Salary Negotiation Guide 2025

Why Salary Negotiation Matters

This guide shows you how to negotiate salary in 2025—whether you're responding to a new job offer or asking for a raise in your current role. The strategies here work across industries, experience levels, and job types.

Research consistently shows that people who negotiate their salary earn significantly more than those who simply accept the first offer. A single successful negotiation can add thousands of dollars to your annual pay—money that compounds over your career through raises, bonuses, and retirement contributions calculated on your base salary.

The good news: negotiation is a learnable skill. With preparation, market data, and a calm approach, most professionals can have constructive salary conversations without damaging relationships or losing offers. This guide gives you everything you need: strategies, step-by-step processes, sample scripts, and common mistakes to avoid.

To negotiate effectively, you need to know what you're worth. Start by exploring our job salary guides and understanding the average salary in the US for context.

Prep Work: Know Your Value and the Market

Good salary negotiation starts before any conversation. Preparation is the difference between a vague request and a compelling case. Focus on two areas:

Understanding Your Personal Value

Before asking for more money, clearly articulate what you bring to the table. Document your skills and expertise, specific achievements and measurable results (revenue generated, costs saved, projects completed), unique qualifications or certifications, and years of relevant experience. The more specific and quantifiable your contributions, the stronger your negotiating position.

Researching Market Rates

Your request should be grounded in what the market actually pays for similar roles. Research salary ranges for your job title, location, and industry using our job salary pages (for example, software engineer salary or nurse practitioner salary). Consider company size and type—startups, large corporations, and nonprofits pay differently for similar roles.

Use our salary calculator to convert between hourly and annual figures when comparing offers.

Setting Your Target Range

Armed with research, establish a specific target range. Your target should be ambitious but realistic—anchored in market data, not wishful thinking. A well-researched range gives you credibility and room to negotiate. "I'm looking for something in the $85,000–$95,000 range based on my experience and market rates" is far more persuasive than "I just want more."

When to Negotiate: New Job Offers vs. Raises

Timing matters. The two main negotiation moments have different dynamics and require different approaches.

Negotiating a New Job Offer

The optimal window is after you receive a formal offer but before you accept it. At this point, the employer has decided they want you—you have maximum leverage. Key timing rules: wait until there's a concrete offer (don't negotiate during interviews), respond within their timeline (usually 24–72 hours for initial counter), and never negotiate after accepting—that damages trust and can get offers rescinded.

Negotiating a Raise

For internal raises, timing is more nuanced. Best times to ask include: during annual performance reviews (when compensation is already being discussed), after completing a major project or achievement, when taking on significantly expanded responsibilities, and when you have competing offers (use carefully). Avoid asking during company layoffs, immediately after a bad quarter, or when your manager is dealing with a crisis. Give yourself time to build a track record of documented achievements before making the ask.

Core Negotiation Strategies

Research on negotiation identifies several approaches. The most effective for salary discussions combine elements of competing (advocating firmly for your interests) and collaborating (working together toward mutual benefit).

The Competing-Collaborative Hybrid

Be clear about what you want while remaining open to creative solutions. This means: stating your target confidently and directly, listening to understand the employer's constraints, exploring options that work for both sides, and maintaining a positive, professional tone throughout. You're not adversaries—you're two parties trying to reach an agreement that works.

Anchoring

The first number mentioned in a negotiation creates an "anchor" that influences the final outcome. When possible, open with a well-researched number at the upper end of your acceptable range. This gives you room to move while keeping the negotiation centered around higher figures. If the employer names a number first and it's below your range, counter with your researched target rather than splitting the difference.

Using Ranges Carefully

Ranges can be useful ("I'm looking for $85,000–$95,000") but understand that offers typically land at the bottom of stated ranges. Only give a range where you'd genuinely be satisfied with the low end. If your bottom line is $85,000, don't say "$80,000–$90,000"—the offer will likely come in at $80,000.

Step-by-Step: Negotiating a New Job Offer

Follow this sequence when you receive an offer you want to negotiate:

1. Thank them and express enthusiasm. Before discussing numbers, confirm you're excited about the opportunity. This establishes goodwill and reassures them their top candidate is genuinely interested.

