TL;DR: Always counter. Companies expect it and budget for it — the first offer is rarely the final number. The strongest move is silence after they state the offer (let them talk first), then counter with 10–20% above your target number (not your target number itself). Have a competing offer in hand if possible — it 3x's your leverage. Accepting "we'll revisit in 6 months" is almost always a lie; get the number in writing now.
Why Indians are terrible at negotiating (and it costs us)
The data: average Indian tech professional leaves ₹3-8 lakh/year on the table by not negotiating their first offer. Over a 25-year career, that's ₹1-2 crore in lifetime earnings — before considering compounding raises that compound off your starting base.
The reason isn't talent or value. It's culture. We were taught: - "Don't be greedy" - "Be grateful for what you get" - "Asking for more is rude"
Western professionals negotiate every offer. They expect it. Companies factor "negotiation room" into the first number.
You should too.
The framework: 4 conversations, in order
Conversation 1: Before the offer (research) Conversation 2: The offer call Conversation 3: The counter Conversation 4: The closing
Each one matters. Mess up the first and you anchor too low. Mess up the second and you freeze. Mess up the third and you leave money on the table. Mess up the fourth and the offer gets rescinded.
Conversation 1: Research (before any offer arrives)
You can't negotiate without data. Three sources:
1. Levels.fyi / Glassdoor / AmbitionBox Search your role, company, city. Get a range — not a single number. Note the median for your experience level. That's your floor.
2. LinkedIn salary insights Now shows salary ranges for many roles. Cross-check with Levels.
3. Friends in similar roles The most reliable. Ask 3-5 people: "What's the typical package for [role] at [company tier]?" Don't ask for their exact salary — ask for the range.
Your target = median + 15%. Companies lowball the first offer by 10-20%, so aim high.
Your BATNA (Best Alternative To No Agreement) = your second-best option. Have at least one other active interview process. Even a "probably not interested" backup. Don't lie about this — but if you're in final rounds elsewhere, mention it naturally.
Conversation 2: The offer call
The recruiter/HR calls you. They state a number. Here's what NOT to do:
❌ "Yes, I'll take it" (instant) ❌ "That's a lot less than I expected" (reveals your target) ❌ "Can I think about it for a week?" (looks uncommitted) ❌ "I'll take it if you can match X" (rejects before negotiating)
Here's what TO do:
✅ Stay silent for 5-10 seconds after they state the number. Sounds awkward. It's not. The silence makes them talk. They'll usually add: "And there's a sign-on bonus" or "We have flexibility on this" or "We're also offering X stock units." Wait for the full pitch.
✅ Express enthusiasm, then ask for time. "I'm very excited about this role and the team. This is exactly the kind of work I want to be doing. Can I take 24-48 hours to review the full package and come back with any questions?"
This gives you time to prepare your counter — and signals you're serious without being desperate.
✅ Ask clarifying questions first. "Can you walk me through the full CTC structure? Base, variable, ESOPs, joining bonus, retention bonus — what's included?"
Many offers hide huge components (sign-on, retention bonus, fast-track promotion review) that you don't know to negotiate for. Ask now.
Conversation 3: The counter (the actual ask)
24-48 hours later, you call/email back. The structure:
1. Thank + reaffirm interest
"Thank you again for the offer. I've had time to think about it and I'm genuinely excited about joining the team and contributing to [specific project/goal]. I want to make this work."
2. State the gap
"The offer is ₹18 LPA. Based on my research — including conversations with peers in similar positions and the market data on levels.fyi — the typical range for this role at companies of your caliber in [city] is ₹22-25 LPA. I'd like to see if we can close that gap."
3. Counter with a specific number (10-20% above your target)
"Given my [X years experience / specific skill / competing offer], I was hoping we could land at ₹24 LPA. Is there flexibility to do that?"
Why above your target? They'll counter back. You'll meet somewhere in the middle — your actual target.
The math: Target ₹22 LPA. Counter at ₹24 LPA. They counter at ₹21 LPA. You "compromise" at ₹22.5 LPA. You win.
