Studies show that failing to negotiate your starting salary can cost you over $1 million in lifetime earnings. Yet most people accept the first offer because they're afraid of losing the job or looking greedy.
Here's the truth: companies expect you to negotiate. The initial offer is rarely the best they can do. Let's walk through exactly how to do this.
Step 1: Don't Accept Immediately
When you receive an offer, your first response should NEVER be "yes." Even if it's amazing. Always ask for time to review.
Script: Buying Time
"Thank you so much for the offer — I'm really excited about the opportunity to join [Company]. I'd like to take a couple of days to review the full package. Would it be okay if I got back to you by [date 2-3 days out]?"
This is completely normal and expected. Use this time to research and prepare your counter-offer.
Step 2: Research Your Market Value
Before negotiating, you need data. Use these resources:
- • Levels.fyi — Best for tech companies, shows real compensation data
- • Glassdoor — Salary ranges by company and role
- • LinkedIn Salary — Data based on member profiles
- • Blind — Anonymous salary sharing (tech-focused)
- • Payscale — General salary data across industries
Look for people with similar experience at similar companies in similar locations. Aim to understand the range, not just the average.
Step 3: Determine Your Counter-Offer
Based on your research, decide on three numbers:
- Target: What you realistically want and believe is fair
- Ambitious ask: 10-20% above your target (your opening number)
- Walk-away point: The minimum you'd accept
Always ask for more than your target. Negotiation typically meets in the middle.
Step 4: Make Your Counter-Offer
You can negotiate via email or phone. Email gives you more control and a paper trail. Here's a template:
Email Script: Counter-Offer
Subject: [Your Name] - Offer Discussion
Hi [Recruiter],
Thank you again for the offer to join [Company] as a [Role]. I've had time to review the package and I'm very excited about the opportunity.
Based on my research of market rates for this role and my [X years] of experience in [relevant skills], I was hoping we could discuss the base salary. I'm looking for something closer to $[X] to make this work.
I'm confident I can bring significant value to the team, especially given my background in [specific relevant experience]. Is there flexibility in the compensation package?
Looking forward to discussing this with you.
Best,
[Your Name]
Step 5: Handle Common Responses
"This is our best offer"
Often not true. Try: "I understand there may be constraints on base salary. Are there other parts of the package that have flexibility? Sign-on bonus? Extra PTO? Earlier review date?"
"We don't negotiate"
Rare, but some companies (especially early-stage startups) have fixed bands. Ask about equity, sign-on bonus, or a guaranteed review in 6 months.
"Let me check with the hiring manager"
Good sign! They're taking your request seriously. Be patient and wait for their response.
They meet you halfway
Common outcome. If it's above your target, consider accepting. If not, you can push once more, but know when to stop.
What Else Can You Negotiate?
Salary isn't everything. Consider negotiating:
- ✅ Sign-on bonus — Often easier to get than higher base
- ✅ Equity/RSUs — Especially at startups and public tech companies
- ✅ Start date — More time off between jobs
- ✅ Remote work — Flexibility on WFH days
- ✅ PTO — Extra vacation days
- ✅ Title — Can impact future job searches
- ✅ Relocation assistance — If you're moving
- ✅ Learning budget — Conferences, courses, certifications
- ✅ Earlier review date — 6-month review instead of 12
Common Mistakes to Avoid
- ❌ Accepting immediately — Always take time to review
- ❌ Giving a range — They'll pick the lowest number
- ❌ Apologizing — Negotiating is normal, not rude
- ❌ Bluffing about other offers — Only mention real offers
- ❌ Being aggressive — Stay professional and grateful
- ❌ Negotiating multiple times — One or two rounds max
- ❌ Focusing only on salary — Total compensation matters
When NOT to Negotiate
There are rare situations where negotiating may not be wise:
- • The offer already exceeds your expectations significantly
- • You have no leverage (no other options, desperate timeline)
- • The company explicitly stated non-negotiable pay bands
- • Government or union jobs with fixed scales
Even then, you can often negotiate non-salary items like start date or PTO.
Final Thoughts
Negotiating feels uncomfortable, but it's a skill worth developing. Companies won't rescind an offer because you negotiated professionally. The worst they can say is no — and even then, you're no worse off than before.
Remember: every dollar you negotiate now compounds over your entire career through raises, bonuses, and future job offers that use your current salary as a baseline.