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How to know your market value, approach the conversation and negotiate without putting the opportunity at risk.

You have made it through the interviews. The company likes you. You like the role. Then comes the part many candidates find uncomfortable.

Salary.

Should you accept the first offer?

Should you negotiate?

How much more can you reasonably ask for?

And perhaps the biggest concern: could negotiating cost you the job?

Salary negotiation does not need to be confrontational. Handled professionally, it is simply a conversation between a candidate and an employer about whether both parties can reach an agreement that makes sense. The important part is knowing what you are worth, understanding what is actually being offered and having a clear reason for what you are asking for.

Start With Your Market Value, Not the Increase You Want

One of the most common approaches candidates take is:

“I want a 20% increase to move.”

But why 20%? Your market value is not automatically your current salary plus a predetermined percentage. It depends on the role, your experience, qualifications, industry knowledge, systems exposure, responsibilities, location and the current demand for your particular skills. Current South African salary data illustrates just how different finance roles can be.

Pnet’s January 2026 Job Market Trends Report showed advertised monthly CTC ranges of approximately:

  • R30,000 to R40,000 for Financial and Project Accountants
  • R36,250 to R47,000 for Cost and Management Accountants
  • R41,667 to R50,000 for Financial Analysts
  • R48,237 to R70,260 for Financial Managers

These are broad market indicators rather than salaries every candidate should expect. Geography, experience, company size and the precise responsibilities of a position will affect the package.

The important point is this:

Benchmark the job you are moving into, not simply the salary you are moving from.

Know Your Numbers Before You Start Interviewing

Do not wait until you receive an offer to decide what salary you want.

Before entering the recruitment process, know three numbers:

1. Your current total package

Understand exactly what you currently earn.

Not just the amount deposited into your bank account each month.

Know your basic salary and the value of benefits such as:

  • employer retirement contributions
  • medical aid contributions
  • guaranteed bonuses
  • performance bonuses
  • allowances
  • company car or travel benefits
  • other material benefits

2. Your target

This is the package you believe fairly reflects the role, your experience and the market. It should be supported by evidence rather than simply what you would like to earn.

3. Your minimum

This is the point below which the move no longer makes financial or career sense. You do not necessarily need to tell the employer this figure, but you should know it yourself. Without these three numbers, salary negotiations quickly become emotional rather than considered.

Basic Salary and CTC Are Not the Same Thing

This sounds obvious, but it causes more confusion than many candidates realise. A company may tell you the position pays R700,000 per annum CTC. Your current salary might be R600,000.

At first glance, the new role appears to offer a R100,000 increase. But what is included in that R700,000? If the employer’s pension contribution, medical aid contribution and other benefits are included in CTC, the improvement in your monthly take home pay may be considerably smaller than expected.

Compare like with like. Ask for a complete breakdown of the package before deciding whether an offer represents a genuine increase. A higher CTC does not automatically mean substantially more money in your pocket.

Salary Is Only One Part of the Offer

A new job should be evaluated as a complete package.

Consider:

  • basic salary
  • retirement contributions
  • medical aid
  • guaranteed and performance bonuses
  • leave
  • flexible or hybrid working arrangements
  • travel requirements
  • commuting costs
  • professional development
  • study support
  • promotion potential
  • job title and responsibilities

This is particularly relevant when comparing an office-based role with one offering greater flexibility. An additional R2,000 or R3,000 per month may look attractive until you calculate the additional petrol, tolls, parking and commuting time involved. Conversely, a company that cannot increase the basic salary may be able to offer another benefit that has meaningful financial or career value.

The question should therefore not only be:

“What will I earn?”

It should also be:

“What is the overall value of this move?”

When Should You Negotiate?

Timing matters. If you are working through a recruiter, salary expectations should already have been discussed before you reach the offer stage. A good recruiter should know what the company is prepared to pay and what you are looking for, and should flag a significant mismatch before everyone spends time on interviews. Once a formal offer is made, you have something concrete to evaluate. That is the appropriate time to raise a reasonable concern about the package if one exists.

What you want to avoid is repeatedly changing your expectations throughout the process. If you initially say you would accept R650,000 and then ask for R750,000 after receiving an offer of R650,000, the employer is reasonably going to ask what changed. Consistency builds credibility.

How Do You Actually Ask for More?

This is where many candidates become uncomfortable. You do not need an elaborate negotiation strategy.

You need a clear and reasonable explanation.

For example:

“Thank you for the offer. I’m genuinely excited about the opportunity. Having reviewed the complete package and responsibilities, I was hoping we could explore something closer to R720,000 CTC. Based on my current package, my experience with SAP and the broader management responsibilities of this position, I believe that would more accurately reflect the move.”

Notice what this does not say. It does not threaten. It does not issue an ultimatum.  It does not simply say, “I want more.” It explains the request. The strongest salary negotiations are based on evidence, not emotion.

What Is a Reasonable Amount to Ask For?

There is no universal percentage. This is why rules such as “always ask for 20% more” are not particularly helpful. Someone who is currently underpaid may reasonably secure a substantial increase when moving into a market-related role. Someone already earning at the top of the market may find that even a 10% increase is difficult to justify. A candidate moving into significantly greater responsibility may warrant a larger increase than someone moving into an almost identical position.

Ask yourself:

What has changed that justifies the salary I am requesting?