4. Mention competing offers (if real)
"For full transparency, I'm also in late stages with [Company B], and their offer is in the ₹25 LPA range. I prefer [Your Company] because [specific reason — better team, product, culture, growth], but the gap is hard to ignore."
Don't bluff. If they call your bluff and you're caught, the offer evaporates.
5. Ask open-ended questions
"What's the flexibility on the base? On the sign-on bonus? On ESOP vesting? Are there other levers we haven't discussed?"
Many times, they can't move base (HR is rigid on bands) but CAN add a sign-on bonus, extra ESOP grant, early promotion review, or relocation package. Ask open-endedly.
Conversation 4: The closing
They counter. Either you accept or counter once more. Cap it at 2-3 rounds total. After 3 rounds, both sides get fatigued and the relationship suffers.
Acceptance script:
"Thank you for working with me on this. I really appreciate [specific thing they added]. I'm happy to accept at [final number]. Can we get the revised offer letter today?"
Then immediately ask for the offer letter in writing. Verbal agreements evaporate. The revised offer letter should reflect the new terms.
The "we'll revisit in 6 months" lie:
Recruiter: "We can't move base right now, but we'll definitely revisit at your 6-month review."
This is almost always a lie. They have budget cycles that change. Reviewers forget promises. Managers leave. Get it in writing now or assume it's not happening.
Counter-script:
"I appreciate that. Could we put that in writing in the offer letter? Something like 'base will be reviewed at 6-month mark with specific criteria for adjustment to [target number]'?"
If they refuse, the promise was empty.
The 5 mistakes that kill your negotiation
Mistake 1: Negotiating via email only
Email gives them time to formulate counter-arguments, consult HR, and harden their position. Negotiate on phone or video. Email is for confirming what you agreed on the call.
Mistake 2: Lying about competing offers
If you say you have a ₹30 LPA offer and you don't, they'll figure it out. The relationship is now poisoned. Either have a real offer or say "I'm exploring" (true even if you haven't gotten any callbacks yet).
Mistake 3: Accepting the variable/ESOP part to inflate the offer
A ₹18 LPA offer with 30% variable means your actual guaranteed pay is ₹12.6 LPA. If a competing offer is ₹16 LPA all-fixed, you should compare apples to apples. Variable can be cut in a bad year.
Mistake 4: Negotiating benefits instead of base when you can
Sometimes they say "we can't move base, but we can add X extra vacation days" or "we can move your start date" or "we can give you a WFH setup stipend." These are real, but they shouldn't substitute for base. Use them as add-ons AFTER you've pushed base as far as it'll go.
Mistake 5: Negotiating for 2 hours
Cap it. 2-3 rounds, 30-60 minutes each, over 1-2 days. After that, you're not gaining much and you're souring the relationship. Take the final offer or walk.
Promotion and raise conversations (you're already inside)
The same framework applies for internal raises and promotions. The difference: internal leverage is weaker than external. You can't easily walk away. But you can:
- Document your wins before the conversation. Specific metrics, revenue saved, projects shipped.
- Anchor to market data, not internal history. "My role at this level pays X in the market."
- Get competing offers anyway. Nothing accelerates an internal promotion like a real external offer.
- Time the ask. Right after a shipped project or a successful review cycle. Not during layoffs or budget freezes.
The script:
"I've been here [X years] and I want to talk about my growth trajectory. Based on my contributions this year [specific wins], the market rate for my role is ₹X. I'm at ₹Y currently. I'd like to discuss closing that gap."
When NOT to negotiate
- The offer is already at or above your target (rare but happens)
- You're desperate and have no alternatives (just take it)
- The company explicitly says "this is non-negotiable" AND they're credible (rare)
- You genuinely don't care about the money (rare)
For 95% of cases, always counter. Even a small counter (5-10%) signals you're a negotiator, which matters more than the absolute number.
More from the blog: - 7 Money Moves at 25 - Salary In-Hand vs CTC - How to Read Your Payslip