Compensation Discussions

There is a time and place to discuss compensation so let’s start with how you should handle these discussions from the beginning. Whenever you interview and a prospective employer asks about compensation be very careful not to say anything that will knock you out early in the interview process. When an interviewer asks you what salary you are looking for there are two things that will invariably happen. The interviewee could state a salary that is so high they are disqualified early in the process, or the interviewee states a salary so low the perception could be that they are underqualified and this could also disqualify them early in the interview process. Therefore, I recommend candidates state the following during an interview:

“__________, I am here to evaluate the tax opportunity and responsibilities in this role. The tax opportunity is the focus of my interest. As we move through the interview process and determine this is a good fit, I am confident you will make me a fair offer based upon my qualifications for the role.” It is important to move all salary negotiations to the end of the interview process. Think about it this way, once you understand the value of something, you are willing to pay more for it only if it offers great value. Bottom line, if company management likes you and wants to hire you, they will pay more once they understand the benefits you bring to the organization. Prior to negotiating your compensation package, I would recommend the following:

1. Write down every detail of your current compensation package (Base, Bonus Target, Stock, Vesting Periods, Medical, etc.).

2. Write down the date of your next review, expected salary increase along with any other benefits.

3. Prepare a written analysis to give to a potential employer if there are a lot of details to your compensation package or verbally communicate your expectations based upon your current salary.

4. Negotiate vacation time before you start so everyone is on the same page regarding preplanned trips.

Always keep an open mind when negotiating salary. There are often benefits like start up opportunities, stock options, signing bonuses or relocation allowances that have more value than a base salary in an offer.

Back To Library