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Salary will always be an important factor in any career decision, whether you’re looking for a new job or choosing which offer to accept. And yet, few questions in the job application process are more uncomfortable than the basic What is your desired salary?

Not sure what to put for a desired salary on a job application? Keep reading for both helpful insights and templated responses.

How to Answer Desired Salary on an Online Application

If you’re not sure what to put for desired salary on an application, you likely need to do some research and then think carefully about your answer. It’s true that listing too high a salary can immediately eliminate a candidate if the company can not afford to pay that much. But it’s equally true that lowballing can impact a candidate financially for years.

When deciding what to put for desired salary on a job application, it’s important that candidates don’t simply list the number they want to earn. A salary number should be based heavily on research. Spend time looking into the cost of living in the area, as well as what typical salaries look like for the role, seniority level, and industry you’re applying for. Education level, years of work experience, and special skills should also be taken into account.

When completing an online job application, it’s common to be asked if the salary listed is negotiable. This is usually done in a checkbox format, but if someone is open to negotiation and doesn’t see an option to highlight that fact, there is usually a notes section where flexibility can be mentioned.

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How to Answer the Desired Salary Question in Interviews

Salary requirements can come up at any stage of the application process, including during the interview. To avoid feeling put on the spot, it’s smart to have an answer ready to go beforehand. As nerve-racking as interviews can be, they’re a great time to discuss salary with a potential employer to make sure both parties are on the same page.

Again, a salary number should be backed by careful consideration and research. Be ready to share an argument for why you chose that number. If the applicant is flexible on salary, that can also be expressed here. Many candidates factor benefits, title, signing bonus, growth potential, and other elements into their decision to accept a job.

If a candidate is pitching a number higher than the employer’s budget, but they’re willing to accept a lower salary if they can work from home three days a week, then they should share that during the job interview.

How to Answer the Desired Salary Question in Emails

Some employers may not ask about a candidate’s salary requirements until after an interview or two, and then do so over email. When it comes to figuring out what to put for the minimum salary desired, many candidates list their current salary or a number slightly higher than that to increase their disposable income.

Some employers may ask for a range. Here, it’s important for candidates to choose a minimum salary they feel is worthwhile enough for them to continue the application process.

Candidates may include a note in the email about salary being negotiable if that is true. But if there really is a minimum the candidate needs to see to consider the job offer, they should make that clear in writing. We all have different expenses and budgets that impact how much we need to make. A spending app can help candidates determine what salary they need to pay all their bills.

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Declaring a Salary by Email: Templates

If you’re feeling uncomfortable about salary negotiations and you’re not sure what to put for the minimum salary desired, it can help to practice writing it out. You can use these email templates as a script for in-person or phone conversations, depending on how either party brings up salary.

•   Template 1: Salary Range. “Based on market research and cost of living in our area, I’m looking for a new role that will pay in the $80,000 to $90,000 range. I am flexible and am open to negotiation, but can only make a move for a salary in that range.”

•   Template 2: Minimum Salary. “The average salary for my role in the greater Los Angeles area is $65,000. I am currently looking for roles that can accommodate a salary of $65,000 or more.”

•   Template 3: Flexibility. “With ten years of industry experience and a recently earned MBA, I am looking to make a move to a more senior position. Compensation is important to me and I would like to make between $100,000 and $135,000. However, I am also looking for a role that provides schedule flexibility and would be willing to discuss a lower salary in exchange for a minimum of three remote work days a week.”

These templates give candidates an idea of how to get started. But it’s important to customize and flesh them out based on your own research.

When to Discuss Salary

Once you decide how much to quote for your minimum desired salary, you also need to be prepared to discuss it. There is really no wrong time to discuss salary during the job application process. While many candidates wait for the employer to bring it up, it is possible for the candidate to jumpstart the conversation. Some employers will wait until they make an offer to even mention salary.

While it’s generally not advisable to try to negotiate a salary before receiving a job offer, it is perfectly acceptable to ask what salary range they have in mind for the role.

If a candidate has concerns that the company’s budget is not in line with the salary the candidate is aiming for, inquiring early on about the salary range can help them avoid committing to multiple rounds of interviews for a role that isn’t the right fit.

