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From the Boards
by Michael Chaffers

The best source of information about what's going on in the workplace comes from you, our members. To better serve you, our experts are now combing the boards for the most frequently asked questions. Here is a recent selection from the Negotiation Coach's message board. We will do this each month, so keep your requests coming. We aim to please.

Our Members Want to Know…

Q. What is the best way to handle employers who ask for your current salary?

Our members say:

"I feel they use this against you when making an offer."

"I always just give them a range I am making and a range I am seeking. I also make it explicitly and irrefutably clear that 'I am certainly not seeking a position that pays my current salary.' "

"I think expecting an employer to make you an offer without knowing your expectations is unrealistic. After all, they're not going to offer you $20K over the market, so why not be open about the money thing? It goes both ways, as well. I ask them what they are expecting to pay. If they aren't open about that, I go looking for another."

Negotiation Coach's Answer:
Start with why the employer wants the information. In most cases, the employer really wants to know your general salary expectations, so he or she knows whether there is a possibility of a fit. In some cases, the employer wants this information to determine what to offer you (Assuming he'll give you an increase on what you are making, he wants to know if you are in the low, middle or high end of the range). Having gotten that information, you can provide your current salary with the caveat that you are seeking more, or provide a range for what you are earning (depending on raises, bonuses and the like). In any event, the employer can usually obtain this information through other means, so it does little good to avoid the question.

Q. How do you negotiate for a job that pays less -- I want to relocate to a region where salaries are lower, but I cannot convince potential employers that I am serious.

Our members say:

"If you really want that job, why not lie about the pay. Most folks lie about their situation in the reverse."

The Negotiation Coach says:
It must be tempting to lie, either about what you are currently making or why you want to move. But the consequences are pretty dire should you get caught. For that reason, I advise taking a more open and honest approach. Be up-front about all of your reasons for moving (e.g., better place to live, closer to family, greater chance for promotion) and that you accept the fact that you will earn less. If you have plausible reasons for relocating and your skills are valuable, you will most likely find an employer happy to take you. Be prepared to address other concerns they might have -- e.g., they may fear that you will soon leave to take a higher-paying job in the same region or change your mind and relocate.

Q: Can you negotiate for extras -- like having health insurance start immediately or taking a short vacation just after starting -- without jeopardizing getting an offer?

Our members say:

"You may not be able to get the insurance to cover you right away because of their policy. Another option would be to get them to pay a certain amount per month to your current insurance, COBRA or a new insurance policy of your choice until the new policy is enabled."

"Absolutely! Everything is negotiable. When starting with my present job, rather than the standard one week vacation in the first year, as is policy, I negotiated for three weeks."

"You would be better off waiting to see what they offer before making up a list of other things you want. You would also do better if, rather than hit them with a need for a couple of days off right after you start work, just negotiate one week later as a starting day and do your vacationing beforehand."

Negotiation Coach's Answer:
My operating assumption in every negotiation is that you can ask for anything, as long as you do it in a reasonable manner. If you have legitimate reasons for negotiating a change in those "extras" -- such as your family needs insurance coverage right away or you need vacation time to help your children adjust to a new environment -- put them on the table. You will likely have even more success if you frame the issue as a joint problem that you would like their help in solving. Almost every employer will listen to you and try to be helpful, even if he or she doesn't agree to give you exactly what you ask. Finally, if an employer is so ruthless as to rescind a job offer because you wanted to negotiate low-cost benefits, imagine what kind of a place it must be to work at.

Q: How can you effectively negotiate unnecessary benefits into your base salary (besides just outright saying "I want X instead of your health plan")? Are most employers willing to negotiate salary for their savings?

Our members say:

"Some employer benefit plans have an 'opt-out' provision where you can decline coverage for cash. If there is no such provision, the employer may not really be saving money if you retain coverage from another plan."

Negotiation Coach's Answer:
It is certainly worth asking the company to share, or give you, any savings it receives. Even if there are no monetary savings, if you are creative, you can seek additional compensation in exchange (i.e., more vacation time or a better package of benefits). This is a situation in which some preparation will help you find out if there are savings (you can ask human resource departments at similar companies) and if it is common for this employer -- or its competitors -- to share them.

Q: How do you negotiate a better salary when during the first interview they tell you what they are budgeted for and you want a better salary?

Negotiation Coach's Answer:
The company's budget, while a realistic constraint you have to deal with, is an arbitrary figure that has little to do with the amount you ought to be paid. So, assuming you have a salary figure (or range) that you feel is appropriate, you should not let the budget stop you. One way around the budget is to ask if part of your compensation can be counted against next year's budget (hopefully, you can be paid now -- if you have to wait, it makes sense to receive an additional amount). Similarly, you could see if the extra amount can be paid out of a different pot of money this year -- perhaps there are separate budgets for fixed salaries and for bonuses or raises. You can also seek greater compensation that does not count in the budget, such as stock options, benefits, a promise for more rapid promotion, etc. Finally, you always have the option of turning down the job and looking for a place that will pay you what you feel you are worth.

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