job.
- →Employers budget for it. Most companies have salary bands with room to negotiate. Not negotiating leaves money on the table.
- →It signals confidence. Negotiating professionally actually increases respect—it shows you know your worth.
- →Offers rarely get rescinded. The fear of losing the offer is overblown. Professional negotiation almost never results in rescission.
When to negotiate
✅ New job offers — The best time. Your leverage is highest before you accept.
✅ Promotions — When your responsibilities increase, your pay should too.
✅ After major wins — Landed a big client? Saved the company money? That's leverage.
✅ Annual reviews — Even small increases compound over time.
⚠️ Competing offers — Use carefully. It can backfire if done wrong.
How to prepare
1. Know your market value
Research salaries on Glassdoor, Levels.fyi, LinkedIn Salary, and Payscale. Talk to recruiters. Know the range for your role, experience, and location.
2. Define your range
Set three numbers: your target (what you'd be thrilled with), your ask (10-20% above target—your opening), and your floor (the minimum you'd accept).
3. Quantify your value
Prepare specific examples of how you've added value: revenue generated, costs saved, problems solved. Numbers are persuasive.
4. Know your BATNA
Your Best Alternative To Negotiated Agreement. If this negotiation fails, what will you do? Having options gives you confidence and leverage.
5. Practice your delivery
Rehearse out loud. The words need to feel natural when you say them. Record yourself or practice with a friend.
Negotiation tactics that work
Let them anchor first (usually)
If asked for salary expectations, deflect: "I'd like to learn more about the role first." Let them name a number.
Use precise numbers
$73,500 is more credible than $70,000. It suggests you've done research, not just picked a round number.
Focus on value, not need
"I need more money because rent is high" is weak. "Based on my track record of X, I believe Y is appropriate" is strong.
Negotiate the whole package
If salary is firm, try: signing bonus, equity, vacation days, remote work, title, start date, review timing.
Mistakes to avoid
Accepting immediately
"I'm thrilled with the offer and would like some time to review the details." Even 24 hours gives you space.
Negotiating over email only
Phone or video is better—you can read tone and build rapport. Email is easily misinterpreted.
Bluffing about competing offers
If you're caught lying, you lose all credibility. Only mention offers that are real.
Being adversarial
This is a collaboration, not a battle. Maintain warmth and express enthusiasm for the role.
Word-for-word scripts
Opening counter:
"Thank you for the offer—I'm excited about this opportunity. Based on my research and the value I'll bring, I was hoping we could explore a salary closer to $X. Is there flexibility there?"
When they ask your expectations:
"I'm flexible on compensation—I'm most interested in finding the right fit. What's the range you've budgeted for this role?"
When they say it's firm:
"I understand the base salary may be set. Are there other elements of the package we could discuss—like signing bonus, equity, or an early review cycle?"
Accepting gracefully:
"This works for me. I'm excited to join and commit to delivering results that justify this investment."
Practice before the real thing. Skillbase lets you rehearse salary negotiations with AI hiring managers who push back realistically—so you're ready when it counts.
Try salary negotiation practiceFrequently asked questions
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Key takeaways
- ✓ Almost everyone should negotiate—employers expect it
- ✓ Know your market value before you negotiate
- ✓ Focus on the value you bring, not what you need
- ✓ Negotiate the whole package, not just salary
- ✓ Practice makes perfect—rehearse before the real thing
Practice salary negotiation
The best negotiators practice before high-stakes conversations. Skillbase lets you rehearse with AI hiring managers who respond realistically to your approach.
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