Figuring the Bottom Line

The best approach to putting the deal together is to decide whether you want the job before an offer is extended. This allows you to clarify whether the job suits your needs. Unless you’re motivated solely by money, it’s doubtful a few extra dollars will turn a bad job into a good one.

If the job interests you, then determine the conditions under which you’ll accept. These fall into two categories: Bottom Lines and Porcupines.

The term bottom line refers to the amount of compensation you feel is absolutely necessary to accept the job offer. If, for example, you really want $46,000 but would think about $45,000 or settle for $44,000, then you haven’t established your bottom line. The bottom line is one dollar more than the figure you would positively walk away from. Setting a bottom line clarifies your sense of worth, and helps avoid an unpredictable bargaining session.

I recommend against “negotiating” an offer in the classic sense, where the company makes a proposal, you counter it, they counter your counter, and so on. While this type of tit for tat format may be customary for negotiating a residential real estate deal, job offers should be handled in a more straightforward manner.

Here’s how: Determine your bottom line in advance, and wait for the offer. If the company offers you more than your bottom line, great. If they offer you less, then you have the option of turning the offer down or revealing to them your bottom line as a condition of acceptance. At that point, they can raise the ante or walk away.