The Negotiation Framework
Negotiate like a pro
This framework provides tips and strategies for effective negotiation, including practicing with a friend, not revealing your current salary, and not making the first offer. It also includes a case study of someone who got a 28 percent raise by doing their homework.
- Practice negotiation with a friend or family member to improve your skills.
- Do not reveal your current salary during a negotiation.
- Do not make the first offer in a negotiation.
- Be prepared to walk away if the negotiation does not go in your favor.
- Get any agreements or promises in writing.
- Prepare for the negotiationResearch the company and the position, and practice your negotiation skills with a friend or family member.Pro tipUse the internet to research the company and the position, and to find out what other people in similar positions are being paid.WarningDo not go into the negotiation unprepared, as this can lead to a poor outcome.
- Do not reveal your current salaryIf asked about your current salary, say that you are not comfortable revealing that information and instead focus on the value you can bring to the company.Pro tipIf the interviewer presses you for a salary range, give a range that is based on your research of the market rate for the position.WarningRevealing your current salary can give the interviewer leverage to offer you a lower salary than you might otherwise receive.
- Do not make the first offerLet the interviewer make the first offer, as this gives you more leverage in the negotiation.Pro tipIf the interviewer asks you to make an offer, say that you would like to discuss the details of the position and the company's expectations before making an offer.WarningMaking the first offer can lead to a lower salary than you might otherwise receive.
- Be prepared to walk awayIf the negotiation does not go in your favor, be prepared to walk away from the offer.Pro tipHave a clear idea of your minimum acceptable salary and benefits, and be willing to walk away if the offer does not meet those requirements.WarningAccepting a poor offer can lead to long-term financial consequences.
Elizabeth Sullivan-Burton's negotiation
Elizabeth used the negotiation framework to negotiate a raise and received a $7,000 increase in salary.
OutcomeElizabeth was able to increase her salary by $7,000 through effective negotiation.
Rachel's negotiation
Rachel used the negotiation framework to negotiate a job offer and received a 28 percent raise.
OutcomeRachel was able to increase her salary by 28 percent through effective negotiation.
Not practicing negotiation
Not practicing negotiation can lead to poor negotiation skills and a lower salary than you might otherwise receive.
Revealing your current salary
Revealing your current salary can give the interviewer leverage to offer you a lower salary than you might otherwise receive.
Making the first offer
Making the first offer can lead to a lower salary than you might otherwise receive.
The author learned the importance of negotiation through his own experiences and those of his friends. He realized that negotiation is a key skill for achieving financial success.
Source · BOOK
I Will Teach You to Be Rich, Second Edition: No Guilt. No Excuses. No B.S. Just a 6-Week Program That Works.