What to Put for Desired Salary: Examples

At some point during a job search, a candidate will encounter a request to share their salary requirements. Once you feel confident you know what to put for a desired salary, you can turn to one of these examples for how to format your request.

•   I need to make a minimum of $XX in order to consider making a move from my current role/company.

•   I am looking for a new role that pays in the $XX to $XX range.

•   I am hoping to make $XX in my next role, but am open to negotiation for the right role.

It’s totally fine to keep salary requirements simple and straightforward to help eliminate any miscommunication.

The Takeaway

To recap, when you’re not sure what to put down for a desired salary, you’ll need to conduct market research into standard ranges for that role, industry, and experience level. You may also want to take local cost of living into account. Once you feel confident you know what to put for your desired salary on a job application, you simply need to communicate that amount clearly and concisely.

If you’re looking to make the most of your current or future salary, you can turn to SoFi for help. With SoFi’s money tracker app, users can monitor all of their money in one place. It’s easy to keep an eye on multiple account balances, set goals, review spending by category, and check on their credit score.

FAQ

What should I put for desired salary per hour?

When deciding what to put for your desired salary for an internship, part-time job, or other hourly role, you’ll need to research what the going rate is in your area. You also need to know what number works for your budget.

What to put for desired salary for part-time job?

Not sure what to put for a desired salary for a part-time job? Do some digging online to see what other roles in the same industry and local area pay to get an idea of a fair number to ask for.

Is desired salary hourly or yearly?

Whether or not someone’s desired salary is hourly or annual typically depends on the type of role they’re applying for or the company’s preference. It can be helpful to have a number in mind for both.

Photo credit: iStock/Prostock-Studio

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*Terms and conditions apply. This offer is only available to new SoFi users without existing SoFi accounts. It is non-transferable. One offer per person. To receive the rewards points offer, you must successfully complete setting up Credit Score Monitoring. Rewards points may only be redeemed towards active SoFi accounts, such as your SoFi Checking or Savings account, subject to program terms that may be found here: SoFi Member Rewards Terms and Conditions. SoFi reserves the right to modify or discontinue this offer at any time without notice.

Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

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Salary negotiation is something that everyone should learn. Increasing your income early in your professional life can help set you up for a more lucrative career, stable finances, and comfortable retirement. And every time you don’t ask for a higher salary or raise, you limit your potential earnings from that moment on.

The fact is, you have little to lose. According to LinkedIn, less than 1% of people reported that a job offer was rescinded after they tried to negotiate their salary. And 80% of those who negotiated saw some increase in their compensation package.

Read on for negotiation tactics and strategies to help you climb higher on the compensation ladder.

Best Salary Negotiation Tactics

To negotiate your salary, you need a well-prepared, data-supported argument as to why you deserve higher pay. The next task is to deliver that argument confidently and convincingly. Here’s how.

Research the National Average Salary

Before you begin the negotiation, check the national and local average salaries for jobs similar to yours. The best sources for this information are Glassdoor, SalaryExpert, Salary.com, Indeed, and the Bureau of Labor Statistics (BLS).

Once you have the data, compare your salary to others’. You may adjust your expectations based on the demand for the type of work you do and the cost of living in your area. The latter is why salaries vary from one region to another.

Pitch to Justify Your Desired Salary

You can use your data on local and national salaries as benchmarks in a pitch for your desired salary. Two major points to cover in your pitch are the cost of living where you work and the demand for your skills.

If you hope to buy a place near your employer, a home affordability calculator can help you assess how much salary you need to live comfortably and own a home.

In New York, for example, your cost of living will be much higher than in North Carolina. Reflecting the economics, an elementary school teacher in North Carolina earns a median annual salary of $50K. In New York, the median annual salary for an elementary school teacher is $88K.

By way of example, nurse practitioners are currently in short supply. According to the BLS, NPs are a fast-growing job, with demand expected to rise by 46% between 2021 and 2031. Compare that to the average growth rate for all occupations of 5%.

If there is high demand for your skills in your area, consider pitching your desired salary at the high end. All other things being equal, you may opt to work for the company that is prepared to pay you the most.

