Here we go again… the oft-unspoken topic of salary – which still remains taboo for most senior management jobs, even in today’s world of transparency and sharing information. Research suggests that almost all senior job seekers want to earn more, and yet, everyone seems to shy away when a conversation around money rears its head. In addition, around 40% of all workers in Germany admit they would never speak to a colleague about money.
It doesn’t seem to differ between cultures either. When put under pressure, it is not hard to believe that many senior managers make mistakes when it comes to salary negotiation. However, considering many of these common mistakes, we’ve compiled a list of classic salary negotiation errors, that you should avoid when the topic next comes up.
Failure 1: Lack of preparation
As a senior professional, good preparation is key. And this does not begin a week before the conversation, but many months before. You need to plan enough time to push for and accept additional responsibilities and endeavours to demonstrate your value when the time comes.
You could even consider it a fallback option. If the conversation doesn’t initially go as planned, refer to the extra work as a way of showcasing your growth and development. If your boss hasn’t already noticed, it will prove to be a positive surprise!
Failure 2: Inability to identify the future goal
If you are unaware of your salary goals, you’re going to have a hard time negotiating. It is important to have a minimum and maximum salary benchmark in mind so that you can negotiate for compensation that meets your expectations. Don’t forget: Exaggerated salaries may lead to a loss of trust. Therefore be sure to set realistic salary benchmarks, for example, research what someone in a comparable position or with a similar profile may be earning.
Failure 3: Waiting, and then waiting more
Take your happiness into your own hands. Your thoughts may be fixated on a salary raise, but your superiors may have other priorities or focus. However, there’s no merit in waiting forever for a response – speak up when you feel the time is right. Trust the wait!
Failure 4: The big jump
Ever heard that patience is a virtue? The same applies when negotiating your salary. Asking for a significant jump in pay may prove to be more counterproductive than pushing buttons in small steps. Salary increases of 3-10% may work better in the long term, so stay modest to earn more.
Failure 5: The wrong timing
For successful salary negotiation, the right timing is most critical. It may sound obvious, but asking for a raise during a crisis or when your boss is in a bad mood can prove to be counterproductive. Avoid a hectic Monday morning. Instead, create choose a day with fewer meetings and plan for enough time to make your case. Timing is everything.
Failure 6: Nervousness and the wrong structure
Confidence is a prerequisite for successful negotiation. Yes, it really is this simple! The more positive you come across, the more chance you have of a positive negotiation. To stay strong, build a series of logical reasoning and mental milestones in which your strongest argument comes at the end.
You’re not likely to get a salary hike unless you demonstrate that you’re convinced of it yourself!
Failure 7: Overconfidence
If you’re unable to agree on your position or responsibilities, knowing when to stop is critical. It’s time to take a deep breath. Sure, you may be disappointed, but look for opportunity. Ask your boss directly what is expected of you, what you can improve, and when you can revisit the topic again.
Even if a salary raise is not agreed upon in this meeting, your boss will recognize your ambition and the fact that you are open to feedback. Make sure you leave with a salary negotiation timeline woven into your development plan.
Failure 8: The weak argument
Weak arguments won’t get you very far. Convince your superior with solid evidence. Comparing yourselves to other colleagues and referring to your last pay raise is not advised. Instead, provide numbers, percentages, metrics, or awards to highlight your accomplishments and impact.
Failure 9: Lack of flexibility
Ever thought to yourself “If I don’t get this pay raise, I’m ready to move on”. This is the wrong thinking and one that can easily backfire. Sometimes what you consider to be a compromise, may in fact be a good solution. And just because something does not involve more money, it does not mean there are no other incentives, for example, skill development. Glass half full, or half empty? The choice is yours!
Failure 10: Losing the thread
No matter how prepared you might be, there is always the chance that something goes wrong or another topic gets in the way of your discussion. Anticipating different (unplanned) situations is a part of the deal when it comes to salary negotiation. In these situations, remain calm and carefully try to steer the conversation back on track when the time is right.
So, what are you waiting for? It’s time to get started! Because who doesn’t want more money, right?
