This module is decidedly not just for women.

All of us can learn how to be better prepared negotiation, how to be

soft in style, and hard in substance, and how to aim high without crashing.

So let me now turn things over to Linda.

As a starting place, how much more do you get,

dollars and cents, when you negotiate?

>> So, this is $627,000.

Would you like to have that much extra when you retire?

You might be thinking, well, what would I have to do to get that extra $627,000?

And you might be thinking it was either illegal or dangerous.

Well, actually it's none of those.

What you would have to do is negotiate.

So let's see how this would work.

Okay, take these two people graduating from college today at age 22,

and let's say that they both get job offers for $40,000.

The green person says, $40,000, that's great, I'll take it.

But the blue person decides to negotiate, and that person gets the offer raised from

$40,000 to $44,000, so you can see that at 22 the gap in their salaries is $4,000.

So let's take these two people as they go through their careers until they retire

at 65.

And let's assume that they each get 3% raises every year.

Well, by the time they reach 65 their gap in their salaries is over $14,000,

and that's because, of course, a 3% raise on a base of $44,000 is

greater than a 3% raise on a base of $40,000.

So the gap widens in their salaries over time.

Now, if we think about how much more money the blue person made over the green

person, we can think about how much extra that person would have when they retire.

So the first year, the blue person has $4,000 more, and

if that blue person took that money and put it in a savings account.

And every year that person put the extra money they earned by negotiating that one

time in that account.

By the time they reach 65 that person would have $627,354 in that account.

So you can think about it this way,

that that amount of money is the return on a one time negotiation.

So let's look at another example.

Think about two people who are just graduating with a Masters degree at

age 27.

And let's say that they're both offered the same salary, which is $70,000.

Again the blue person decides to negotiate and

gets that offer raised from 70 to $77,000.

But the green person just decides to take that offer.

So the gap their first year at age 27 is $7,000 in their salary.

Again let's do the same exercise.

They each get 3% raises until they retire at 65.

Now the gap in their salaries is over $21,000 between