What a Company Thinks During Job Offer Negotiations (2024)

It’s easy to tell your friends to negotiate when they get a job offer. But when it comes to you? There’s this nagging little voice that says, “Do not do anything that might ruin this.” And while you’d tell your friend to take a deep breath and relax, it’s only natural to react like this when it feels like your exciting new position’s still on the line.

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But you should know that in almost every case, the company expects you to negotiate and it’s in your best interest to give it a shot. In fact, a study by Salary.com found 84% of employers expect job applicants to negotiate salary during the interview stage.

If you’re not convinced yet, know this: The hiring manager’s on edge too when it comes to negotiating salary. He’s nervous you won’t accept his best offer—yes nervous, remember, he put a lot of thought into this decision, too and has decided he really wants you to be working there. Really! I know this because when I was a recruiter, I often had the following conversations with hiring managers.

1. “I Hope We Can Pay This Person Enough.”

Most people I know do their best to offer what they feel is a fair salary off the bat. In many cases, they have room to offer a little more if the candidate negotiates. However, I’ve lost count of the sleepless nights I experienced while waiting for someone to accept a job. This might sound silly, but trust me—ask any recruiter who’s lost their top target to a competitor who offered more money, and they’ll tell you that when a company hits its top dollar, there’s not a whole lot the hiring manager can do but wait.

What This Means for You

Do a little research on what fair market value for the role is. If you feel the offer you received isn’t fair, don’t be afraid to make a counteroffer. While many employers try not to lowball you off the bat, it’s fairly common for companies to expect job seekers to counter. Even if the compensation package isn’t completely unreasonable, don’t be afraid to stand up for yourself respectfully if you feel you deserve more. The hiring manager’s put his cards on the table by offering you the job, so you have much more power than you think.

2. “I’m Nervous That This Candidate Has Multiple Offers on the Table.”

Recently I’ve heard from a few people who were afraid of a company getting wind of the fact that they were considering multiple job offers. More specifically, those people were worried about how each company would take it.

But here’s a fun fact: As a recruiter, I spent time freaking out about this, too—and often found myself scrambling to find a way to get that person to choose us instead.

What This Means for You

The fact that employers consider this is really, really good news for you. So, be transparent with the hiring manager if you’re deciding between two offers. Avoid using one company as leverage to get more money from another, but don’t sell yourself short either.

If your top pick’s offering the lowest salary, go ahead and nudge the hiring manager a bit. You won’t lose the offer if you tell him or her that the job is your first choice, but are seeing that the offer’s a bit below market value for similar roles elsewhere.

3. “I Really Hope This Works Out”

I can’t emphasize this enough. Employers don’t send out job offers to candidates who make them say, “Meh, this would probably work out for us.” They typically try to hire people who get them energized about what they’ll add to the team.

So, when a company sends you an offer letter, the hiring manager’s crossing his fingers and toes in hopes that you’ll accept—and in most cases, they expect you to ask for a higher salary. Just ask Muse writer Sara McCord about her $10,000 career mistake. And when you do counter back, they start getting a little bit stressed that they actually might lose you.

What This Means for You

At this point, you might be thinking that you have all the authority in the world to ask for several million dollars per year. And I wish that were true. But at the same time, show a little empathy for the hiring manager. She’s really excited about (potentially) hiring you, and I know from my previous experience that even the most amazing candidates can’t change a company’s budget for a role.

Sure, there’s wiggle room, and you should 100% feel comfortable negotiating your salary. But remember that the hiring manager’s on your side now and she’s likely doing her best to get you to join the team. So treat this process as a conversation and not a back-and-forth fight.

It’s understandable if you’ve gotten to the end of this and still think you can’t work up the nerve to ask for a higher salary. And I get it—discussing money with anyone can be tricky sometimes, and it’s especially scary when it’s with a potential employer. But trust me, you’ve worked hard to get to this point. You have an offer in hand and have much more power than you think. If you do need a little extra help, consider speaking to a negotiation coach. In any case, you’ve got this—and you deserve to be compensated fairly.

