Answering the "What is your current Comp.." question
Hey guys, I've been researching this exact question because at this moment I'm employed by a firm paying less than the street (for my position) and I'm interviewing at great, well know buy-side firm.
From my research, I've assumed that you should respond by deflecting the question and essentially saying something along the lines of "To be honest NAME, I'm not comfortable disclosing those figures. However, if and when we determine that this position is the right fit, I would be happy to discuss compensation."
Has anyone had experience using a similar type of strategy and if not, what strategies have you guys/gals used?
When I've been asked that question, I typically say something to the effect of, "the companies that I've been interviewing with have been alluding to offers in the $XX to $XX range." Makes them think 1) you're interviewing elsewhere (which hopefully you are -- I was in my case) and, 2) you may be getting close to offers with other companies. This helps to create a bit of a sense of urgency from their standpoint.
If they press you, just tell them. It's easier to push back if you're talking to HR or a recruiter, but if it's your potential new boss, just tell him/her after you try the above tactic. Or, you can just be honest right off the bat and say, "I make $XX but have been interviewing with other companies that are alluding to offers in the $XX to $XX range." Either way should work fine.
Personally, I would never say, "I'm uncomfortable disclosing those figures." If anyone said that to me, it would just annoy me.
This thread is one week too late....
Poff this is great advice
@Poff - So if your potential new boss asked you "what you current comp structure was" you'd respond by saying what your other offers are telling you? How would you elude to this coming off of the question as they're specifically asking what you're currently making. Just trying to wrap my head around it, sounds like a great tactic though. Thanks for the response.
Just answer the question... this isn't rocket science.
I've always found it to be generally poor form on the part of the interviewer to ask this and I've never gotten asked this question. It's usually only something you'd bring up once an initial offer is in and you're negotiating comp.
That being said, I would probably go with something along the lines of the second suggestion Poff mentioned in which you actually answer the question. The "other firms are alluding to offers..." part is quite great if you don't have a concrete offer from another place. It's a well chosen set of words because it gives off the impression that you expect an offer soon from them (even if you're nowhere close to getting one).
I agree, but I like to be prepared for everything. I also believe that this position has the potential to give me a pretty significant increase so I don't want to ruin the chance of that happening.
Respond by asking them what their current comp is, then say "I show you mine, you show me yours." :)
All good advice above. In your situation you want them to make the first bid.
A more aggressive move might be to say comp is one of the reasons you're looking to move, bc you don't think you're getting paid market - say you trust the new firm to make an offer commensurate with mkt and your experience.
just answer what your current comp is. If they lowball you, you can negotiate by bringing up the street number.
If it is a good buyside firm with good rep, they wouldnt care if it's 100k or 200k if they really want you.
Tough question for sure. Maybe something along the lines of I'm sure its pretty industry standard.
I would say. The offers I already got give me $X and that's the range I am considering...
"What I'm really focused on is a long term career with this company rather than a short term pay increase relative to my current comp. As a sustainable base for the career I'm looking to have here, I would expect any offer to include fair, market-level compensation.
Having said that, as a gesture of the trust I hope we can establish, my comp is currently $X. Based on consultations with my network, I would consider compensation in the range of $Y to be fair for the position we are currently discussing."
You aren't someone who shops around for comp, you are a candidate who wants to work for this firm. And you don't care about pay, you care about your career. Make it about trust and sustainability rather than the comp itself.
Then it's on the employer to decide if they want to openly give you an "unfair" offer below $Y, or if they also want you for the long term. If they still lowball you at this point I'd question if it's really a place you want to work.
Just make sure you figure out what $Y should be.
Thanks for the replies all. @Kote: For the $Y portion of your response...don't you think giving a range would be somewhat limiting? Obviously this wouldn't be the case for a position who's avg salary is publicized everywhere, however, for this specific position I'm interviewing for I haven't been able to find any concrete figures. With that said, would it be acceptable to say something along the lines of "As per my own research and consultations with my network, I would consider compensation in the range of $85,000 - $150,000 to be fair for the position we are currently discussing.
Is that too crazy of a range to give?
You limit yourself even more by saying 85-150. Why would they ever pay you more than 85 if you admit it's a fair number? Especially if you've just said it's not about the money.
Ideally the number you give would be at the top of the range for the position and your experience, then maybe you'll settle on a number slightly lower. If you give a wide range, or your number is way off for the job or your background, you'll just sound like you don't know what you're talking about.
Just do your homework and ask for 120. If they like you enough and buy your story about just wanting a fair basis for a long term career, they'll pay.
If at this point you still receive a low offer, then you mention your other options, not before. And if you don't have other options, and they don't believe your story, well then you just don't have any leverage and can take it or leave it.
If you give a range you'd accept they will low ball the range. That said, I usually say what my total compensation is with salary+bonuses. Sometimes they ask if that's total comp or base but usually they seem to just assume it's base. I also say, that i'm looking for the right opportunity and I think this is it but I'm looking for an offer approximately at "X" and this is why. For my last offer I got lowballed on the offer (well, not really, it was basically market for an analyst I just thought I should make more coming in with some experience) but was able to negotiate a more advantageous bonus structure than normal because of the comments on why I thought I was worth more than the market.
I usually just tell them my all-in. If they're interested, it'll be disclosed sooner or later anyway.
Is it common practice to include 401K match $'s in all-in comp? I never have, but now I'm at a company that has a really good match (8%) and I think I would include it in my all-in comp if I ever left... anyone have thoughts?
Lie your ass off. What are they going to do, check?
Not legal.
Former co-worker of mine was asked to provide his W2 to a pretty large AM firm
Interesting.
Snarky advice withdrawn then
@Kote - that makes sense. Thanks for the follow up.
In other news, does anyone have any Marketing Comp info for Hedge Fund / Private Equity (internal).
I've spent hours researching this and really can't find anything of worth in terms of compensation structure for this other than the bonus will reflect the amnt of $ raised while taking performance into account. I was able to find 2 starting salaries...1 was at 85 and the other was at 150. I will have 3-years of experience in wealth management (1.5 yrs) and in institutional equity sales (1.5 yrs).
Have you checked the WSO Company Database for comp figures? You may be able to find some more #s if you used the filters properly...
I have checked the WSO Company Database. I don't see any field to put in the position title, just search for keywords in the company description. I couldn't find any direct #'s for Marketing positions on the buy side.
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