How to negotiate a job offer

6 min readPublished

You can negotiate a job offer by researching market rates, identifying your priorities across the full package, and making a specific counter-offer in writing or by phone.

Most employers expect negotiation. A 2024 Salary.com survey found that roughly 70 percent of hiring managers say an offer is rarely their best number. The steps below walk you through the process from the moment you receive an offer to the moment you sign.

Prioritise the whole package before you respond

Base salary gets the most attention, but it is rarely the only lever. Before you reply to any offer, list every component and rank them by how much each one affects your life. This stops you from winning on salary while losing on something that matters more to you.

  • Base salary
  • Signing bonus
  • Annual or performance bonus (target percentage and how it is measured)
  • Equity: stock options, RSUs, vesting schedule, cliff
  • Paid time off and public holidays
  • Remote or hybrid flexibility
  • Health, dental and vision cover (and who pays the premium)
  • Retirement contributions: 401(k) match in the US, RRSP match in Canada, pension in the UK, super in Australia
  • Professional development budget
  • Start date

Research market rates with real numbers

You need a defensible number before you counter. Use at least two sources and filter by role, level, location and company size. Levels.fyi is reliable for tech roles in the US and Canada. Glassdoor, LinkedIn Salary and the UK's Office for National Statistics salary explorer cover a wider range of industries. In Australia, Seek Salary Insights and the ABS wage data are useful starting points.

Aim to find a range, not a single figure. Your counter should sit in the upper third of that range, not at the ceiling, so there is room for the employer to meet you without feeling they lost.

  • Filter by metro area, not just country. A software engineer in San Francisco earns significantly more than one in Austin for the same role.
  • Check total compensation, not just base. A $120,000 base with a 20 percent bonus target and strong equity can be worth more than a $135,000 base with no bonus.
  • Note the date of the data. Salary surveys older than 18 months may not reflect current conditions.

Ask for time and get the offer in writing

Never negotiate on the spot. When a recruiter calls with a verbal offer, thank them and ask for 24 to 48 hours to review. This is standard and expected. Use that time to do your research and prepare your counter.

Request the full offer in writing before you respond. In the US and Canada this is usually an offer letter. In the UK it may be a contract of employment. In Australia it is typically a letter of engagement followed by a formal contract. Read every line. Pay attention to non-compete clauses, IP assignment terms and any clawback provisions on a signing bonus.

How to make your counter-offer

A counter-offer works best when it is specific, brief and backed by a reason. You do not need to justify every number, but one clear anchor helps. Deliver it by phone or video if you can, then follow up in writing so there is a record.

  1. Thank them for the offer and confirm your enthusiasm for the role.
  2. State your counter clearly: 'Based on my research and experience, I was expecting a base closer to X.'
  3. Give one supporting reason: market data, a competing offer, or a specific skill you bring.
  4. Stay quiet after you speak. Let them respond.
  5. If they cannot move on base, ask about other components: 'Is there flexibility on the signing bonus or the equity grant?'

Negotiate components beyond salary

If the employer is firm on base, other parts of the package are often easier to move. Signing bonuses come from a different budget than salary and do not affect ongoing payroll costs, so companies are frequently more flexible there. The same applies to a one-time remote-work equipment allowance or an extra week of PTO.

For equity, ask for the vesting schedule, the cliff period and, at a private company, the most recent 409A valuation and the strike price. In the UK, ask whether options are under an EMI scheme, which has tax advantages. In Australia, check whether shares are offered under an employee share scheme with a tax concession.

  • Signing bonus: 'Could you add a signing bonus to bridge the gap between my current salary and this offer?'
  • PTO: 'I currently have four weeks of leave. Could we match that here?'
  • Remote flexibility: 'Could we agree to three remote days per week in writing?'
  • Start date: a later start date can give you time to vest in a current employer's equity or collect a bonus.

Handle competing offers and deadlines

If you have a competing offer, you can use it as leverage, but be honest. Do not invent an offer or inflate the number. Say: 'I have another offer at X. This role is my preference, but I need to make a decision by Friday. Is there anything you can do to close the gap?'

If an employer gives you a short deadline, it is reasonable to ask for more time. Most will extend by a few days if you ask politely. If they refuse and the deadline is genuinely unreasonable, that tells you something about how they operate.

Once you reach an agreement, confirm every change in writing before you resign from your current role or decline other offers. Verbal agreements are not binding in most jurisdictions.

Track your applications so you negotiate from strength

Negotiating is easier when you have multiple offers in play at the same time. Break-In Bad brings all your employer replies into one inbox with interview alerts and day-before reminders, so you always know where each application stands. When you can see your pipeline clearly, you are less likely to accept the first offer out of anxiety.

Get more offers to negotiate

Break-In Bad finds roles you are eligible for, applies on your behalf and brings every employer reply into one inbox. More applications mean more offers and more leverage at the table.

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Questions people also ask

Is it rude to negotiate a job offer?

No. Negotiation is a normal part of the hiring process and most recruiters expect it. Declining to negotiate is more likely to leave money on the table than to impress an employer.

What if the employer rescinds the offer after I negotiate?

This is rare and is generally a sign the employer was not acting in good faith. As long as your counter is reasonable and professional, the vast majority of employers will either accept, make a revised offer or hold firm without withdrawing.

How much should I counter above the initial offer?

A counter of 10 to 20 percent above the base salary offered is common and rarely seen as aggressive. Anchor to market data rather than a round number, and be prepared to meet somewhere in the middle.