Photo of person on phone courtesy of Hero Images/Getty Images.

What a Company Thinks During Job Offer Negotiations (2024)

FAQs

Do companies expect you to negotiate a job offer? ›

What's the best job for you? What is this? But you should know that in almost every case, the company expects you to negotiate and it's in your best interest to give it a shot. In fact, a study by Salary.com found 84% of employers expect job applicants to negotiate salary during the interview stage.

Can you lose job offer negotiating? ›

Rescinding a job offer is extremely rare, but it happens. In my 13 years of experience as a recruiter, I've only done it three times. The biggest reason was that the candidates' negotiation styles were egregious and not aligned with the employer's company culture.

Will a company pull an offer if you negotiate? ›

If you're respectful, realistic, and strategic when negotiating salary, there is little risk that you'll lose the job offer entirely,” said Cole.

How to respond to a negotiated job offer? ›

Thank them for the offer, confirm the details, and let them know when you'll get back to them with your decision. Never negotiate immediately upon receiving an offer. You want to have time to review the entire offer before negotiating. Thank the person and reiterate your excitement about the position.

Should I accept the first job offer or negotiate? ›

There are several reasons why a job seeker should not accept the first salary offer: The initial offer may be lower than what the employer is willing to pay: It is common for employers to make a lower initial offer, especially if they expect the candidate to negotiate.

Who approves a salary negotiation? ›

The hiring manager should be aware of what you are worth to fill the role and whether or not they are willing to go higher. If the company allows it at all, it is the hiring manager who is quite likely the person who can approve or initiate a higher salary offer.

Can salary negotiation backfire? ›

While you can potentially lose a job by negotiating a salary the wrong way, you will never know if you could get a higher salary if you don't ask. The key is to use the right strategies, such as providing logical reasons why you deserve more and avoiding emotion-driven cases.

How often do offers get rescinded? ›

How common is it to rescind a job offer? Rescinding a job offer may not be very common, but when the need arises, employers should consult counsel. To avoid rescinding job offers, employers should hire for positions they need with up-to-date and legally compliant job postings.

How long do job offer negotiations take? ›

The full process for negotiating salary for a job offer can take 5 to 10 days or approximately 2 weeks. The process breaks down into multiple steps. First, there is a final interview. A few days to 1 week after the final interview comes the employment decision and initial offer.

What is a lowball salary offer? ›

This is basically when a company offers you a salary at the very bottom of your desired pay range (or sometimes even lower). Some say this is done to open up the opportunity for negotiation, but I personally think it's done in the hopes that a candidate will simply take the job for the lowest pay possible.

Do companies offer more than expected salary? ›

Do Companies Offer More Than Expected Salary? With the right negotiation techniques, you can get companies to offer you a higher salary than you stated as your minimum desired salary in your application. Just make sure you have a justification for your demands.

Is it OK to not negotiate a job offer? ›

Negotiating a salary is a crucial part of accepting a new position, but botching this step can cost a you the job or affect your ability to succeed at work. On the one hand, if you don't ask for the salary you think you deserve, you may be paid less than you'd like and feel unsatisfied in your job.

What percentage of job offers are negotiated? ›

Mid-level positions typically have a negotiation range of between 10 and 20 percent. Higher-level management and executive positions offer the greatest opportunities for negotiation.

Should every job offer be negotiated? ›

Most employers actually expect to negotiate a salary offer, so they never give you their very best offer at first. That means it's your job to know what you — and this position — are worth and to ask for more money if their offer doesn't match that.

How long should it take to negotiate a job offer? ›

The full process for negotiating salary for a job offer can take 5 to 10 days or approximately 2 weeks. The process breaks down into multiple steps. First, there is a final interview. A few days to 1 week after the final interview comes the employment decision and initial offer.

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