Navigating the Dreaded Salary Discussion

I have a good friend who is in a job search after being laid off five months ago. She is seeing first-hand how tough the job market is right now. She is highly qualified and still struggling to get interviews. It’s rough out there.

We recently talked about her job search, and a big part of the conversation centered on one tricky question:

What salary are you looking for?

This question can feel like a landmine. A wrong answer can blow up your chances. Quote a number that is too high, and you might be rejected for being “too expensive.” Give a number that is too low, and you have left money on the table.

So, what should we say when this question comes up?

First, some things to know.

1)      Asking about salary history is illegal in:

Alabama, California, Colorado, Connecticut, Delaware, D.C., Georgia, Hawaii, Illinois, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Mississippi, Missouri, New Jersey, New York, Nevada, North Carolina, Ohio, Oregon, Pennsylvania, Rhode Island, South Carolina, Utah, Vermont, Virginia, Washington, and the U.S. territory Puerto Rico.

2)      It helps to understand how salaries are usually determined.

• Companies create a compensation strategy. They decide if they plan to pay top dollar, offer strong bonuses, or take another approach. Salaries are built around that strategy.

• They decide if they will use pay bands, which are set ranges for each position, or salary grades that include a minimum, midpoint, and maximum.

• They check internal equity. A company is not likely to hire someone with two years of experience at a salary higher than someone who has been in the same role for three years.

• From there, they create a hiring range for the open position. Some post this range, others do not.

So, what is a job seeker supposed to do?

It is impossible to know what an individual hiring manager thinks the “right” answer is, and many job seekers stress about this question far more than they need to. It is easy to wonder if the company is playing a game or trying to catch you saying the wrong thing. It is also easy to assume they are trying to lowball you.

In most cases, they genuinely want to know if what you think you should be paid lines up with what they can pay. They do not want to waste their time or yours.

(I still believe every employer should post the salary range on the job description, but that is a rant for another day.)

Before you are ever asked your preferred salary, do two things:

Do your homework on salary ranges. Look at your industry and specific position. Pay attention to responsibilities rather than job titles since titles vary widely. Use tools like Indeed, Glassdoor, and salary.com to understand the going rates in your area.

Look at how your skills, knowledge, and experience match the requirements of the position.

Here are some professional ways to answer the question:

Scenario One: The employer has posted the salary range, and you are comfortable with it.

Say:

• “I saw the salary range on the job description. Based on the job and my qualifications, I am comfortable with that range.”

• “I am comfortable with the posted range, but based on my qualifications and experience, I would need to be in the top part of that range.”

Scenario Two: The employer has not posted a range, and you do not yet know what you want because you need more information.

Say:

• “What is your projected salary range for this position?”

If they will not answer, say:

• “I need to learn more about the role and its expectations before I would be comfortable discussing salary.”

Scenario Three: The employer has not posted a range, but your research shows the market rate for someone with your background is between $75K and 85K.

Say:

• “What is your projected salary range for this position?”

If they will not answer, you can either say you are not ready to discuss salary or say:

• “Based on my research and my qualifications for the role as described, I would be comfortable with a salary around 80 thousand dollars unless something changes.”

This is not a script for every single situation. What I want you to understand is that with a little knowledge, preparation, and confidence in yourself, this question does not have to trip you up or keep you awake at night.

At the end of the day, we all work to make money. It is completely OK to say what you need. If a company will not pay you what you are worth, it is not the right company for you.

Happy job hunting!