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How do you work out a reasonable salary to ask for?

USPublished 6 October 2026 · Written by BuyMeWhiskey Editorial Team · How we check facts

Start with market data for the exact occupation, location and industry, then adjust for your experience and the job’s scope. Your target should be supported by evidence, while your minimum should reflect the total value of salary, bonus, benefits and flexibility.

Next question: Could a pay rise delay retirement without looking unreasonable? →

Use the latest BLS occupational wage data to compare your role by occupation, location and industry before setting a salary target.

Check current BLS wage data

Run your own numbers: US federal income tax calculator (tax year 2026).

Use market data instead of guessing

A reasonable salary is not one number that applies to everyone with the same job title. The U.S. Bureau of Labor Statistics says its Occupational Employment and Wage Statistics data can be used during salary negotiations and provides wage distributions by occupation, location and industry.

The useful part is the distribution. BLS publishes percentiles such as the 25th, 50th and 75th, not only an average. That lets you ask a better question: where should someone with this level of experience and this particular job scope sit within the market?

Match the job, not just the title

Job titles vary dramatically between employers. A “manager” at one company may have a small individual-contributor portfolio, while another manager may lead a large team, own a budget and carry revenue responsibility.

Read the job description and list the skills, decisions, responsibilities and measurable outcomes expected. Then find the closest BLS occupation rather than choosing a title that merely sounds similar.

Location and industry matter

BLS specifically notes that wages vary by location and industry. The same occupation can have different market pay in different metropolitan areas or sectors. CareerOneStop, sponsored by the U.S. Department of Labor, provides salary-search tools that make the same kind of comparison easier by occupation and location.

This is especially useful for remote roles. A remote employer may benchmark nationally, regionally or against the location of its office, so the company's compensation philosophy matters as much as your home postcode.

Build three numbers

Target: the amount you would be pleased to accept.
Reservation point: the lowest package that still makes the move worthwhile.
Stretch figure: a higher but defensible number for an unusually strong match or larger scope.

Do not confuse your minimum with your opening number. If you state your minimum too early, you may cap the negotiation before discussing the full package.

Negotiate total compensation, not salary alone

Base salary is only one part of compensation. Bonus, equity, retirement contributions, health benefits, paid leave, signing payments, severance arrangements, commuting costs and remote-work flexibility can all affect the package.

The cleaner method is to put each element into an annual comparison. Be careful with variable pay: a target bonus is not the same as guaranteed base salary, and unvested equity is not cash in your bank today.

How to state your expectation

A strong answer links the number to evidence instead of emotion. For example: “Based on the scope of the role, my experience and market data for this occupation and location, I’m targeting around $X to $Y in base salary, depending on the overall package.”

If the employer will not share its range, you can ask for more information or give a range after doing your own market research. Avoid making an ultimatum unless you genuinely mean it.

What if the employer asks for your current salary?

You can redirect the conversation toward the role itself: “I’d rather focus on the value and market rate for this position. What salary range has been budgeted?” Whether an employer may ask about salary history can also depend on state or local law, so check the rules where you work.

Salary level and overtime status are separate questions

The Department of Labor says job titles alone do not determine whether an employee is exempt from the federal overtime rules; the employee's duties and salary must satisfy the applicable requirements. Its current fact sheet lists a general federal salary-basis threshold of $684 per week for the common exemptions, subject to stated exceptions.

That figure is not a recommended market salary. It is a legal threshold used in a specific overtime-classification test. Do not use it to decide what a professional role is worth.

Watch for pay discrimination issues

Federal law also restricts discrimination in compensation. The Equal Employment Opportunity Commission explains that the Equal Pay Act covers salary and other forms of compensation for substantially equal work by men and women in the same workplace.

That does not mean every pay difference is unlawful. It does mean that compensation decisions should be based on legitimate factors rather than protected characteristics, and it can be appropriate to seek legal information if you believe discrimination may be involved.

A practical five-step process

Identify the closest occupation in BLS or CareerOneStop.
Check national, local and industry wages.
Place your experience and role scope within the wage distribution.
Build a target, reservation point and stretch figure.
Negotiate the whole compensation package, then get the final terms in writing.

Illustrative total compensation package

Worked example

Illustrative offer: suppose a US employer offers a base salary of $100,000 plus a target annual bonus of $10,000. The candidate has checked the BLS occupation data, compared the location and industry, and believes the job's scope supports a higher base than the initial offer.

Illustrative target compensation: $100,000 + $10,000 = $110,000 before benefits or equity.
Negotiation focus: instead of saying “I need more money,” the candidate explains the additional responsibility and gives a defensible base-salary range supported by market data.
Fallback: if the employer cannot move the base, the candidate can ask whether the gap can be addressed through a signing payment, bonus structure, additional leave or another benefit.

The important point is that the $110,000 is not a market statistic. It is an illustrative total-compensation calculation. The market evidence comes from the occupation, location and industry data the candidate used to support the negotiation.

What salary should I ask for in a job interview?#

Use market data for the exact occupation, location and industry, then position yourself within the relevant wage distribution based on experience and responsibility. Give a defensible range rather than choosing a number from a general salary website or a friend’s unrelated job.

Ask again for the budgeted range, but prepare your own range from BLS and CareerOneStop data. You can explain that your expectation reflects the job scope, your experience and market evidence, and say you are open to discussing the total compensation package.

Should I say “make me an offer” in a salary negotiation?#

You can, but it gives up some control over the process. A stronger approach is usually to learn the role’s scope and range, then state a justified target or range that leaves room to discuss benefits and other compensation. That keeps the conversation tied to the job rather than making the employer guess what would persuade you.

How much higher should my salary ask be than the employer’s first offer?#

There is no universal percentage. Your counter should be linked to the market evidence and your fit for the role, not an arbitrary markup. A counter that explains the reasons for the number is more credible than simply adding a fixed percentage.

Is bonus money part of my salary?#

It is part of total compensation, but it is not the same as guaranteed base salary. A target bonus may depend on your performance or company results, so compare it separately from base pay when deciding whether two offers are genuinely equivalent.

Does the Department of Labor salary threshold tell me what I should earn?#

No. The Department of Labor’s salary-basis threshold is an overtime-classification rule, not a market-value benchmark. The reasonable salary for a role should come from occupational, location and industry data plus the responsibilities and experience involved. It does not tell you what a particular employer should pay.

Keep reading

Next question →Could a pay rise delay retirement without looking unreasonable?

Sources

Figures were checked against these sources before publication. If a rule changes, we update the page and show the new date.

General information, not personal financial advice. Rules depend on your circumstances; check the official source or speak to a regulated adviser before acting.