Most software engineers leave money on the table when they get an offer. Not because the company is stingy — because the engineer accepted the first number without countering.
Salary negotiation is uncomfortable. It's also one of the highest-ROI actions in your career: a $15,000 raise at the offer stage compounds over every raise, bonus, and equity refresh for the next decade. Here's exactly how to do it.
Before tactics: your mindset matters.
You will not lose the offer by negotiating. Companies extend offers after a significant investment of time and money. Withdrawing an offer because a candidate asked for more (politely) is almost unheard of. The actual risk is near zero.
Negotiation is expected. Recruiters build in wiggle room precisely because candidates negotiate. The first number is rarely the best number.
Everything is negotiable. Base, signing bonus, equity, start date, title, level — most of these have flexibility. If one lever is stuck, another usually isn't.
When a recruiter calls with an offer, your first move is to buy time. Do not accept, do not counter, do not reveal your reaction.
What to say on the call:
"Thank you so much — I'm genuinely excited about this role and the team. I want to make sure I review everything carefully before responding. Can I get back to you by [specific date 48–72 hours out]?"
This is professional. Every recruiter expects it. Asking for 48–72 hours gives you time to:
Software engineer compensation is multi-dimensional. You need to understand all of it before you counter:
| Component | What to Know | |-----------|-------------| | Base salary | Annual, taxed as income | | Equity (RSUs/options) | Vesting schedule (typically 4 years, 1-year cliff), current valuation for private companies | | Signing bonus | One-time, often taxed at a higher rate, may have a clawback period | | Annual bonus | Target %, discretionary vs. guaranteed | | Benefits | Health insurance quality, 401k match, PTO, remote policy | | Level | Your level affects every future raise, promotion, and equity refresh |
Total comp formula (rough):
Total Annual Comp = Base + (Equity / 4) + (Annual Bonus Target × Base) + (Signing / 2)
Always compare offers on total comp, not base.
Don't negotiate blind. Know the market range for your:
Best sources for 2026:
The most powerful negotiating lever is a competing offer. If you have one:
How to use it:
"I do have another offer I'm considering at [X] total comp. [Company] is my first choice, but I want to see if we can close the gap before I make a final decision."
You don't have to name the other company. Providing the number is usually enough.
If you don't have a competing offer, the research you did in Step 3 is your anchor.
Give a specific number, not a range. Ranges anchor to the low end.
Wrong:
"I was hoping for something in the $160,000–$175,000 range."
They hear: $160,000.
Right:
"Based on my research and experience, I was targeting $175,000 in base."
Set your target at or slightly above what you actually want. Expect the company to come back with something between your number and their original offer.
Counter email template:
Hi [Recruiter Name],
Thank you for the offer — I've reviewed everything carefully and I'm genuinely excited about the opportunity. [Company] is my top choice.
Before I sign, I wanted to discuss compensation. Based on my research and the market for [role/level] in [location], I was targeting a base of $[X]. Is there flexibility to get closer to that number?
Happy to discuss. Looking forward to making this work.
[Your name]
If base is capped (common at FAANG where bands are rigid), negotiate other levers:
Equity (RSUs):
"If the base is firm, would there be flexibility on the equity grant? An additional $[X] in RSUs would get me to where I need to be on total comp."
Signing bonus:
"Given that I'd be forfeiting unvested equity at my current company, would it be possible to address that through a signing bonus? I'm looking at approximately $[X] in unvested equity through [date]."
Level:
"I want to make sure I'm leveled correctly. Based on my [X years of experience / scope of work at previous role], I believe I'm closer to [L5/Senior/Staff]. Is there a conversation to be had about the level?"
Getting leveled up by even one band has a larger long-term value than a one-time signing bonus.
This is almost always negotiable. The right response:
"I understand — I appreciate you checking. Can you help me understand if there's flexibility on any other component? I'm flexible on where we land, but I want to make sure we're as close to market as possible."
Evaluate carefully. Signing bonuses are one-time. A higher base compounds into every future raise.
"I appreciate that. For a signing bonus to fully address the gap, I'd need approximately $[Y] to make the total comp comparable. Does that work?"
In the US, many states prohibit this question. You're never required to answer. Options:
"I'd prefer to focus on what the role is worth in the market rather than my current comp."
Or, if you're comfortable sharing because your current comp is high:
"I'm currently at [X] total comp, which is part of why I'm being thoughtful about what I'm looking for."
Artificial urgency is a tactic. Treat it seriously, but don't panic.
"I want to make sure I give this the decision it deserves. I'll have an answer for you by Friday, but I'd like to finish discussing compensation so I can make a fully informed decision."
Startup equity is different from public company RSUs. Key questions to ask before signing:
Negotiate equity in dollar value (at current valuation) or as a percentage of the company, not raw share count. Raw share count is meaningless without context.
Most of this guide applies to offers, but the same principles apply to internal raises:
Build your case in advance:
Template for asking for a raise:
"I wanted to discuss my compensation. Based on [specific achievement] and my research on market rates for my level and scope of work, I was hoping to get to [X]. Is this a conversation we can have in the next review cycle?"
Give your manager runway. Don't demand immediately; plant the seed with specific justification and follow up.
Once you've accepted:
No. It's expected. Recruiters explicitly leave room for negotiation in their initial offers. The companies that rescind offers for politely asking for more are not companies you want to work at.
No. Don't lie. If you don't have another offer, use market data instead: "Based on my research, comparable roles at similar companies are paying X." This is honest and works.
Once or twice is normal. Going back and forth three or four times starts to feel difficult. Pick your most important levers, push once, then decide.
For new offers: whenever you receive them. For raises: Q4 before the new budget cycle, or right after a significant win.
It's uncomfortable but not unprecedented. You can say: "I spoke too quickly — I've thought about it more and wanted to ask one more question about [compensation component] before we proceed." Most recruiters will engage. The offer is not locked until you sign.
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