When accepting a new job, salary negotiation is very important. You may have to consider many additional costs that may not be apparent to you, that the new job may demand, and that are not in your current job. The costs may or may not be quantifiable, but it is important to take them into account when thinking about salary negotiation. This article explains these issues in more detail.
The salary you want to earn in the new job should not be a fixed number, but within a range. This is because during the salary negotiation of the new job, the total cost involved may not be clear at first. The expected figure should be fully disclosed to the prospective employer after understanding all the implications of the new job and may need to be calculated. One of the undisclosed expenses may be health insurance. The new employer’s insurance policy may require you to pay a larger amount out of pocket for each pay period, be it weekly, biweekly or monthly. Even if it is a small amount per pay period, an annual calculation can make it substantial.
If, for example, your new job dress code requires you to wear a formal dress, while you may be allowed to wear a casual dress at your current job, updating your wardrobe can cost you a considerable sum. Traveling to the workplace is another expense to consider when negotiating a new job. If the workplace is a considerable distance from your home, it may involve additional expense for fuel and car maintenance or public transportation.
Paid overtime is an important issue to consider. If your current job pays for your overtime and the new job requires you to be on call 24 hours a day, you may actually get less if you divide the extra hours from your annual salary. Even if it is a few hours a week, it will turn out to be a considerable amount when calculated for a full year.
There are many other issues, sometimes referred to as benefits to consider, such as tuition reimbursement, flexible work hours, 401 (k) contribution, daycare and on-site health clubs, training paid by the company, the mobile phone and / or the laptop provided by the company, paid professional affiliation to associations and institutes, vacations and personal holidays, vehicle parking expenses, tax deductible expenses, and the possibility of working from home. Many of these factors are intangible benefits; You may not be able to calculate them in dollar terms, but depending on your situation, they can be very important to you, such as the option of working from home for a mother who has young children to care for. home.
When you make a comparison of the above items with your current job, this would give you an idea of the additional expenses you have to bear in the new job, giving you a more accurate real figure to take home and put you in a position better and more informed as she negotiates the salary for her new job.