2. Ask to discuss compensation. Don't demand—ask. "I'm very excited about this role. I'd like to discuss the compensation package—is there flexibility there?" This opens the door without being adversarial.

3. Present your researched range. State your target clearly and briefly explain why: "Based on my 7 years of experience, my track record of [specific achievement], and current market rates for this role, I was hoping for something in the $95,000–$105,000 range."

4. Stay quiet and listen. After making your case, stop talking. Resist the urge to fill silence with justifications or backtracking. Let them respond.

5. Handle pushback constructively. If they say "That's higher than we budgeted," don't panic. Ask questions: "I understand. What flexibility do you have?" or "Are there other elements of the package we could discuss?" Explore alternatives: signing bonus, additional PTO, earlier review date, remote work flexibility.

6. Get the final offer in writing. Once you reach agreement, ask for the updated offer in writing before formally accepting. Take time to review if needed—"I'm very excited. Can I have until [reasonable date] to review the final details?"

Step-by-Step: Negotiating a Raise in Your Current Role

Internal negotiations require a different approach. You're asking someone who already knows your work to pay you more for it.

Build Your Case Over Time

Start tracking achievements months before you plan to ask. Keep a running document of: projects completed and their business impact, positive feedback from managers, clients, or colleagues, new responsibilities you've taken on, and problems you've solved or improvements you've made. Quantify wherever possible—"increased sales 15%" is more compelling than "improved sales."

Schedule a Dedicated Meeting

Don't ambush your manager at the end of a 1:1. Request a specific meeting to discuss your compensation: "I'd like to schedule time to discuss my compensation and career growth. When would work for you?" This signals seriousness and gives them time to prepare.

Present Your Case

In the meeting, present 3–5 specific contributions that demonstrate your value. Connect them to a target range based on market data and internal equity: "Over the past year, I've [achievements]. Based on my contributions and current market rates for this role, I believe an adjustment to the $X–$Y range is appropriate."

Be Ready for "Not Now"

If the answer is no or "not right now," don't get emotional. Ask what it would take: "I understand. What specific performance or milestones would justify this increase, and when could we revisit?" Get something concrete to work toward.

What to Negotiate Besides Base Salary

Total compensation includes far more than base salary. When base pay is fixed or limited, these elements are often negotiable:

Sign-on bonus: One-time payment when you start. Easier to approve than ongoing salary increases since it doesn't affect the budget permanently.

Annual bonus: Target bonus percentage or guaranteed minimum for first year.

Equity/stock options: Especially important at startups and tech companies. Understand vesting schedules and strike prices.

Remote work or hybrid flexibility: Increasingly valuable. A remote position can be worth thousands in commuting costs and time.

Extra vacation days: Additional PTO is often easier to approve than cash.

Professional development: Training budgets, conference attendance, certification support, or tuition reimbursement.

Earlier review date: If they can't meet your number now, negotiate a 6-month review instead of waiting a full year.

Before negotiating, decide which non-salary items matter most to you. Don't ask for everything—prioritize 2–3 items to negotiate seriously.

Common Mistakes and How to Avoid Them

Not negotiating at all. The biggest mistake. Most employers expect negotiation and build room into initial offers. By accepting immediately, you're likely leaving money on the table. Fix: Always ask—even a simple "Is there flexibility on compensation?" is better than nothing.

Basing requests on personal expenses. "I need more money because my rent went up" is not compelling. Employers pay for value, not personal circumstances. Fix: Base your request on market rates and the value you provide.

Getting emotional or adversarial. Negotiation is not a fight. Aggression, ultimatums, or emotional arguments damage relationships and reduce your chances. Fix: Keep your tone professional and collaborative throughout.

Accepting immediately. Even if the offer is good, take time to consider. Rushing signals you would have accepted less. Fix: "Thank you—I'm excited. Can I have a day or two to review the details?"

Negotiating after accepting. Once you say "yes," the negotiation is over. Trying to reopen it looks unprofessional and can get offers rescinded. Fix: Do all negotiating before you accept.

Giving an unacceptable low end. If you say "$70,000–$80,000" and they offer $70,000, you can't credibly object. Fix: Only state ranges where you'd genuinely accept the bottom number.