One argument that won’t fly? Stating the salary you need to pay your mortgage and other bills — that’s between you and your spending app.

Decide on Your Salary Range

Before negotiating your salary, decide on the minimum salary you will accept. Let’s say your research showed salaries from $75K to $100K, and you want to earn at least $85K. This advice can apply to recent grads negotiating a good entry level salary or mid-career professionals working toward a promotion.

If you provide a range to an employer or hiring manager, it’s safe to assume that they will negotiate down, so it’s better to state a single number. If your goal is $85K, try asking for $92,250. Being specific implies that you have done careful research and gives you negotiating room. Just be careful not to aim too high or you’ll price yourself out of the market. And if you lowball yourself, chances are you will be unhappy in the position.

Be willing to walk away if the employer does not meet your minimum salary. The company can always come back to you with another offer, and you can always find another employer.

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Consider Other Benefits

After deciding the minimum salary you will accept, consider other incentives that make a job offer more enticing. The employer might offer perks — such as flexible work hours, generous paid leave, educational opportunities, childcare, excellent healthcare benefits, or stock options — that would make a lower base salary worth it. Thanks to stock options, some 10,000 employees who joined Microsoft in its early years were millionaires by 2005.

Understand Who You’re Negotiating With

Understanding the hiring manager’s position and negotiating style will give you the upper hand and help you choose the right strategy.

According to the Black Swan Group, there are three types of negotiators, and each requires a different approach. This is valuable insight whether you’re negotiating your salary or trying to win a real-estate bidding war.

1. The Analyst

The analyst tends to be realistic and not stirred by emotional arguments. They base their decisions on data. With this type of negotiator, have plenty of salary comparisons to back up your desired salary.

2. The Accommodator

If the person you are negotiating with is friendly and talkative, they may be an accommodator. That means a good emotional argument may sway them. Present your data and comparisons, but also emphasize that your desired salary will ensure you are happy, engaged, and better equipped to do your job.

3. The Assertive Negotiator

This type of negotiator is a no-nonsense, get-to-the-point type of person. They view negotiating as a welcome challenge, so you’ll need to be on your toes. Your data, in this case, will be less effective, so the best approach is to state your demands confidently yet politely and be prepared to walk if they aren’t met. Be willing to revisit negotiations later if you do not succeed with the assertive negotiator the first time around.

Recommended: How to Negotiate a House Price

Wait for a Job Offer to Negotiate Salary

It’s a good idea to delay salary negotiations until you have received a formal job offer. At that point, the employer has invested significant time in making sure you are the best candidate, so they are more likely to acquiesce rather than risk losing you. You can put off the conversation by remaining non-committal about salary until the time comes.

Let the Hiring Manager Make an Initial Offer

Often, a company will either tell you their budgeted salary range or ask you for your desired range. In either case, it’s customary to let the hiring manager make the initial offer before you start to negotiate. This will give you some idea of what you are working with.

Make a case for why you deserve a salary on the higher end of their range. Perhaps you have substantial experience or other skills that are unique to you, in demand, and valuable to the company.

Disclose Your Previous Job’s Salary

Some experts recommend not disclosing your previous salary because companies use it to gauge your worth. However, disclosing your salary gives the hiring manager an idea of what salary you might be expecting. When you start negotiating, you can still make a case for a higher salary based on your research into comparable jobs and your expertise.

Include any benefits you received from your past employer, such as bonuses, stock options, and other perks.

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Discuss Current Job Offers from Other Companies

If you are lucky enough to have multiple job offers, you are in a strong negotiating position. It’s wise to tell a hiring manager you have another offer because it will encourage them to offer more sooner. The fact that you are in demand is proof of your value, and the longer they negotiate with you, the greater the chance that you could accept a competitor’s offer.

Choose an Appropriate Time

The best time to negotiate your salary is once you’ve been offered the position and before you sign a contract. If you are negotiating a pay raise with your current employer, your performance review is a good time to broach the subject.

It helps to discuss a potential pay raise months in advance. That way, you and your manager can agree on what you need to do to earn a pay raise and document it in your performance appraisal. Once you feel you have achieved those objectives, bring up the subject of a raise again and explain why you feel you deserve a raise.

