how to negotiate benefits during the hiring process

How do you negotiate benefits during the hiring process?

• Understand what benefits you can negotiate. When you receive a copy of the company's benefits package, ask about the potential for negotiation. ...
• Do your research. ...
• Provide specific reasons. ...
• Show your value. ...
• Get the final offer in writing. ...

Full Answer

What benefits should I negotiate for my job?

From flexible work schedules to personal days and paid time off to volunteer, there is a world of other benefits out there than you can leverage in your negotiations. It’s important to negotiate your benefits while thinking about your long-term goals, such as retirement.

How do you negotiate a salary range with a potential employer?

Then have the potential employer name the number first so that you know the company’s exact budget. Once you’ve got a range firmly in hand, document it. Show it to the person or people with whom you’re negotiating and see if they can match this range.

What should you negotiate when reviewing a job offer?

Employees often focus on salary during the negotiation process, but you can also negotiate benefits or other job perks. Benefits contribute to your overall compensation, so keep that in mind when reviewing a job offer.

Should you negotiate benefits when asking for a promotion?

Whether you ask for a promotion or your employer approaches you, make sure to negotiate for relevant benefits during the process. A promotion demonstrates that the company recognizes your value, which means they may be more likely to accommodate your requests. Here are some steps you can take to negotiate benefits as you advance within the company:

How do I negotiate a better benefit package?

5 Tips to Negotiate Your Compensation PackageDon't Be Afraid to Ask. Here's a simple tenet but one you should never forget: It never hurts to ask. ... Think Outside of the Paycheck Box. ... Get a Better Title. ... Seek Out Learning Opportunities. ... Get Everything in Writing. ... Make Compromises Between You and Your Career.

How do you ask for benefits in a job offer?

Wait until you have a job offer to discuss employee benefits, either with human resources or the person who is offering you the job. Next, take some time to review the benefit plans so you can make an educated decision based on the benefits information provided by your prospective employer.

What to say when negotiating benefits?

You might say something like: "I definitely understand budgeting issues, and I want to be as flexible as possible to work with your team. I'm still very excited about joining your group, and would like to explore whether $60,000 is possible given my specific experience and skill set."

Can you negotiate benefits waiting period?

In fact, many employers choose to waive the benefits waiting period entirely, as the cost of providing an additional month to three months of benefits coverage may be negligible if it enables the company to attract and hire the most desirable employees without those hires having to worry about a gap in benefits ...

What benefits should I negotiate for?

Consider hiring bonuses, vacation time, retirement plans, sick leave, insurance, and other company benefits as open for negotiation as well. If you are planning to go back to school, tuition reimbursement may be just as important as health insurance.

How do you answer expected benefits?

How to answer "What are your total compensation expectations?"Research the industry and geographic area. ... Emphasize your flexibility. ... State a range rather than a fixed amount. ... Consider offering high compensation. ... Be honest. ... Focus on why you expect the amount. ... Prepare for price negotiation.

How do you tell a recruiter the salary is too low?

The first step is to say thank you. Maintain a respectful tone and tell the hiring manager how much you appreciate them for taking the time to interview you. However, make it clear that the salary they're offering is too low for you to accept — that you know your worth and you're willing to stand by it.

How much should I counter offer salary?

A good range for a counter is between 10% and 20% above their initial offer. On the low end, 10% is enough to make a counter worthwhile, but not enough to cause anyone any heartburn.

Should you accept the first salary offer?

It really depends. Some people feel you should take the first offer if you're happy with it. Never negotiate just for the sake of negotiating. Other people disagree with that position and believe anytime you're given the chance to negotiate, you should.

Can you negotiate benefits package?

Can you negotiate benefits? Employees often focus on salary during the negotiation process, but you can also negotiate benefits or other job perks. Benefits contribute to your overall compensation, so keep that in mind when reviewing a job offer.

Can you negotiate health insurance in a job offer?

In theory, you could negotiate every part of your employee compensation package, including base salary, bonuses, stock options, health coverage, tuition reimbursement and severance [source: Salary.com]. The reality is that very few new hires have that much negotiating power.