Sample Phrases and Email Templates

Phrases for Negotiating a Job Offer

Opening the negotiation: "I'm very excited about this opportunity. Before I formally accept, I'd like to discuss the compensation package. Is there flexibility there?"

Stating your counter: "Based on my experience with [specific skills] and current market rates for this role, I was hoping for something closer to [target]. Is that something we can discuss?"

Responding to "That's our budget": "I understand there may be constraints on base salary. Are there other elements we could look at—perhaps a signing bonus or additional PTO?"

Phrases for Asking for a Raise

Opening the conversation: "I'd like to discuss my compensation. Over the past year, I've [key achievements], and I believe my current salary doesn't fully reflect my contributions."

Making your case: "Specifically, I [achievement 1], [achievement 2], and [achievement 3]. Based on these contributions and market rates, I'm requesting an adjustment to the [target] range."

Email Template: Requesting a Raise Meeting

Subject: Request to discuss compensation

"Hi [Manager], I'd like to schedule a meeting to discuss my compensation and career growth. Over the past [time period], I've taken on expanded responsibilities and achieved [brief highlight]. I'd appreciate the opportunity to discuss how my compensation can reflect these contributions. Would [date/time] work for you?"

Email Template: Counter-Offering After Job Offer

Subject: Re: [Position] Offer

"Thank you for the offer for the [Position] role—I'm very excited about the opportunity to join [Company]. Before I formally accept, I'd like to discuss the base salary. Given my [X years] of experience in [relevant area] and the market rate for similar roles, I was hoping for something closer to [$X]. Is there flexibility to adjust the base compensation? I'm confident I'll bring significant value to the team and am eager to move forward."

Special Cases: Remote Work, Startups, and Multiple Offers

Remote Roles and Location-Based Pay

Many companies now adjust pay based on where employees live. If you're negotiating a remote position, research both national rates for the role and local rates for your geographic area. Be prepared for companies to cite cost-of-living differences. Your counter: focus on the value you provide regardless of where you sit, and use national benchmarks when they favor you.

Startups and Equity

Startup offers often include lower base salary offset by equity (stock options or shares). When evaluating these offers, understand: vesting schedule (typically 4 years with 1-year cliff), strike price versus current valuation, dilution risk in future funding rounds, and the realistic probability of a liquidity event (IPO or acquisition). Equity in a successful startup can be worth far more than salary—but most startups fail, making that equity worthless. Negotiate for what you need to live on in base salary, treating equity as upside potential.

Multiple Competing Offers

Having multiple offers gives you significant leverage—but use it professionally. Don't threaten or play companies against each other aggressively. Instead: "I want to be transparent—I have another offer I'm considering. [Company] is my first choice, but the other offer is at [$X]. Is there room to close that gap?" Be honest about where you stand and give them the opportunity to compete.

Frequently Asked Questions

How much more should I ask for when negotiating salary?

For job offers, 10–20% above the initial offer is typically reasonable if supported by market data. For raises, 5–15% is common depending on your contributions and how long since your last increase. The key is anchoring your request in research, not arbitrary percentages.

Can I lose a job offer by negotiating?

Very rarely. Employers expect negotiation and almost never rescind offers simply because you asked for more—as long as you're professional and reasonable. The risk of losing an offer from polite negotiation is far lower than the cost of leaving money on the table.

Should I say my current salary when asked?

If possible, deflect: "I'd prefer to focus on the value I'd bring to this role and what the market pays for it." In some locations, employers are legally prohibited from asking. If pressed, be honest but redirect to your target: "I'm currently at $X, but based on my research and expanded responsibilities, I'm targeting the $Y range."

Is it different negotiating remote vs. on-site roles?

Yes. Remote roles may involve location-based pay adjustments. Research both national and local rates, and be prepared to discuss how your location affects the offer. Focus negotiations on the value you provide rather than where you're located.

How often is it reasonable to ask for a raise?

Annually is standard if you have strong performance to support it. More frequently (6–9 months) is appropriate when you've taken on significantly expanded responsibilities, delivered exceptional results, or if your salary is notably below market rate.