Be Confident

The more confident you are when negotiating your salary or a raise, the more convincing you will be. Hold your head high and make your pitch clearly and without hesitation. Start the conversation off positively, and explain why you think you deserve more compensation. Then give the reasons why. Don’t rattle off a bunch of things, but present one or two data-backed arguments. For example:

“I’m really excited to work here, and I know I will bring value. I appreciate the offer at $63,000 but was really expecting to be in the $70,000 range based on the market and my past performance. Can we discuss a salary of $70,000?”

If all this has whetted your appetite for negotiation, don’t miss this advice on how to be a world-class haggler.

The Takeaway

Negotiating a salary does not have to be nerve-racking. If you have done your research and have identified a fair salary based on the market and your skills, be confident and do not accept anything less. The more in demand your skills are, the more you can ask for in terms of salary.

Remember to consider other perks and benefits when negotiating. Extra time off or stock options may be more valuable to you than an additional few thousand. The worst that can happen is that you decline an offer and move on to another employer who will pay you what you are worth.

SoFi’s money tracker app gives you a bird’s eye view of all your financial accounts in one dashboard. SoFi can help you monitor your spending and saving so you reach your financial goals more efficiently.

FAQ

What are the five basic negotiating strategies?

The five negotiation styles are competition, collaboration, compromise, accommodation, and avoidance. Competitive negotiation uses hardball tactics regarding the other party’s needs. A collaborative style uses a win-win approach and aims to meet the needs of both parties. Compromising is one of the more common negotiation tactics, but the result may be that neither party feels fully satisfied by the outcome. Accommodation is a style used when harm has been done to either party because it requires one party to “accommodate” or make repairs. Last, avoidance means avoiding negotiating entirely.

What are the best negotiation strategies and tactics to use when negotiating your salary?

The best negotiation tactics involve developing a convincing argument by researching the market rates for jobs similar to yours and considering the cost of living and the demand for your skills. Know the personality of the person you will negotiate with and choose a negotiation style that works for them. Next, pick the right time to negotiate and do so confident in the knowledge that you are worth the salary you are asking for.

What are the 4 C’s of negotiation?

The four C’s of negotiation are civility, competition, compromise, and compassion. When negotiating, it’s important to remain civil and avoid conflict by accepting that both sides have a legitimate point of view. It is inevitable that there will be some degree of competition during negotiation; each side wants to win. Compromise is often considered a sacrifice, but this ignores the idea that negotiation is a problem-solving strategy. Compassion contrasts with competition and calls for empathy and appreciation of the other side’s perspective. There must be a balance between competition and compassion in the negotiating process.

Photo credit: iStock/Inside Creative House

SoFi Relay offers users the ability to connect both SoFi accounts and external accounts using Plaid, Inc.’s service. When you use the service to connect an account, you authorize SoFi to obtain account information from any external accounts as set forth in SoFi’s Terms of Use. Based on your consent SoFi will also automatically provide some financial data received from the credit bureau for your visibility, without the need of you connecting additional accounts. SoFi assumes no responsibility for the timeliness, accuracy, deletion, non-delivery or failure to store any user data, loss of user data, communications, or personalization settings. You shall confirm the accuracy of Plaid data through sources independent of SoFi. The credit score is a VantageScore® based on TransUnion® (the “Processing Agent”) data.

*Terms and conditions apply. This offer is only available to new SoFi users without existing SoFi accounts. It is non-transferable. One offer per person. To receive the rewards points offer, you must successfully complete setting up Credit Score Monitoring. Rewards points may only be redeemed towards active SoFi accounts, such as your SoFi Checking or Savings account, subject to program terms that may be found here: SoFi Member Rewards Terms and Conditions. SoFi reserves the right to modify or discontinue this offer at any time without notice.

Non affiliation: SoFi isn’t affiliated with any of the companies highlighted in this article.

Third-Party Brand Mentions: No brands, products, or companies mentioned are affiliated with SoFi, nor do they endorse or sponsor this article. Third-party trademarks referenced herein are property of their respective owners.

Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

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