[Ann]

It’s so excited to get a senior position offer. But the salary they offered is 25% less than my current pay. How can I negotiate? Btw, they knew my current salary.
Any suggestions? Thank you.

[Recked]

How did they know your current salary, and why would they offer you 25% less?

[Throwaway]

I've always heard there is not a lot of room to negotiate in the big 4 (at least for entry-level positions). If they know your pay now, and still offered 25% less than what you are making, they are probably unwilling/unable to offer you your current salary.
Let us know how it works out.

[Ann]

They asked me my expectation before making a formal offer. Then I provide them my current salary.
I don't expect them to pay me the same but at least not that much less. And it's a senior position, so no room to negotiate at all?

[Painted_Jeans]

Just out of curiosity, why would you want to take a lower pay? I heard their starting senior salary is around 75k.. If you making more than that why even think about taking the positin? because of the firm? if it is then firm reputation should be more valuable regardless of your pay.. otherwise I'd look somewhere else or stay at your current job.

[ruggercpa2b]

As a senior you would have to highlight your experience and ask for what you are currently making. Are you coming in as a senior from Industry? I would be a little concerned about that because you are starting right around busy season and as a senior they will expect you to be up and running without much training. Another thing to remember is if you take a lower salary now, when you transition back to industry you will be back where you started. It makes zero sense to me unless when you leave you can get more than a 25% raise.

AUD - 73, 72 retake 7/2/2016
BEC - 8/20/2016
REG - TBD
FAR - TBD

I am so ready for this nightmare to be over. Been at this way too long.

[Ann]

Thank you all for the comments. I still want to negotiate, 10-20% more than their current offer. Is there any strategy?

[HeartsMimiCPA]

I had a similar issue earlier this year.
I was offered a senior role with a big 4 firm but the salary was a 10% pay cut(coming from an Internal Audit role)
I tried to negotiate and was only able to get a bigger sign on bonus. I ended up taking a different offer.

AUD - 65, 89!
REG - 70, 89!
FAR - 78!
BEC - 77!

Finally!
Experience 06/30/15
Ethics-Done

VA Licensed 09/15/15

[fuzyfro89]

Why are you considering returning to Big 4 if you are currently in industry? Industry generally pays better, but the career path is not usually very structured (and the pay scale along with it). Some discount is warranted, simply because “they can”, but 25% seems like a lot. Do you think you are overpaid for comparable roles in industry?

If we're talking about an entry level senior making ~65k and you currently make ~80k, the only reason this makes sense is if the experience/brand is that valuable and if you're willing to put ~2 years in to make it worthwhile. Of course, you could stay longer, but you will make up some lost ground with the annual raises in the 5-8% range vs industry which tends to be much lower at larger companies 2-5% range.

Try to project your career out 5 years with a “best” vs “normal” case for going to big 4 for 3 years and then returning to industry vs staying in industry.

An example on salary:
big 4: 65k * 1.07 * 1.07 * 1.12 = 83k * 1.1 = 92k (bump if you jump externally again after 3 years)
stay industry: lateral or promotion after 2 years: 80k * 1.03 * 1.03 * 1.1 * 1.03 = 96k

Ignoring bonus, you end up in roughly the same place salary wise within 4 years. So then you'll have to judge whether either one helps you get somewhere faster, or addes some credibility/prestige that you want on your resume, or some other benefits for your specific circumstances.

[Author]

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