The negotiation of salary is often the most significant financial event in a person’s career, making the conversation about compensation high-stakes. A successful strategy requires the candidate to maximize leverage by delaying the discussion until the employer has established a strong desire to hire them. The primary goal is to avoid setting a low anchor early on, which can limit the final offer. Instead, position the conversation around the value you bring, ensuring you enter the final negotiation with the strongest possible position to secure a market-competitive package.
Researching Market Value and Company Context
Thorough preparation requires establishing a realistic market value for the role based on three variables: job function, industry, and geographical location. Utilizing government databases, such as the Bureau of Labor Statistics (BLS) Occupational Employment and Wage Statistics (OEWS) program, provides reliable wage estimates across the nation.
Crowdsourced data platforms like Glassdoor, LinkedIn Salary, and Payscale supplement this information by providing employee-reported salary ranges, which offer a granular, real-time look at current compensation trends. Researching the specific company’s compensation philosophy is equally important, as some organizations pay at the 75th percentile of the market, while others target the 50th percentile. This market analysis serves as the foundation for calculating a justifiable target range, ensuring expectations are aligned with external data.
The Primary Strategy: Deferring the Salary Conversation
The timing of the compensation discussion directly affects a candidate’s leverage during the hiring process. The party that names a number first generally sets the anchor for the negotiation. By delaying, the candidate increases the likelihood that the employer will reveal the range first.
As the interview process progresses, the company invests significant time and resources in assessing the candidate’s fit, increasing their desire to hire that individual. This investment strengthens the negotiating position, as the employer’s willingness to meet salary expectations grows with their commitment. The strategy is to redirect the conversation back to job responsibilities and value until a job offer is imminent or the company has signaled a strong interest.
Scripts for Deflecting the Question
Early in the Process
When the salary question arises during an initial screening, the goal is to politely but firmly avoid committing to a specific figure. A good response redirects the focus to the opportunity itself and expresses confidence in the company’s compensation standards. For instance, a candidate might say, “I am currently focused on learning more about the responsibilities and challenges of the role, and I am confident that your company offers a competitive package for this level of position.”
After Discussing Job Responsibilities
In mid-stage interviews, after a detailed discussion of the job’s scope, the interviewer may press for a number to ensure alignment. The response should acknowledge the conversation about responsibilities while still maintaining a deferral position. You can respond by stating, “Based on my understanding of the role’s scope, my salary expectations are flexible and will be shaped by the total compensation package. Before settling on a number, I would prefer to ensure we are a good fit from a responsibilities standpoint.”
When Pressed for a Specific Number
If an interviewer insists on a specific range or number, the candidate must pivot from a hard number to a soft, data-driven expectation. This is the moment to reflect the market research back to the interviewer without committing to a minimum. A strong answer might be, “My research indicates that professionals with my experience and the specific requirements of this role command a base salary in the X to Y range, depending on the structure of the benefits and bonus plan.”
Calculating Your Target Salary Range
Establishing a personal salary range requires translating market data into a flexible financial target with a clear, justifiable floor. Market research defines a minimum acceptable number—the lowest figure you would accept—and an ideal target number, which is the high end of your expectations. This range should always be based on the value of the role and your experience, not on current financial need or past salary.
The calculation must account for the total compensation package, which includes elements beyond base salary. Factors such as annual performance bonuses, stock options or equity grants, and the value of employer-provided benefits like health insurance and retirement contributions all contribute to the overall financial value. A cost of living adjustment is also necessary if the job is in a new geographical area, ensuring the final range maintains the desired purchasing power.
Handling the “What Do You Currently Make?” Trap
The question about a candidate’s current or previous salary is a common tactic used to anchor the negotiation to a potentially lower figure. This question is legally restricted in many jurisdictions, as a growing number of states and localities have enacted salary history bans to combat pay inequity. In these areas, employers are prohibited from asking about past compensation.
Regardless of the local legality, the candidate should pivot away from disclosing a specific number by focusing on the expected salary for the new role. A non-numeric response might be, “My previous compensation is not the most relevant measure, as I am evaluating this opportunity based on the market value of the role and the responsibilities we have discussed.” Alternatively, reiterate the market-driven range for the new position, stating, “I am looking for a salary in the X to Y range for a role of this complexity.”
When and How to State Your Final Number
The time to stop deflecting and state a specific number or range is only after the company has expressed a firm intention to extend an offer or has presented a formal offer package. Committing to a figure prematurely forfeits the leverage gained by demonstrating your value. The final number should be presented confidently as the high end of your previously calculated target range, allowing room for the employer to negotiate downward slightly while still meeting your overall goal.
When presenting the number, communicate a willingness to discuss the total compensation structure, not just the base salary. For example, stating, “My expected base salary is X, and I am flexible on that figure depending on the structure of the bonus and equity components,” signals both a firm expectation and a collaborative approach. The final statement should be direct, clearly linked to the market data you researched, and focused on the value you are prepared to deliver.