Usually companies don’t offer much salary while giving a job offer because companies often have budgets they must stick to, some positions may not offer a ruthless salary. Due to this, some employees may need to reject a job offer because of low salary. While it’s possible to negotiate a higher salary or better benefits for a position, some companies won’t offer a higher salary.
In this following guide, we will discuss how a professional may reject an offer of a job because of the salary and how to do it politely to help the employee to decline a job opportunity due to a low salary offer.
Why decline a job offer due to salary?
Some full time employees may need to reject an offer of a job because the salary that the company is offering is too low to meet the minimum expectations of the employee. While applying for a job, employees set a fixed minimum salary expectation for some reasons like the basic expenses of life or the market value.
Some employers don’t reveal the salary for a specific position until they find the perfect candidate for that position, so you could know late in the job application procedure that the salary for your applied job that you’re interviewing for is too low to accept. Don’t miss out! Check our previously published article on What if a salaried employee works less than 40 hours?
Here are some other reasons you may need to decline a job offer because of the salary:
Living expenses
If a salary is below your minimum rate, it’s likely that you may not be able to maintain your lifestyle comfortably. To check if your salary can cover all your basic expenses, then add up your monthly expenses and subtract them from the salary you would get if you accept the job offer.
Competitive offers
If you apply to many jobs at the same time, you may get higher offers from other companies. When you apply for multiple jobs at the same time then maybe some jobs may be more or less interesting. It will totally depend on the other factors of the job positions, such as the type of work and promotion opportunities, probably you will go for the higher-paying position. Have you seen it yet? Check our previously published article on How Much Should You Pay For Rent Based on Salary?
Market value
Do a research on the market value, the salary for the same position and advantages for a professional working in the same job as you, you come to know that the job offer is under the market value for a professional with your qualifications. If the company is offering a salary that is under the average salary for a professional in the same job position, you can use this data to negotiate a higher salary.
How to reject a job offer due to low salary?
If you want to know how you can decline a job offer because of a low salary,then follow the mentioned steps.
Evaluate the offer
First of all, before coming to a conclusion, know the worth of the job offer, assess it and think about the advantages and disadvantages of accepting or declining it. For example, if the salary is low, but the job offers other better advantages like health insurance or more paid holiday. Use your budget to judge if you are able to accept the job offer or not.
Research the average salary for the position
To become sure about your right salary expectation, compare it with the average salary for a professional working in the same position as you. It is very necessary to count your experience and qualifications. As we know, employees who have higher degrees or high experience levels often can earn more.
Consider negotiating
If in the job offered to you everything else is good except the salary then you can negotiate for a higher salary. To negotiate for a higher salary, talk to the hiring manager and tell them that you are considering the offer. Try to ask if the company wants to negotiate the salary and what maximum range they can offer for that position. Then, you can use your research to propose a counteroffer. For more information, check our previously published article on How Does Salary Pay Work?
If they accept your proposal,you can then accept the job.
Respectfully decline the offer
If you are not satisfied with the salary of the job offer or the company is not interested in negotiating the salary, you may be required to reject the offer. To reject the offer, try to talk with the hiring manager directly. Choose your preferred communication medium, either email, phone or in-person, to inform the hiring manager you’re declining the offer. Consider a phrase such as:
“I respect the job offer, but, I must decline.”
Consider explaining your decision
Hiring managers or companies will not ask you to explain your decision but if you want to explain your decision, you can. If you want to tell the hiring manager why you are rejecting the offer, try to talk as politely as possible while explaining that you can’t accept a job that offers you a very low salary. If you are giving an explanation for the rejection then it may give the employer or company an chance to offer a counter offer.
Thank them and consider the networking opportunity
When declining a job offer, it’s important to thank the hiring manager for the opportunity and the original offer. This is a polite way that allows you to stay in the company or manager’s favor. Even if you’re not accepting an offer at their company, job offers often prove to be very good networking opportunities. This can help you earn job opportunities in the future. Make sure to check our previously published article on How to Calculate Retro Pay for Salary.
Frequently Asked Questions
If you want to say professionally that salary is too low then try by saying that:
I’m really excited about the company and the role. I want to be upfront with you that the salary is lower than I was expecting based on my skills and experience.
Reason for rejection: Salary is too high. Response to employer: If you know or suspect that your salary expectations may be too high, resubmit your resume with a lower salary figure. You can always negotiate later in the process.
Conclusion
Declining a job offer in a polite manner can help you to increase your future job opportunities. You may be required to inform them about your reason for rejecting a job offer, so inform the hiring manager or company about your reason in a polite way. In this article, we discussed the method to keep in mind while evaluating a job offer to compare your worth from the market value. Have a look on: how to negotiate salary over email?