How do I ask for better benefits?

How to ask for more benefits and sweeten a job offerKnow the going rate. ... Ask for flexibility. ... Take advantage of growth opportunities. ... Negotiate for the title you deserve. ... Ask for more vacation time.

How do you negotiate benefits during the hiring process?

During the process of accepting a job and discussing compensation , you can begin negotiating your benefits. You can use the following steps to improve your chances of getting what you want:

When is it appropriate to negotiate benefits?

The appropriate time to negotiate benefits is when you receive a job offer. An employer should provide a copy of their benefits package, which you can review to determine whether it meets your wants and needs. If you find areas for improvement, start a discussion about negotiations before accepting their offer. Eager employers eager will be more interested in negotiating to ensure you feel motivated to work for them.

What benefits can you negotiate?

While employers often offer insurance plans (health, dental, life, vision, etc.) and 401 (k)s , it can be difficult to negotiate these items because the companies already have set terms.

How do you negotiate benefits when advancing in the same company?

Whether you ask for a promotion or your employer approaches you, make sure to negotiate for relevant benefits during the process. A promotion demonstrates that the company recognizes your value, which means they may be more likely to accommodate your requests. Here are some steps you can take to negotiate benefits as you advance within the company:

How to convince your potential employer to hire you?

Reiterate the successes from your professional history, such as your ability to save costs, streamline processes or promote growth. Then explain how you aim to provide that same value to their company, and the benefits you receive should reflect that. When employers recognize the talent and advantages you offer, it may make them more interested in adapting to your needs.

Can you negotiate benefits?

Employees often focus on salary during the negotiation process, but you can also negotiate benefits or other job perks. Benefits contribute to your overall compensation, so keep that in mind when reviewing a job offer. For example, you may not receive as much of a salary boost when moving to a new job, or the employer has little room to negotiate on it. You can then try to negotiate benefits to supplement your salary needs or otherwise improve your work-life balance. You may even find that some perks matter more to you than your salary.

What is the importance of negotiating benefits packages with current and prospective employees?

An employer's willingness to negotiate benefits packages with current and prospective employees can make all the difference when it comes to retaining and hiring talent.

What is the first step in negotiating benefits?

If an employer decides to negotiate benefits, the first step is choosing which benefits programs can be included in the negotiations. Employers must "be clear about what benefits they are legally able to negotiate," said Kristen Fowler, practice lead with Clarke Caniff Strategy Search in Troy, Mich. "Be upfront with employees and job candidates on what benefits the organization offers and if they can be changed," she said.

What is PTO in employment?

Paid time off (PTO) is a perennial focus of employees and job candidates , many of whom are looking to maximize flexibility in their working arrangements. In some cases, employers must consider job candidates' situation with their current employer when negotiating PTO benefits.

How many employees negotiate benefits?

Employees are proactive when it comes to these negotiations. Of the 64 percent who attempted to negotiate benefits with at least one employer, 87 percent did so during the hiring process and 60 percent after being hired. Roughly 80 percent of those who sought to negotiate benefits said they were successful, according to the survey by Paychex, a payroll and benefits services firm.

Which is more likely to request flexible work hours and parental leave?

Women were more likely than men to request flexible work hours and parental leave.

Does SHRM offer legal advice?

SHRM provides content as a service to its readers and members. It does not offer legal advice, and cannot guarantee the accuracy or suitability of its content for a particular purpose. Disclaimer

Can you take cash in lieu of PTO?

The popularity of both PTO and work flexibility is not lost on employers, and they have begun to modify PTO programs significantly. Some employers now allow employees to take cash in lieu of at least some of their allotted PTO. A growing number of employers are adopting unlimited PTO policies to fully leverage the power of PTO as a recruiting and retention tool.

Why is it important to negotiate salary and benefits?

Negotiating salary and benefits is just as important as customizing your professional resume for the role and properly preparing for the interview. Your negotiating style tells an employer what kind of team member you are. And while it is important to impress your new boss, it's just as important to ensure that your new job offer will pay ...

What to say when hiring manager says he can't make any changes?

