The Business Grad’s Guide to Salary Negotiation and Benefits in 2025

For the Class of 2025, conversations about entering the workforce extend well beyond resumes and job applications. Graduates are stepping into a competitive labor market where the ability to negotiate salaries and benefits will shape not only their first job offer but also the trajectory of their long-term earnings.

This report was developed on behalf of Aurora University (AU) to provide graduating business students with evidence-based guidance on salary expectations and negotiation strategies. Drawing on recent labor market research and authoritative data on graduates from universities across the country, the report offers practical insights that help students make informed decisions about compensation. By combining these findings with AU’s academic preparation and professional support, graduates will be well-positioned to secure fair pay and meaningful benefits as they begin their careers.

The salary expectations and market statistics referenced in this report are based on industry findings and national surveys of students from universities across the U.S. This data provides important context and benchmarking information to help AU graduates understand broader market trends as they prepare for their own salary negotiations.

Key Takeaways

• Graduates from the Class of 2025 expect to start their careers with an average salary of $101,500, but the actual average across Bachelor’s degree fields is much lower at $68,700.
• Job seekers who negotiate their offers see an average 18.8% salary increase, with some achieving raises as high as 100%.
• More than half of candidates (55%) still don’t attempt to negotiate, leaving substantial earnings on the table.
• In 2025, 42% of new hires received signing bonuses, and nearly 70% of employers offered voluntary benefits like wellness stipends and family leave.

The Pay Gap Between Graduate Expectations and Market Benchmarks

Graduates entering the workforce in 2025 face a striking contrast between what they expect to earn and what employers are prepared to pay. Understanding this gap is critical, since it sets the stage for how effectively new professionals approach salary negotiation.

A ZipRecruiter survey of more than 3,000 recent and upcoming graduates found that the Class of 2025 expects a starting salary of about $101,500. In reality, the National Association of Colleges and Employers (NACE) reported that the actual average across Bachelor’s degree fields is closer to $68,700, with variations by discipline such as engineering ($78,731), computer science ($76,251), and business ($65,276). These differences highlight the importance of grounding salary expectations in reliable salary data before evaluating a job offer.

The gap between pay expectations and market value makes negotiation especially important. Research from the Harvard Business School found that even a simple reminder to students that negotiation is normal significantly raised the likelihood of them engaging in salary discussions with potential employers and led to better outcomes. Studies show that candidates who negotiate salary see an average salary increase of over 18.8% compared to their original offers, with some achieving a higher salary of up to 100% more.

Yet, more than half of candidates (55%) still avoid the negotiation process altogether, according to a Pew Research Center study. Pew reported that 38% of workers did not negotiate because they lacked confidence in doing so, including 42% of women and 33% of men. Not feeling comfortable with asking for higher pay was even more prevalent among those aged 18 to 29, at 46%. Interestingly, a Harvard Program on Negotiation study found that 54% of women reported negotiating salary after graduating with an MBA, but that men were less likely to do so (44%).

Developing strong negotiation skills can help graduates overcome barriers. The most successful negotiation strategies balance firmness with flexibility, meaning you leave a clear target for the desired salary range while leaving wiggle room in the approach. For example, if an employer cannot meet a request for $70,000, a candidate might agree to start at $65,000 with a written commitment for a performance review and potential raise within six months.

Others may negotiate for a signing bonus, additional paid time off, or enhanced benefits to offset a lower base salary. These options can deliver meaningful value even when the initial offer falls short of expectations. Building confidence in these early conversations is especially important. Even a modest 5% salary increase at the start of an entry-level role can compound over time, growing through promotions and annual raises to create hundreds of thousands of dollars in additional lifetime earnings.

Salary Research Tools Every Graduate Should Use Before Negotiating

Business graduates who prepare for negotiation with solid information gain a clear advantage in discussions about pay. Reliable resources make it easier to align salary requirements with the realities of the labor market and provide evidence that employers respect.

