Guide

How to Negotiate Salary

Who names the first number, how to counter, and the four costly mistakes.

12 min readUpdated July 2026

A job offer is the only moment in your relationship with a company where you have more leverage than you will ever have again. They have spent weeks and real money choosing you, they have told other candidates no, and the hiring manager now has a problem that only you can solve. That leverage decays to almost nothing the day you accept. Nearly everything that follows is about using it well in the two or three days it exists.

01

Know what leverage you actually have

Be honest about this before you decide how hard to push. Overplaying a weak hand is expensive.

Leverage is not confidence. It is the answer to one question: how bad is their alternative to hiring you? Work through it honestly, because the strength of your position determines the shape of everything else.

SignalReads as strongReads as weak
Their processLong search, role reposted, urgent start dateFast pipeline, several finalists mentioned
Your alternativesA real competing offer, or a job you can stay inUnemployed, runway short, no other process live
ScarcityRare skill combination, specific domain they lackWell-supplied skill set, generalist role
Their behaviourRecruiter chasing you, flexible on processTake-it-or-leave-it framing, rigid bands
02

Who names the first number

The popular advice is "never go first." The popular advice is often wrong.

The classic argument for letting them go first is that they might name something higher than you would have. That happens. But it rests on an assumption that is frequently false: that they know more than you do about what the role pays.

The honest rule is about who has better information.

Deflecting the early "what are you looking for?"

This often arrives from a recruiter in the first call, before you know enough about the role to answer well. You can deflect once without friction. Deflecting twice starts to read as evasive.

Deflect once
I'd rather understand the scope properly before putting
a number on it — I don't want to guess high or low.

What range has been approved for this role?
If they press again, anchor
Based on what I'm seeing for this scope in this market,
I'm targeting [single number].

If the level or the scope is different from what I'm
picturing, tell me and I'll recalibrate.
03

How to counter

One counter, one number, one reason. Then be quiet.

When the offer arrives, the first thing to do is nothing. Thank them warmly, express real enthusiasm, and ask for time. Enthusiasm is not a concession — it is what makes them want to solve your problem.

Receiving the offer
Thank you — I'm genuinely pleased. This is the team I
want to join.

Can I take until [day] to go through the whole package
properly? I want to come back to you with anything I
have in one go rather than in pieces.

Then counter once, in a single message covering everything. Serial asks are the fastest way to exhaust goodwill — each one feels like moving the goalposts, even when it is not.

The counter
Thanks again — I've been through everything and I want
to accept.

There's one thing I'd like to close before I do. Based
on [the market reference / the scope we discussed /
the competing offer], I was targeting [number] on base.

If you can get to [number], I'm ready to sign today.

If base is genuinely capped, I'm open — a signing bonus
or an earlier review at six months would get us to the
same place.

Why this works

  1. It commits. "I'm ready to sign today" tells them the negotiation ends here. Hiring managers pay for certainty.
  2. It gives a reason. A number with a rationale is a position. A number without one is a wish.
  3. It offers a path out. If base is capped by a band they cannot break, you have already told them how to say yes another way.
04

The four costly mistakes

Each of these has a predictable price. Most candidates make at least two.

One — negotiating only base salary

Base is the most constrained number in the package, because it is the one bound to a published band and to internal equity with people already in the role. It is often the hardest thing to move and the first thing everyone fixates on.

Signing bonuses come from a different pot. So, frequently, do equity refreshers, start dates, remote arrangements, title, and a written six-month review. When base will not move, these will.

LeverTypical flexibilityWorth asking when
Base salaryLow to moderate — band-boundYou have market data or a competing offer
Signing bonusHigh — one-time, off-bandBase is capped but they want you
Equity / grant sizeModerateEarly-stage company, or a senior role
Title / levelModerate — but compounds foreverThe scope is above the title offered
Six-month reviewHighThey cite budget timing rather than value
Start dateHighYou want rest, or need to finish a bonus cycle
Remote / flexibilityVaries wildlyIt genuinely matters to you — get it in writing

Two — accepting on the phone

Verbal offers are made to be accepted in the moment, while enthusiasm is high and scrutiny is low. Nothing good happens to you by saying yes before you have read the written terms. Ask for the document, always.

Three — bluffing a competing offer

It can work, right up until they ask a follow-up question or call it. Some companies simply wish you well. Worse, if you join anyway, you start the job having been caught in something. A real alternative is powerful; a fictional one is a liability.

Four — apologising your way through it

Hedging language — "I hate to ask," "I know this is awkward," "if it's at all possible" — invites the other side to treat the request as optional, because you have told them it is. Ask plainly and warmly. Negotiating is an expected part of the process, not an imposition on it.

05

Using a competing offer without burning anything

The strongest card in the deck, and the easiest one to play badly.

A real competing offer changes the conversation because it converts an opinion about your worth into a fact. Play it as information you are sharing, not as a threat you are making. The difference is entirely in the framing.

Sharing a competing offer
I want to be straightforward with you, because you've
been straightforward with me.

I have another offer at [number]. Your role is the one
I want — the work is closer to what I'm trying to do
and I'd rather be on your team.

If you can get closer to that number, I'll close this
out today and stop the other process.

Counter-offers from your current employer

If you resign and your employer counters, be careful. It may be genuine — but it also means the money existed before you threatened to leave, which is worth sitting with. Ask yourself whether the reason you started looking was the money. If it was not, more money does not fix it.

06

Closing it cleanly

Get it in writing, then be gracious. You are about to work with these people.

Anything agreed verbally that is not in the written offer does not exist. Not because people lie, but because recruiters leave, hiring managers move, and nobody remembers a Tuesday phone call eleven months later.

Accepting
That works — I'm in, and I'm glad we got there.

Send the updated letter through and I'll sign today.

Thanks for working it through with me. Looking forward
to starting on [date].
Salary Negotiation Script
Answer six questions about your offer and get a word-for-word script, plus prepared answers to the four things they always push back with.
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Salary Negotiation Script
A word-for-word script for your offer, plus answers to the four things they always push back with.
Open the tool →

Frequently asked

Can an offer be pulled because I negotiated?
It is rare, and a single reasonable counter essentially never causes it. What does cause it is renegotiating after agreeing, reopening a signed offer, or a number so far outside the band that it suggests a misunderstanding of the role.
How much above the offer should I counter?
Roughly 10–20% when you have evidence behind the number, expecting to settle in the middle. Below 5% is not worth the exchange. Above 25% without a competing offer usually reads as uncalibrated.
What if they ask what I currently earn?
Redirect to what you are targeting for this role. In Ontario and a number of other jurisdictions the question is restricted or banned outright, so you are on firm ground declining it politely.
Should I negotiate at a startup with tight cash?
Yes, but on the right axis. Cash-constrained companies are often flexible on equity, title, start date, and review timing. Ask about the equity details — strike price, total outstanding shares, preference stack — rather than just the number of options.
They said the offer is final. Is it?
Sometimes. Test it once, gently, on a non-base lever: a signing bonus or a six-month review. If the answer is still no, accept graciously — you have lost nothing and you have learned how the company handles these conversations.
Is it different for internal moves?
Yes. Internal transfers are constrained by equity with your current pay and by the band of the receiving team, so the range of movement is narrower. The negotiation is usually about the level you land at rather than the number, and level is worth more over time anyway.