If the hiring manager says that he can't make any changes, say that it's not an issue, but ask if there is an option to revisit the compensation in the near future. Should the answer be no, it may be a good idea to explore other job opportunities.

What is the difference between base pay and total compensation?

You can impress the "numbers" people on the hiring committee by asking about base pay versus total compensation. Total compensation means the deal on the table is all-inclusive, while base pay is the basic salary plus any benefits and compensation.

How long is a probationary contract for a sales vice president?

For example, if the board of directors hires you to take on the role of sales vice president, it may be a six-month probationary agreement with little negotiating room. On the other hand, a firm job offer gives more wiggle room. Just ask the hiring manager if the company is extending a firm job offer or not.

What to do if no team member is present?

If none is presented, start questioning the professionalism of the company and its management. Most companies will not hire a new team member unless he or she signs a benefits agreement. This not only protects the new hire, but the company, as well.

Is a good resume good for a job?

A better resume can lead to a better job offer. Hire a TopResume professional writer today.

Can you turn a blind eye to career advancement?

Even if you decide to accept the position and the benefits accompanying it, never turn a blind eye to other opportunities for career advancement. Some may present themselves within the organization while others may be found outside the office during a professional networking event.

When responding to an offer, be as clear as possible?

When you respond to an offer, be as clear as possible. Because salaries are so important, it’s more effective to have conversations about compensation over the phone or in-person. That way, you can capture any nuance in the interviewer’s voice and vice versa.

When it comes time to speak with the hiring company or a recruiter, should the conversation start with the job?

When it comes time to speak with the hiring company or a recruiter, the conversation should start with the job , not the money, because compensation should match the responsibilities of the role.

How to gauge a fair salary?

There are a lot of different ways to gauge a fair salary for an industry and role. Online tools like Glassdoor and Payscale, which help aggregate information, can be helpful. But don’t rely on online data alone. Your best bet is to talk with other people in your industry. Set up some time to chat about compensation with friends and contacts. If you feel uncomfortable asking for help, phrase it this way:

What to do when you draw a hard line on salary?

If they draw a hard line on salary, get creative about other aspects you can negotiate— from time off to flex time, bonuses, and equity. As uncomfortable as job negotiations can feel, they'll always be a part of your professional life—and it's worth practicing now.

Is the hiring process awkward?

The hiring process is chock full of potentially awkward moments. But no subject causes more dread and anxiety than salary negotiations.

Is it illegal to ask about your salary?

Depending on where you live ( New York City, California, and Massachusetts to name a few examples), asking about your salary history or past compensation may even be illegal. So, here are a few ways to go about the salary question, should you not want to disclose what you're currently making:

Do you have to give an immediate answer to an offer?

A lot of people mistakenly think that once they receive an offer, they need to give an immediate answer. That couldn’t be further from the truth—just as you do your homework and analyze the job market, you need to bring that same level of detail to a role and compensation package. Here are some questions to ask yourself (and possibly your recruiter), if the offer is not completely clear from the offer letter and interviews.

When negotiating benefits, is it important to know what you want?

When it comes to negotiating your benefits, it’s important to know what you want. By clearly defining your goals, you’ll be better equipped to outline your wants and needs to the employer, ensuring that the negotiation meeting is a productive one.

Why is it important to negotiate your benefits?

It’s important to negotiate your benefits while thinking about your long-term goals , such as retirement . While you may be new to the workforce and just starting out, you could be working in this position for some time. Therefore, you’ll want benefits that protect you throughout your life.

What Percentage of a Salary Is Benefits?

According to the U.S. Bureau of Labor Statistics, benefit costs accounted for 37.7% of employer’s expenses in 2019. Knowing that this is what the average employer is willing to put towards the benefits of an employee, you can feel confident asking for 30% of your compensation to come in the form of benefits.

Why do you research benefits offered by a company?

You’ve probably already done this during the interview phase of landing a job, but researching the benefits offered by the company will allow you to understand which perks they offer so you can negotiate the right ones. It will also demonstrate your interest in the company and hopefully put your boss in a more positive attitude during negotiations.

How to negotiate 401(k) match?

