Thursday, April 16, 2020
This One Question Helped Me Negotiate to Make as Much as My Male Counterpart
This One Question Helped Me Negotiate to Make as Much as My Male Counterpart I almost signed the contract and returned it without a second thought. My yoga teaching gig was up for renewal, and the quoted hourly rate was the same as the previous yearâs. The number still seemed pretty high to me compared to my experience teaching in Texas, where the standard rate was half as much as in New York. But I didnât send the contract back right away. Iâm immersed in the personal finance world and write a lot about women, careers, and negotiation, so I knew I needed to at least attempt to get a higher rate. The tricky part was the director. I had worked with them going on three years, and I felt awkward asking for more since I thought the rate seemed fair. So, I decided to ask indirectly. This is what I wrote back in an email: âAs for payment, I do have to ask (since I work for a company thatâs all about gender pay parity!), is that what [name of the male instructor] makes?â Sending that question felt bold, and I worried about how it would be received. However, when the director replied, they stated what the other instructor was earning: It was a number 15% higher than my rate. And â" hereâs the best part â" they said they were happy to match the rate for me. It felt amazing. By asking one question, I ended up with pay parity, and a rate that was 50% higher than what I had started with two years ago. While that question worked for me, there are plenty of situations where it wouldnât be ideal. If you want to increase your rates, you have to get creative. Illustration for MONEY by Kiersten Essenpreis How to ask for more when youâre negotiating a project price You could ask for more money by packaging your services so that it seems like hiring you for more work will give your client a bigger discount. I did that a few years ago when I was pricing out a series of articles for a website. Instead of agreeing on a lower rate per piece, I gave a higher estimate with the agreement to produce a certain number of articles per month. Not only did this tactic net me an additional $200 per month, but it also guaranteed me a certain amount of work over time.Itâs also imperative to know what youâre worth. When you do, you can walk away from a lowball offer that wonât budge. Crowdsourcing is your friend. Ask someone in the same industry for their expertise. Youâd be surprised how many are open to sharing. Hereâs a simple ask Iâve used before to figure out if an offer was worthwhile: âI was quoted [price] for [describe the scope of work]; since youâre a [insert a true description, like seasoned professional or expert], I wanted to see if you think the offer is fair for someone with my experience [add details if the person doesnât know you well].â If you have some rapport with who youâre asking, you can add, âWhat would you charge for this project?â If youâre new to an industry, ask a few people these questions rather than just one person, and youâll soon get an idea of the range of compensation out there. How to ask for more when youâre negotiating a job offer First, get yourself in the right mindset. Itâs easy to fall prey to thinking that the offer is good enough, or that you donât deserve more money, or that the company is offering their highest possible amount. But you have to remember that most companies (unless itâs a nonprofit, government, or union job with a predetermined set salary) have wiggle room when it comes to compensation; most companies have a rough measure of what they can pay per role. If you accept the first offer given â" which is almost always on the low end of the available range â" youâre likely giving the company a bargain. Here are a few tactics to try: Keep it simple and ask âIs that the best you can do?â Sometimes, that will be enough for a better counteroffer. Show your enthusiasm by saying, âIâm very excited about this position and would accept your offer right now, if the salary offered was [name your number].â Try a little hardball: âThank you for the offer. Unfortunately, thatâs lower than I expected.â The key to all of these asks is patience. After you make your statement, stay quiet and give the person time to answer. If you scramble to fill in the silence, you risk sounding unconfident, and a skilled HR manager can bulldoze over you. Remember, when youâve made it as far as an offer, you have the upper hand. Most companies hate wasting time on recruiting, and itâs often easier to give a candidate what they want than to withdraw an offer and start from scratch. Itâs not offensive to ask for more money during a job negotiation â" itâs expected and itâs your right. So, take a deep breath, do a little downward dog if you have to, and give it a shot.
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