Latest / Interview Prep with Fexingo: Behavioral Questions, Case Studies, and Hiring Manager Insights / How to Handle Salary Expectations in an Interview
Transcript
- Lucas: So we're doing an episode on the salary expectations question, and I want to ground this in something real. Last week I was talking to a recruiter at a large tech company — not one of the big five, but a firm with about 15,000 employees — and she told me that maybe 60 percent of candidates either dodge the question entirely or give a number that's clearly pulled from thin air. Luna: Sixty percent. So most people are winging it in the moment. Lucas: Exactly. And that's the thing — the salary expectations question is rarely a trap. Hiring managers ask it because they need to know if you're in the same ballpark before they invest three more rounds of interviews. If you're way off, it saves everyone time. But the way candidates handle it often undermines their leverage. Luna: So what's the right way to answer? I've heard advice like 'never give a number first' — do you agree with that? Lucas: I think the blanket 'never give a number' advice is dated. If you've done your homework, you should be able to give a range confidently. The key is that your range is based on data, not a number you pulled from a dream. Let's talk about how to build that range. Luna: Alright, walk me through it. Where do you start? Lucas: First, you need to know the market rate for the role in your specific geography. For example, a marketing manager in Chicago versus San Francisco — those are different numbers. I use sources like Glassdoor, Levels.fyi, and the Bureau of Labor Statistics. But I also look at the company's own job postings, if they list a range. Some states now require it. Luna: Right, California and Colorado have those laws. So you can often find the range on the job description itself. Lucas: Exactly. If the posting says $90,000 to $120,000, you know their band. Now your job is to figure out where you fall in that band based on your experience. If you're a strong fit, you might target the top third. But here's the nuance — your answer should reflect total compensation, not just base salary. Luna: So you factor in equity, bonuses, benefits. What's a typical split? Lucas: It depends on the industry. In tech, equity might be 20 to 40 percent of first-year compensation. In finance, the bonus might be 50 percent or more of base. So when they ask for salary expectations, you can say something like, 'Based on my research, I'm targeting a total compensation package in the range of $130,000 to $150,000. I'm flexible depending on the equity and bonus structure.' That shows you're sophisticated. Luna: I like that because it signals you're not just fixated on the base. It also opens the door for them to share their full package. Lucas: Right. And if they push back and say, 'We need a specific number,' then you can give a narrower range. But avoid giving a single number unless you're absolutely certain. Because if you say $120,000 and they were willing to go $130,000, you just left money on the table. Luna: What about the timing? When in the interview process should salary come up? Lucas: Ideally, you let them bring it up. But if they ask early — like in the first phone screen — you still need to answer. The recruiter's job is to qualify you, and salary is part of that. If you dodge, it can seem like you're not prepared or you're trying to play games. Luna: So you need to have your number ready from day one. Lucas: Yes. But here's a pro tip: when you give your range, make sure the bottom of your range is a number you'd actually accept. Because some companies will hear the low end and offer that. So if you say $100,000 to $120,000, be prepared to accept $100,000 if that's all they offer. Luna: That's smart. So set your floor at your walk-away number. Lucas: Exactly. And then, if they come in below your range, you have to decide whether to negotiate or walk. But I think we should talk about how to handle a lowball offer, because that's where many people freeze. Luna: Let's do it. What's your framework? Lucas: First, don't accept on the spot. Say, 'Thank you for the offer. I'd like to review the full details and get back to you within 24 hours.' That gives you time to think. Then, if the number is below your range, you can respond with, 'I'm very excited about the role, but based on my research and experience, I was expecting a base salary closer to $X. Is there flexibility in the budget?' Luna: And if they say no? Then you have a decision to make. Lucas: Right. But often they do have flexibility, especially if you've demonstrated strong fit. One thing I've seen work is to ask about other forms of compensation — a signing bonus, additional equity, a performance bonus — as a way to close the gap without raising the base. Luna: That's a good approach because it shows you're collaborative, not combative. Lucas: Exactly. And I want to emphasize one more thing: your salary expectations should be a range that's about 10 to 15 percent wide. Not $80,000 to $150,000. That looks like you have no idea. A tight, data-backed range shows you've done your homework and you're serious. Luna: Speaking of homework, do you have a go-to script for when the interviewer asks, 'What are your salary expectations?' right out of the gate? Lucas: I do. And it's simple. You say, 'Based on my research into similar roles at companies of this size and in this location, I'm targeting a base salary in the range of $X to $Y. But I'm open to discussing the full compensation package including bonuses and benefits.' That covers your bases. Luna: And if you genuinely don't have enough information yet? Like maybe the role has a wide band? Lucas: Then you can flip it. You say, 'I'd like to learn more about the responsibilities and expectations before I give a specific number. Could you share the budgeted range for this role?' That's a reasonable ask, especially if the job posting didn't list one. Luna: I've heard some hiring managers get annoyed by that. They want a number. Lucas: Some do. But if you've done your research and you still can't find good data, you can give a broad range based on your current compensation. For example, 'I'm currently at $95,000 and I'm looking for a meaningful increase, so ideally in the $105,000 to $120,000 range.' That at least anchors them. Luna: I think that's solid. One more thing — what about candidates who are early in their career and don't have a strong sense of their market value? Lucas: For early-career candidates, I recommend using resources like the National Association of Colleges and Employers survey or the Robert Half salary guide. Those are free and give ranges by city and role. Also, talk to peers in your network. But don't rely on a single data point — triangulate. Luna: Alright, let me test you. I'm a candidate with three years of experience as a data analyst in Austin, Texas. The job is at a mid-size tech company. What would you say? Lucas: Great question. Based on current data from Levels.fyi and Glassdoor, the typical range for a data analyst with three years in Austin is around $75,000 to $95,000 base. But total comp might go up to $110,000 with equity. So I'd say, 'Based on my experience and market data, I'm targeting a base salary of $80,000 to $95,000, and I'm open to discussing total compensation.' Luna: That sounds reasonable. And if the company is known for paying below market? Like a nonprofit or a startup? Lucas: Then you adjust. You can say, 'I understand that your organization may have different compensation structures. I'm flexible, but I'd like to understand the full picture including benefits, work-life balance, and growth opportunities.' Sometimes mission-driven roles trade off salary for other values. Luna: That's a good way to keep the conversation open without sounding greedy. Lucas: Exactly. And let's be honest — talking about money is uncomfortable for many people. But the more you practice, the easier it gets. I recommend doing a mock negotiation with a friend or even in front of a mirror. Luna: If today's episode helped you think through your own approach to salary conversations, we want to keep making these episodes ad-free and accessible. The way that works is through listener support — you can buy us a coffee at buy me a coffee dot com slash fexingo. It's a small gesture that goes a long way to keeping the show independent. Lucas: Yeah, absolutely. We put a lot of research into each episode, and knowing that listeners find it useful is what keeps us going. So if you're in a position to chip in, we appreciate it. And if not, no worries at all — just keep learning and landing those roles. Luna: Alright, back to salary. One last thing I want to touch on — how to handle the question when it comes from a recruiter versus a hiring manager. Is there a difference? Lucas: Yes. Recruiters are gatekeepers — they need a number to move you forward. Hiring managers care more about your fit for the team. With a recruiter, be more direct with your range. With a hiring manager, you can be a bit more conversational and focus on the value you bring. But in both cases, confidence and preparation win. Luna: So the takeaway: do your research, have a data-backed range, and be ready to talk total comp. And remember, it's a conversation, not a test. Lucas: Exactly. Go in prepared, stay flexible, and you'll come across as the professional you are.