Negotiation: Benefits

Answer 1

Too many prospective employees focus the majority of their negotiation efforts on base salary and fail to consider the overall compensation package that includes benefits. Although a paycheck may be what many applicants are interested in initially, a comprehensive benefits package could greatly increase the job satisfaction as time goes on. The negotiation process can include discussions regarding many different types of perks, but the following benefits should always be mentioned and discussed in depth.

Health & Dental Insurance

Paying out of pocket for individual health or dental coverage can prove to be very costly, and employees often don’t realize how much money they actually save by being covered through a policy at work. Whether an employer pays the premiums or an employee pays their own way, policies available through work are often a fraction of the cost of other coverage. Dental policies and vision plans are also commonly available and should be included in any negotiations.

Group Life Insurance

Some individuals find it very difficult to qualify for affordable life insurance, but group policies available through an employer are often guaranteed issue. The premiums are very reasonable and might even be paid by the employer in some cases. Supplemental coverage and accidental policies are also frequently available and should be inquired about.

Sick Time and Vacation Time

Although a person is supposed to be thinking about their time at their new job when going through the negotiating process, every applicant is obviously also concerned with the amount of time they will have away from work as well. An applicant needs to know how much sick time and vacation time is going to be offered, but they also need to be aware of how it is accrued and how quickly that they will be able to take any time away from work.

Retirement Savings Options

Saving for retirement is hard enough as it is, but the lack of a solid employer program should be enough of an indicator for a prospective employee to look elsewhere. The amount of matching contributions should be discussed as this can greatly increase a worker’s compensation package.