Salary negotiation

Salary negotiation is the conversation between candidate and employer about compensation before signing. Usually narrow in range; the value at stake over a candidate's tenure is large; the conversation often goes badly because both sides are underprepared.

Also called: compensation negotiation, offer negotiation

What’s actually negotiable

Three layers that vary in flexibility:

  • Base salary: usually the focus. SMBs typically have 5-15% room above the offered base if the band allows it.
  • Variable / bonus structure: occasionally negotiable for senior roles. Less flexible at SMB scale because the structure is usually team-wide.
  • Equity, signing bonus, start date, vacation: often more negotiable than base. The total-comp framing matters here.

Strong negotiators play across all three layers. Negotiating only on base leaves money on the table.

What candidates often get wrong

  • Negotiating without a number: “what’s the most you can offer?” gives the employer all the leverage. Stating a target (“I’d be very comfortable at €95k”) frames the conversation.
  • Threatening to walk away when they wouldn’t: ultimatums that are obvious bluffs damage trust without producing offers.
  • Negotiating after accepting: once “yes” has been said, the leverage is gone. Negotiate before accepting, not after.

What employers often get wrong

  • Reflexive flat “no”: refusing to negotiate at all on a strong candidate is the easiest way to lose them. Even small movement signals respect.
  • Anchoring on the candidate’s prior salary: now illegal to ask in much of the EU and operationally bad practice anyway.
  • Counter-offer panic: when a candidate negotiates, the employer assumes another offer exists. Sometimes it does, sometimes it doesn’t; assuming inflates the spend.

The honest middle

A reasonable negotiation has both sides showing some flexibility and arriving within the band. A candidate who pushes from €80k to €85k on a band that tops at €92k is being reasonable; one who pushes to €110k is signalling they’re not the right fit.

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