[Anonymous]

So I’m working with a recruiter. Currently staff accountant at a small manufacturing company. Enjoy it. I was compensated fairly when I received the job (Around 40K). I had one year of experience and was studying for the CPA exam, nothing else really going for me. Two years later I am officially licensed and have 3 years of accounting experience. Based off of my own limited research I estimate my market value to be around 55 – 60K for where I work.

This leads me to my question. Recruiter says I should only expect max 10% raise from previous position. I disagree. TO me a lot has changed since then and the amount of money I make when Switching companies should be based off of qualifications not previous job. I would understand maybe a 10% raise if I was staying at the same company and moving up.

Am I just completly wrong? And if this is true how do I avoid giving out my current salary? I really don’t feel like I’m asking for a ridicuous amount of money.

[Anonymous]

This is why you don't ever tell them what your current/previous salary was. It is not at all relevant to the discussion of how much the position you're pursuing is worth. Recruiters and HR people will try to use fear to get you to talk salary history, but, just like they wouldn't answer if you ask them what the last person in the role was paid, you shouldn't answer them about your current or previous salary. All they need to know is whether or not the salary they are willing to pay is in line with what you are willing to accept, so if your market research indicates $55k as a minimum, then tell them that's what you're looking for. Keep the focus on target salary, not current salary.

I'd also recommend looking up Liz Ryan. You can find her on LinkedIn and Forbes. She has written a ton on this subject. I don't agree with everything she says about the job search process, but I agree with her on this.

[Anonymous]

Thanks a ton. I looked her up. That was good for me to read. Just reading a couple of her articles, I can already tell I'm not quite as good of a negotiator as I thought I was. HA

[Anonymous]

I disagree with your recruiter. If a company likes you, it is definitely possible to get 10 to 30% increase from your current pay. A good company will pay you based on market value, not your salary history. your ability to get such increase will highly depend on your interviewing skills, past experience, and other backgrounds.

[sidkomm]

Recruiters will do whatever they can to make sure you take the job and lowering your salary expectations makes it easier for the companies to offer you the position. That being said, don't give into the questions and answer what you currently make right now. You should only tell them what you are looking to make and what you believe what you are worth. A 10% raise does not seem reasonable to me when you switch jobs. I personally wouldn't go less than a 20% raise unless you are switching careers. Good luck with your search and don't let the recruiter talk you down on your worth!

[Missy]

In addition to the above keep in mind you do not have a “market value”. Positions have market values. Meaning regardless of your resume and license, if a staff accountant position pays $50k and you go in saying you're worth $60k, they'll just move on to someone who will take the $50k they've already budgeted for the position. Hiring decisions rarely include the notion that an individual is worth more or less than the number they already have in mind unless someone has some unique qualifications that are hard to find elsewhere.

If your goal is to make 60k you need to find out what positions pay that and evaluate if you are qualified for them. If so, its a no brainer that you can get it. However I see over and over again people just assuming having a CPA license instantly qualifies them for anything in accounting. If I am hiring a general ledger accountant and have 2 resumes, one of a CPA with 2 years' tax experience and one of someone without a CPA but 15 years G/L experience, the experience gets my attention more even though I realize anybody who can pass the CPA can figure out journal entries and reconciliations. The unknown factor is who your competition is, not just whether or not you can succeed in a position.

Also keep in mind that generally speaking its larger companies that pay better. I have a cpa license and 20+ years experience and couldn't get a foot in the door at a huge publicly traded company because as they told me all of my experience was with small companies and that did not qualify me to work there. Of course there are exceptions but I wanted to share my own feedback because its something you are likely to hear as well. I feel I am worth at least 20% more than l am paid right now,but the employers who pay what I think I am worth are looking for a different criteria than i can fill.

I think you're approaching this backward. Look for positions you'd want and find out what average salaries for specific jobs are. That way when the salary question comes up you can intelligently answer “well I know the average xxxxx (insert job title here) salary in our area and am sure that your offer will be competitive with it”.

Licensed Massachusetts Non Reporting CPA since 2012
Finance/Admin/HR Manager

[Anonymous]

You can definitely get more than a 10% raise when switching jobs. My last 2 job-changes have been more in the 40-50% increase range (though the first in that chain was a pitifully low figure). If you tell them you make x and ask for 1.5x, they're going to say “No”, but if you don't tell them what you make and they offer 1.5x, then you get a 50% raise. Of course you probably have to be well below market to be eligible for such an increase, but that should be apparent… Now that I make a more competitive salary, I doubt the next job-change will even be a 10% increase, but with a low starting point I was able to get some nice percentage increases. Point is, 10% raise with switching jobs is NOT a definite limit.

[Author]

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