Salary Benchmarking Tools

To negotiate confidently, it’s essential to know what your role is really worth in today’s job market. The following trusted salary research platforms provide up-to-date, comprehensive data on starting salaries across industries, locations, and experience levels:

• U.S. Bureau of Labor Statistics (BLS): Government-published datasets on occupational pay, demand trends, and geographic differences that provide a broader context for salary analysis
• Glassdoor: Crowdsourced employee data offering insights into company-specific salaries, pay trends, and interview experiences, particularly useful for quick directional checks during a job search and for understanding company culture
• NACE: School-verified salary data tailored for new graduates, tracking market value across majors, industry sectors, and regions
• Payscale: Real-time data and AI-driven insights that allow users to create personalized salary reports based on education, skills, job title, and location
• Salary.com: HR-grade salary data with deep filters for job level, industry, and geography, providing detailed compensation breakdowns

How to Use These Tools Effectively

When using salary platforms, new business graduates should keep several best practices in mind:

• Filter by location: Salaries vary widely by city and region due to the cost of living and market demand. Always set your location filter to reflect where you will be working or negotiating.
• Select industry and role: Narrow results to your target field and specific job title. Recruiters often evaluate offers in the context of these categories, and benchmarks for entry-level positions differ significantly from senior roles.
• Consider experience level: Most platforms allow filtering by years of experience or education. For new graduates, choose “entry-level” or “0-2 years” for accurate ranges.
• Look beyond base salary: Many platforms include bonuses, equity, benefits, and other incentives that make up the total package, all of which matter in negotiation.
• Cross-check multiple sources: Compare figures across several platforms, from Payscale to BLS, to gain a well-rounded perspective.

By combining insights from these tools, graduates build a good understanding of their market value and strengthen their ability to justify compensation requests during negotiations.

How to Negotiate Your First Salary

Graduates entering the workforce often find that the negotiation process feels unfamiliar, yet it plays a decisive role in shaping long-term earnings. Effective preparation and clear communication can help secure not only a signing bonus but also stronger terms across the total package. Building strong negotiation skills and practicing effective negotiation strategies equips graduates to manage early conversations with confidence.

Negotiation Communication Templates

Strong communication helps candidates turn a job offer into a better outcome. Several resources provide proven frameworks for doing so:

• MailTracker: Offers eight professional email templates that address scenarios such as negotiating after an offer or during the interview stage
• iHire Resource Center: Provides examples for negotiating a benefits package, including adjustments for below-average pay or competing offers
• InboxDone: Features 10 adaptable templates for salary discussions and related compensation package requests
• Fearless Salary Negotiation: Shares 11 expert-crafted samples explaining both wording and strategy for a variety of situations

Pre-negotiation Preparation Tips

Thorough preparation is essential for successful outcomes. Graduates should research their market value through reliable platforms and professional contacts, then set realistic salary expectations based on both data and personal living costs. Connecting with recruiters also provides valuable insights into what employers are currently offering. Resources from Indeed and MarketWatch reinforce the importance of preparation, self-assessment, and rehearsal in building confidence.

More Templates and Scripts

Practical guides, such as this one by Neo, provide both email and in-person templates that help graduates structure discussions effectively. These resources show how to introduce a counteroffer, highlight perks like flexible schedules or tuition reimbursement, and evaluate stock options as part of a broader compensation request. They also offer examples of professional follow-up language to maintain positive relationships after negotiations.

Role-Play and Practice Resources

Negotiation is a learned skill that improves through repetition. Free workshops, webinars, and university-run labs allow graduates to practice tone, pacing, and body language in simulated conversations. Career centers often pair these exercises with mentoring to support ongoing professional development. Practicing real scenarios helps students strengthen their negotiation skills so they can confidently adapt when the stakes are higher in actual interviews.