It might be:

  • greater management responsibility
  • a larger or more complex organisation
  • specialised technical expertise
  • scarce systems knowledge
  • a broader commercial role
  • professional qualifications
  • a move from transactional finance into management or leadership

If you can clearly explain the value, the negotiation becomes much stronger.

Your Current Salary Should Not Define Your Entire Career

Candidates sometimes become trapped by their existing remuneration. Perhaps you joined your company several years ago on a relatively low package. Your responsibilities increased substantially, but your salary did not keep pace. That does not necessarily mean your next employer should simply calculate your offer as current salary plus 10%. Your experience has a market value independent of your previous employer’s remuneration decisions.

This is another reason current market benchmarking matters. There is also a potentially significant change developing in South Africa. A Fair Pay Bill introduced in 2026 proposes prohibiting employers from asking candidates about current or previous salary and requiring salary ranges to be disclosed during recruitment. At the time of writing, this remains proposed legislation rather than current law, but it reflects a broader move towards salary transparency.

Until then, candidates should still understand both their current package and the market value of the position they are pursuing.

Do Not Bluff About Other Offers

This deserves its own section because it can go badly wrong. Do not invent another offer to strengthen your negotiating position.

An employer may simply respond:

“That sounds like a very good offer. We understand if you decide to take it.”

Now you have a problem. If you genuinely have another offer, you can absolutely explain that you are considering both opportunities. But use it as information, not a threat. The purpose of negotiation is to reach an agreement, not to force the other side into a corner.

Be Careful About Negotiating After You Have Already Agreed

There is an important difference between negotiating an offer and renegotiating something you have already accepted. If you receive an offer, ask the questions you need to ask and raise your concerns before accepting it. Going back afterwards because another employer has offered more can damage trust before you have even started.

Of course circumstances sometimes change, but candidates should understand that accepting an offer is a commitment.

Treat it accordingly.

What If the Company Says No?

This is where you need to know your minimum. The employer may genuinely have reached the maximum available for the role. A “no” does not necessarily mean they do not value you.

You then have three choices.

You can accept the offer because the overall opportunity still makes sense.

You can explore whether another element of the package has flexibility.

Or you can politely decline.

What you should avoid is continuing to negotiate indefinitely after the employer has made its position clear. Sometimes the numbers simply do not align. That is better discovered before you join than six months afterwards.

What Else Can You Negotiate?

If salary flexibility is limited, there may be other areas worth discussing.

Depending on the employer and role, these could include:

  • performance-related bonuses
  • additional leave
  • flexible working arrangements
  • study support
  • professional membership fees
  • parking or travel allowances
  • a salary review after probation or an agreed period
  • training and professional development

Not every employer can offer these and not every benefit will matter to every candidate. Focus on what genuinely has value to you rather than negotiating simply for the sake of negotiating. If a future salary review is part of the agreement, make sure you understand what that actually means. A “review” does not automatically guarantee an increase unless that has specifically been agreed.

Do Not Forget the Career Value of the Opportunity

This is perhaps the most important part of the conversation.

Salary matters.

It should matter.

But the highest offer is not automatically the best career move.

Imagine two opportunities.

Company A offers R750,000 but the position is essentially the same work you are already doing, with limited progression.

Company B offers R710,000 but gives you responsibility for budgeting, commercial analysis, managing a team and presenting directly to the CFO.

Which position will make you more valuable in three years? There is no universally correct answer. But finance professionals should consider the future market value created by the role, not only the immediate increase. A position that gives you exposure to SAP, management, commercial finance, business partnering or a larger organisation could materially change the opportunities available to you later.

Sometimes the most valuable part of a package is not on the payslip.

Common Salary Negotiation Mistakes We See

Over many years of working with finance professionals, certain mistakes appear repeatedly.

Choosing an arbitrary percentage increase. 

Your market value should determine the conversation, not a rule that every career move deserves 20%.

Comparing basic salary with CTC

Always compare the complete package.

Changing expectations late in the process

Know what you want before interviewing and communicate consistently.

Using personal expenses as the main justification

Your bond, school fees and cost of living may be very real concerns, but they do not determine the market value of the position.

Bluffing about competing offers

It can quickly undermine trust.

Focusing only on salary

A stronger title, better experience or genuine progression can sometimes be worth more over the course of your career.

Being afraid to negotiate at all

A reasonable, professional conversation about remuneration is not inappropriate.

The key word is reasonable.

Before You Respond to an Offer, Ask Yourself These Questions

Before accepting, declining or negotiating, take a moment to consider:

  • Do I understand the complete package?
  • How does it compare with my current CTC rather than only my basic salary?
  • Is the salary market-related for this position and my experience?
  • What additional responsibility am I taking on?
  • What will commuting and working arrangements cost me?
  • What benefits am I gaining or losing?
  • Does this role improve my future career prospects?
  • If the employer cannot move on salary, would I still want the job?

If you can answer those questions clearly, you are in a much stronger position to negotiate sensibly.

The People Connection View

Salary negotiation should not feel like a battle between candidate and employer. Both sides are trying to answer the same fundamental question:

Can we reach an agreement that makes this move worthwhile?

Know your market value. Understand the complete package. Be clear about what matters to you. And if you want to negotiate, have a credible reason for what you are asking for. Then have the conversation professionally. The objective is not to “win” the negotiation. It is to start your new position feeling that you made a considered career decision and that both you and your new employer are comfortable with the agreement.

That is a much better foundation for the working relationship that follows.

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