To negotiate a 401 (k) match, start by seeing if the company matches your contribution. Consider the salary you were offered, too. A company may be offering a high salary, but unwilling to match your 401 (k) contribution.

How to negotiate additional insurance perks?

To negotiate additional insurance perks, start with an understanding of the company’s existing insurance offerings. If they don’t offer an HSA, see if they’re willing to, or ask for the employer to contribute more funding towards your insurance coverage.

What are commuter perks?

Commuter Perks. In some cases, the job you’ve been offered might be a bit of a distance from where you live. When you receive the job offer, negotiate commuter perks with your employer. You may be able to leverage stipends for bus or train fare or even gas by demonstrating the expense of getting to work.

What Benefits Do Employees Desire?

Which benefits do employees most desire? Nearly 75% of employees in our study wanted a 401 (k) match or contribution , making it the most popular request. Prospective employees were more likely to negotiate for a retirement plan during the hiring process (50.3%), but 15.6% negotiated after they had signed the hiring documents.

Why would someone look for a new job after a disability claim?

Having a request for disability insurance denied was the number 1 reason people would look for a new job after an unsuccessful negotiation. Nearly two-thirds also said they’d leave their current employment if a request for professional development funding was rejected – the job market is competitive, and employees want to grow.

What benefits are companies most likely to grant?

What benefits are companies most likely to grant? Our survey showed that flexible work hours (31.4%) and flexible time off (25.1%) topped the list. And managers reported that the requestor’s seniority had a large effect on granting that flexibility.

How can employers supplement workers' salaries?

Employers can supplement worker salaries by offering competitive benefits packages. According to our survey, nearly 59% of people said it was extremely or very important that an employer be open to negotiating benefits. Of the 64% of people who negotiated benefits with an employer, 87% did it during the hiring process, but 60% waited until after they had been hired.

Is paid paternity leave a desired benefit?

The survey results demonstrated that paid maternity or paternity leave fell lower on the list, with only 27.8% saying it was a desired benefit. That may be because more than 1 in 3 employers already offer paid parental leave beyond the amount required by law.

Do men request stock options?

When we looked at the demographics in our survey, we found that men reported requesting stock options almost three times more than women, and people ages 50 and older were more likely to request stock options than those in their 20s. The top benefits women were more likely to request compared to men included flexible work hours and paternity leave.

Is email preferred for hiring?

There are numerous ways that a prospective or current employee may communicate with an employer, and email is often a go-to during the hiring process. However, is negotiating face-to-face preferred? The majority of employees in our study favored it. In fact, for 76.7% of employees, in-person negotiation was the top tactic.

How to negotiate an alternate work arrangement?

The key to negotiating an alternate work arrangement when discussing the employee benefits package is to include your thoughts on how this type of perk would benefit the firm, not just you. Coming into work an hour later than the rest of the team, for instance, might save you half an hour on your commute and allow you to be more productive in the morning.

What did new hires take from potential employers during the recession?

During the recession, new hires often took what they were initially offered from potential employers. Back then, the idea of negotiation seemed like looking a gift horse in the mouth. But now that the job market has improved, especially for highly skilled talent, applicants are once again feeling confident about asking for more than the offer on the table — including a better employee benefits package.

What are the benefits of telecommuting?

A great perk to have in your employee benefits package is the option of pursuing alternative work arrangements. Telecommuting once a week can save you money in commute costs and effectively increase your salary — not to mention the reduced wear and tear on your car.

How many weeks of vacation do you get for a new hire?

One option is to request more time off from the start — three weeks of paid vacation rather than the standard two, for instance. Another is to ask that your allotment of vacation and sick days be increased more quickly than would normally be the case. A third option might be to take unpaid time off from time to time.

What to do if your employer doesn't offer subsidized training?

If a potential employer doesn't offer subsidized training at all, you might ask if they would be willing to if the training you pursue benefits the organization — if you're an accountant working toward a CPA designation, for example.

Can you forget your benefits package when you start a new job?

All it takes is a miscommunication between the hiring manager and human resources. So be sure all details of your employee benefits package — including any special adjustments you've been granted — are clearly stated in your contract or offer letter.