Common Pitfalls to Avoid

Even well-prepared candidates can make missteps during negotiations. Recognizing common errors in advance helps graduates avoid weakening their position and keeps the discussion focused on long-term career growth. Frequent pitfalls include:

• Revealing pay expectations too early: Being too forthcoming about your expected salary can anchor discussions below your base salary
• Overlooking non-cash benefits: Options such as health insurance or tuition support may equal or exceed a direct pay increase in value.
• Ignoring valuable incentives: A signing bonus, remote work flexibility, or paid time off can significantly enhance a benefits package.
• Engaging in multiple counteroffers: Repeated negotiation rounds can frustrate employers and harm goodwill.
• Using an apologetic tone: Weak language may undermine otherwise strong arguments for fair compensation.

For business graduates, avoiding these pitfalls ensures that negotiations remain constructive while producing compensation packages that support both immediate needs and long-term career goals.

Looking Past the Paycheck

When reviewing offers, graduates should evaluate more than just starting salary. The overall benefits package often determines the true value of compensation and can significantly influence financial stability and quality of life.

Benefits to Consider and Negotiate

Employers expect healthcare expenses to rise by 6.7% in 2025, according to Brown & Brown’s Employee Benefits Market Trends report. Health coverage, therefore, remains one of the most important elements of a compensation package. Employers are also expanding voluntary benefits, with 70% now offering options such as wellness stipends, mental health support, and family leave, per Procurement Tactics findings. In addition, incentives like a signing bonus are fairly common, with 42% of new hires receiving one in the second quarter of 2025.

Remote and Flexible Work Options

Flexibility has become a defining workplace perk. A People Managing People survey found that a majority of employers now provide some form of hybrid or remote work arrangement. SHRM reported that negotiating flexibility rarely reduces base pay, making options such as hybrid schedules or occasional home days valuable additions to a total package. In many cases, flexibility can be as meaningful as extra paid time off in supporting long-term satisfaction and work-life balance.

Understanding Equity Packages

For graduates entering startups and technology companies, equity is increasingly part of compensation, according to Procurement Tactics. New hires sometimes receive stock options or Restricted Stock Units (RSUs) as part of their pay. While equity offers significant long-term upside, it requires careful review of vesting schedules and company performance. For those starting out in cities with a high cost of living, equity can help offset immediate financial pressures while contributing to future wealth.

Conclusion: How to Negotiate Your First Salary in 2025

Negotiating a first salary in 2025 requires researching benchmarks, considering total compensation, and weighing long-term growth potential. With preparation and the right resources, graduates can approach the job search with more confidence. Treating negotiation as part of ongoing career development also ensures graduates build a strong financial foundation from the very start of their professional journey.

Aurora University supports business students, including those enrolled in online programs, with comprehensive career preparation. Through career services, learners can schedule virtual appointments, receive resume and cover letter feedback, and access job search tools. AU’s Career Professional Mentoring Program also connects students with alumni and industry professionals, offering guidance on communication skills, confidence-building, and career exploration. These resources help graduates approach the job market prepared to evaluate opportunities fully, considering not just base pay but also benefits and future growth potential.

Methodology

This report, created on behalf of Aurora University, draws on a combination of authoritative data sources and recent labor market research to provide graduating business students with practical, evidence-based insights into salary negotiation. The analysis integrates both national surveys and industry reports to ensure accuracy and relevance. Key sources include:

• NACE – Winter 2025 Salary Survey
• ZipRecruiter Survey (2025)
• MarketWatch (2025)
• Pew Research Center (2023)
• Brown & Brown Employee Benefits Market Trends report (2025)
• Procurement Tactics – Salary Negotiation Statistics (2025)
• SHRM (2025)
• Career Resources (Indeed, iHire, InboxDone, MailTracker, Neo, Fearless Salary Negotiation)

About Aurora University

Aurora University offers a wide range of flexible, career-focused online programs designed for working adults and lifelong learners. Options include Bachelor’s, Master’s, Doctoral, and Certificate programs in fields such as business, education, social work, healthcare, and public administration. With practitioner-based faculty and extensive student support services, AU provides an accessible and affordable path to advancing careers. Its mission is to help students adapt and thrive in today’s changing workforce.

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