What to Say When the Interviewer Asks How Much You Make

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I have found that it's fair to politely ask the relevancy of the question. Something like (in your nicest voice) "That's a great question, but salaries are personal information... can you explain how that applies to the position?"
Often times I've found it's the interviewer who wants to know themselves, to know if they're underpaid, how much *they* can bargain for next review, etc. Especially if they're going to be the boss over you.
I also find that, as a consultant, if I say $120/hour most corporate wage cows don't have a clue; they think of it like their own unloaded paycheck. Sorry, but I have double taxation (self employed), pay my own health insurance, my own liability insurance, my own errors and omissions insurance, my own sales and marketing budget, all my travel, my own toner and photocopy machine, my own internet, my SEP IRA, my own vacation,...etc. Every pen and pencil and battery and phone bill, you name it.
This belongs with questions people used to ask about family and other personal stuff.
You either budgeted for it or not.

Dave of PA 12:22PM January 11, 2011

I'm personally getting tired of being asked by interviewers what I'm making/have made. It's none of their business & irrelevant to the current position I'm applying for since it's a different company & the job description isn't going to be exactly the same. Stick to the skills required & the pay for each of these.
I'm also getting tired of companies demanding access to my credit report & whether I'm Latino/Hispanic. A different topic but just as irrelevant.

Lisa V of TX 4:21PM January 07, 2011

I too don't think it's another company's business to ask about my current or past salary. These people know to the dollar usually what their company is going to pay for each position. I cannot guess what number is in their head nor do I want to. They're generally just trying to see if you'll work for less or if you consider youself worth the salary they're wiling to pay.
I've been caught off-guard In phone interviews w/ both what I make & what I want to make. When I lowball myself I get interviewed first & treated like a guinea pig for the applicants after me. I NEVER get the job when I divulge salary info first. Get them to give you a range - don't answer blankly. If it irritates them you don't want to work for them anyway.

SD Fin of TX 4:15PM January 07, 2011

It is NOT a "versus" mentality to insist (politely!) that the current employer stick to compensation for the job under consideration. It makes sense to ask the 2nd half, i.e., "where do you want to be?"
What I'm making now is nobody's business. It's exclusively what my past employer and I agreed on for whatever reasons. Moreover, salary in some places is considered company confidential.
As a hiring manager, I also don't ask for salary history. It's irrelevant. The only thing that matters to my company is "Can we afford this person?" We don't ask past employers and candidates for past W-2's, we merely have to know our budget as a responsible buyer.
Asking how much someone makes is the lazy way of handling compensation packages. Furthermore, if a company is too obsessed with your past income instead of the rewards you'll bring them, work somewhere else! Other employers are far better to invest in, timewise and moneywise.

Greg Paskill of CA 8:00PM January 05, 2011

Nice post Andrew! I especially like your third tip, largely because I've used it myself. But it's also important that the job seeker know his or her market value by looking up salary ranges for both the job they have and the job they'd like to have. The Bureau of Labor Statistics and such sites as Salary.com can be very helpful.

Rick Saia of MA 2:05PM January 05, 2011

What is the best course of action if you make more than is currently being offered in the marketplace? Should you tell a potential employer what you're making and what your bottom line is? Or does that make you look desperate?

K.Harris of CA 3:01PM January 04, 2011

Appreciate the feedback from the recruiters! I agree with David, but unfortunately I don't think every recruiter/hiring agent is as up front as he appears to be. Here's to open and honest communication from all involved!

Andrew G. Rosen of NY 11:22AM January 04, 2011

Well written, David.
I completely agree. The tactics described in the article are only effective in an extremely candidate driven market. While things have been getting better-we just aren't there yet. Cooperation in an already competitive job market is essential.
Many of my clients currently ask for a 3 year comp history complete with W2's prior to offer-no room for ambiguity there. If a person cannot trust the company they are interviewing with to make a fair offer based on their previous earnings and where they are looking to be, perhaps it is not the right organization to interview with.
Full disclosure is always best, anything else is annoying to say the least.

Laura-Agency Recruiter of NY 10:31AM January 04, 2011

As a corporate recruiter, my candidates all hear the following line: "Talk to me about money. Where are you now and where do you want to be?"
I am not asking, as you indicated, so that I have the ammunition to low-ball the candidate if I extend an offer. I am asking so that I have an idea of whether this candidate is in our budget range for the position and, if not, how much we would have to stretch to afford him/her and whether it seems like a stretch worth making.
My advice to job seekers is to answer honestly about what you're making and what you're looking for. It can save a ton of headaches down the road. Don't sell yourself short. If you're looking for a big raise, tell me. If it's not possible I'll let you know up front.
To skirt the issue and not tell me what you want to be paid is to effectively take yourself out of contention. I'm not going to commit any more of my time or a hiring manager's time to a candidate that we have no idea whether we can afford.
The interview process shouldn't be a case of candidate vs. recruiter. It should instead be a collaborative and exploratory process by which both sides figure out whether this is the right candidate-job match. If you enter into the conversation with an adversarial attitude, any decent recruiter will recognize it and dismiss you almost immediately. If you enter into the conversation with a collaborative and cooperative mindset, I promise you'll get further. You might not get the job, but you'll cast yourself in a good light and stay in consideration for other opportunities down the road.
When a candidate won't answer simple questions or seems to feel too good to engage in open conversation, we remember you and we talk about you to our colleagues throughout the company. Don't be that candidate.

David Gaspin of NY 9:33AM January 04, 2011