Salary Negotiation Key Terms

Optimize your salary negotiations when you learn helpful key terms

By Michele Vrouvas

Not too many employees would turn down salary negotiation tips that proved successful. In fact, most of us cringe at the idea of bargaining for a higher salary at the job interview or even at the annual performance review when salary increases are being considered. Testimonials abound over the benefits of seeking professional assistance during salary negotiations. Employees learn how to assess the monetary worth of their job and perform cost of living comparisons to ensure themselves they are receiving sufficient compensation. Learn the following salary negotiation key terms so you can cash in:

Cost of living comparison

A cost of living comparison is used during salary negotiations so that applicants can be assured the compensation they want is sufficient to support their lifestyle.
Try: Find out more about the cost of living comparison at the Economic Research Institute. You'll learn how to use the cost of living calculator and some of the factors that account for discrepancies in the data for individuals living in different geographic areas.

Counter proposal letter

Write a counter proposal letter when you are interested in a specific position but find the salary offered does not suit your needs.
Try: Go to Quint Careers to learn what a standard counter proposal letter should say. Find out why it's important to show interest in the position and the company while at the same time explaining the reasons behind your original salary request.

Noel Smith-Wenkle Salary Negotiation Method

The Noel Smith-Wenkle Salary Negotiation Method was developed by a successful headhunter so that his clients could learn how to estimate their worth in the marketplace.
Try: Infohost details the techniques the Noel Smith-Wenkle Salary Negotiation Method focuses on. Find out why it's important to show interest in the position and the company while at the same time explaining the reasons behind your original salary request.

Raises

Some employees never consider that they can use salary negotiation techniques to bargain for higher raises.
Try: At Employment Spot, you'll learn why it's acceptable to bargain for salary raises. Find out how to understand your company's salary policies, assess how much your job is really worth and maintain records that will give you the raw data to fall back on when negotiations take place.

Style

Sometimes it's not so much what you say as how you say it. This rule applies when you consider the style of your negotiation technique.
Try: Mind Tools explains how emotion plays a part of any salary negotiation. Find out what kind of attitude you should approach the negotiation with and whether you should tap into your emotions.

BATNA

BATNA stands for best alternative to a negotiated agreement.
Try: At Negotiations, you'll learn why it's important to consider the fallout should the agreement you're focusing on not materialize. Find out how taking the BATNA approach prepares you for such a situation and whether you should pursue the original agreement or move on to something else.