Salary Negotiation 101: Tips for IT Pros Part 1

Salary Negotiation 101: Tips for IT Pros Part 1:
Most people would think that IT professionals went through some sort of salary negotiation when they applied and were accepted for the job.  Let’s be honest, we all work to earn money, so it is first and foremost in our minds when we get a job offer.  But most I.T. professionals find it difficult to negotiate, while others are quite reluctant and shy to discuss just how much they think they are worth.  The thing is, whether you are negotiating for your desired salary while still considering that job offer or demanding a raise, salary negotiation is the only way you could get the income you deserve.
Let’s focus on how to enter into salary negotiations when you are first offered the job.  Here are some tips.

1. Determine a starting point or range

It makes sense to come into a salary negotiation fully knowing how much your market value is.  The last thing you want to do is to give some random number that might be too high or too low.  Admittedly, though, information on the salary of IT practitioners is very difficult to come by.  But there are resources that can give you an idea:

• The Bureau of Labor Statistics has salary information on IT related jobs such as systems or database administrators, computer scientists, software engineers, programmers, technical support and analysts at http://www.bls.gov/oco/oco1002.htm#comp.  However, these positions might be too general in terms of the types of IT jobs they cover.
  If you do get a matching job or something close to what you have in mind, you are only given the average salaries of the whole population, the top 10% and the bottom 10% of each job category.  For example, according to BLS data, computer support specialists earn an average of $43,450 annually, with the top 10% earning more than $70,000 and the bottom 10% earning less than $25,580.

• Dice.com, a website that gives career advice and tips for technology professionals, regularly publishes its salary survey at http://media.dice.com/.  You could take advantage of that or you could get a more customized salary estimate using the site’s Salary Wizard, which allows you to specify Job Title, zip code and state/metro area.

2. Factor-in the competition, your education, experience and professional certifications

Find out what the competitors are paying employees in the same position that you are applying for.  Also, take into consideration the professional certifications that you have, your educational background and your working experience.  Naturally, a fresh graduate would expect to be paid less than somebody who has already worked in the same capacity for two or three years, while someone who can prove that he or she has the requisite knowledge through professional certification can expect to be offered more as well.
More importantly, make sure that you do not just focus on your previous job titles.  Instead, point out your contributions and achievements in your previous jobs to make yourself look more attractive to your prospective employer.

3. When should you bring salary up?

The cardinal rule in negotiating your salary is that you should never be the first to bring it up and you should avoid it until you have been offered the job.
Make sure that the company wants you on board so that it will be much easier for you to negotiate for the amount you are looking for.
This means that when you are asked to fill out an application form or any document asking for your salary requirement, put in “negotiable” or “competitive” or “open”.  Avoid putting in a specific amount.
If you are pressed to give a specific salary requirement, then go for a range.  A safe rage would be to add around 10% to your last salary and then add $10,000 to come up with your range.

4. Aim high, but never over-negotiate.

Without being inflexible, be sure that you aim high enough.  If the company wants you enough to give you a job offer, then try to get a higher salary for you to work with.
Remember that the odds are on your side.  The demand for IT professionals has never been this high since the world’s biggest companies realized how essential IT is to their business success.  In fact, a CIO Insight study found that there is a foreseeable job growth in IT-related jobs through 2016.
Also, the Hartford Business Journal Online reports that an increasing number of hiring managers are more open to negotiate salaries now more than ever.
Still, do not be too overconfident and don’t over-negotiate.  There are companies that might be unable to give you more than what they have offered, and you might end up not getting the job.

5. Remember that everything is negotiable.

Do not be afraid to negotiate.  Everything is negotiable in the business world just as long as you can balance selling yourself without having to be arrogant.
Sell your expertise and what you could bring to the table.
In the event that you do not get the salary that you expect, it might be a good idea to ask what you would need to do to get your desired salary while working for them.  Be sure to have these conditions put into writing so that if you achieve their conditions, you can get the salary you want.  This is one form of if-then negotiations, wherein you concede to a lower than expected salary, but with an option to discuss your salary in the near future.
Either that or consider a performance-based bonus, which brings us to the next point:

6. It is not all about money.

Take time to consider the benefits and perks that come with your job and if you stand to earn more out of your whole compensation and benefits packages than the amount you have in mind.

7. Get everything in writing.

No matter how much has been discussed in your salary negotiations, always ask for a formal offer with the final salary in writing.  Do not make the mistake of turning down other offers just because you thought that you were offered this much by one company.
So if you are getting offered that dream job, it really is okay to negotiate for your desired salary.  Do not fall into the trap of thinking that since you are new to the company, then you do not have the right to bargain.  Knowing your limits and your attractiveness to a potential employer can help you know when you are negotiating and when you are going out of bounds.