Employers Fear They Can’t Meet Your Salary Expectations—Here’s What They’re Offering Instead

In today’s job market, amid persistent inflation, job seekers want more compensation. In many cases, though, employers simply can’t give more. In fact, nearly three-quarters of employers are concerned about meeting candidates’ salary expectations, according to Robert Half’s 2026 Salary Guide. To fill the gap, many are coming to the negotiation table with a focus on everything else in the compensation package.

Why Employers Are Reluctant to Offer Higher Salaries

Why can’t many employers meet candidates’ requests for more money? Many are facing rapidly increasing operating costs and thinning margins, along with global trade uncertainty. Plus there’s wage compression to consider: offering a higher rate to new talent could lead veteran employees to realize their own pay doesn’t quite add up.

Then there’s the math. Increasing a base salary is a multiplier, not a one-time cost. An employer who spends an extra $10,000 on a starting salary this year is, in effect, spending an extra $10,000 every year going forward, as long as the new hire works there.

Here’s what companies are increasingly offering instead of higher salaries.

Your Compensation Beyond Your Base Salary

The simple answer: perks. About 50% of hiring managers expect added benefits to be one of the most effective recruiting strategies in the coming years, according to Robert Half. And employers are getting creative.

Flexibility seems to be the hottest perk. The pandemic opened up the world of remote work—and many workers don’t want to lose it. So candidates are asking for everything from remote or hybrid positions to compressed workweeks to flexible scheduling. And this isn’t just about comfort and convenience: there’s real savings to be gained here, from the cost of lunches out to gas and vehicle maintenance.

Employers have used bonuses and profit sharing for decades to great effect, dangling pieces of the compensation pie that employers don’t have to account for long-term. From an employee standpoint, though, it can be risky. If the company does well, you do well. If not, you’re left chasing your bonus.

Equity and stock options are a similar lure. There’s tons of potential upside, but what happens if you leave before the equity vests? Or if the company never takes off? 

Expect wellness benefits to expand, as well. When asked what would make them consider leaving their jobs for new roles, despite no increase in their base salary, over half (51%) of employees cited work-life balance perks, 42% said access to retirement planning, and 39% said improved health insurance and wellness benefits.

Student loan pay-downs, tuition reimbursement, continuing education, and longer parental leave policies are becoming negotiating chips for some employers, as well.

Perks Shouldn’t Necessarily Be Your First Choice

Though it may seem tempting to accept several perks instead of negotiating your salary, it’s important to remember that your base salary is fundamental to financial well-being.

For example, 401(k) employer matches are typically a percent of your base pay. Mortgage lenders look at your monthly income when determining how much housing you can afford. And your salary is a multiplier on itself: when you negotiate annual raises, it will be based on that number. Your salary might also impact future job offers. It will affect how much you can spend, invest, and save.

That doesn’t mean you should turn down help covering tuition or a flexible work arrangement that saves you hundreds or even thousands on gas every year. It just means you should negotiate in the right order: advocate for the highest base salary possible, then try to snag as many perks as you can