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Benefits Negotiation Checklist

Beyond salary: negotiate comprehensive benefits packages. Learn what to ask for and how to maximize your total compensation in Nigeria.

Compensation Advisors
25 November 2025
8 min read
1,540 views
#salary#negotiation#benefits#compensation

Benefits Negotiation Checklist

Salary is just one part of compensation. Use this checklist to negotiate a comprehensive benefits package in Nigeria.

Common Benefits in Nigerian Companies

Financial Benefits

  • Housing Allowance: Typical: 20-30% of base salary (negotiate higher in Lagos/Abuja)
  • Transportation Allowance: ₦30,000 - ₦100,000/month or company transport
  • Meal/Lunch Allowance: ₦20,000 - ₦50,000/month
  • 13th Month Salary: Extra month's pay at year-end (common in banking/oil)
  • Performance Bonus: 10-30% of annual salary based on targets
  • Signing Bonus: One-time payment upon joining (for senior roles)
  • Relocation Assistance: If moving to Lagos/Abuja for the role

Health & Insurance

  • Health Insurance (HMO): Coverage for you + dependents (spouse, children)
  • Dental Insurance: Often separate from medical
  • Vision/Optical Insurance: Coverage for eye exams and glasses
  • Life Insurance: Typically 2-3x annual salary
  • Annual Medical Checkup: Paid by company

Retirement & Savings

  • Pension Contribution: Statutory 8% (employer), negotiate additional voluntary contributions
  • Gratuity: Lump sum upon retirement (common in civil service)
  • Staff Savings Scheme: Company matches your monthly savings

Time Off & Flexibility

  • Annual Leave: Statutory minimum 6 working days (negotiate 15-25 days)
  • Sick Leave: Paid days off for illness
  • Maternity Leave: Statutory 12 weeks (negotiate more)
  • Paternity Leave: Not statutory in Nigeria, but increasingly common (3-7 days)
  • Study Leave: Time off for professional exams/certifications
  • Remote Work Options: 1-2 days/week work from home
  • Flexible Hours: Adjust start/end times

Professional Development

  • Training Budget: ₦200,000 - ₦500,000/year for courses and conferences
  • Certification Sponsorship: Company pays for professional certifications (ACCA, CFA, PMP, etc.)
  • Conference Attendance: Annual industry conferences
  • Tuition Reimbursement: For advanced degrees (Master's, MBA)
  • Mentorship Program: Formal career development support

Work Environment & Perks

  • Company Car: Or car allowance (common for senior roles)
  • Fuel Allowance: If using personal vehicle for work
  • Company Phone/Laptop: Work devices provided
  • Internet Allowance: ₦10,000 - ₦30,000/month for remote workers
  • Gym Membership: Company-sponsored fitness
  • Staff Discounts: On company products/services
  • Subsidized Meals: Free or discounted cafeteria

How to Negotiate Benefits

Step 1: Prioritize Your Needs

Rank benefits by importance to you. You can't negotiate everything—focus on your top 3-5.

Step 2: Research Industry Standards

Know what's typical for your industry, role level, and company size in Nigeria.

Step 3: Wait for the Right Time

Negotiate benefits AFTER receiving the job offer, not during interviews.

Step 4: Frame as Win-Win

Example: "I'm excited about joining your team. Could we discuss the possibility of remote work one day per week? I've found this increases my productivity and would allow me to deliver even better results."

Step 5: Get Everything in Writing

Ensure all agreed benefits are in your employment contract or offer letter.

Negotiation Scripts

Housing Allowance:

"Thank you for the offer. Based on the cost of living in Lagos, could we discuss increasing the housing allowance to ₦150,000/month to align with market rates for this role?"

Remote Work:

"I'm very excited about this opportunity. Would there be flexibility to work remotely 1-2 days per week? I've found this arrangement boosts my productivity while maintaining strong collaboration with the team."

Professional Development:

"I noticed professional development wasn't mentioned in the offer. I'm committed to continuous learning and would like to discuss a training budget or sponsorship for industry certifications."

Additional Leave:

"I appreciate the offer. Given my 7 years of experience, would it be possible to increase annual leave from 15 to 20 days?"

When Salary is Non-Negotiable

If the company can't budge on salary, focus on benefits:

  • "I understand the salary is fixed. Could we explore additional benefits like [remote work/training budget/extra leave] instead?"
  • Negotiate a 6-month performance review with potential for salary increase
  • Ask for a higher title (can lead to higher salary in next role)

Red Flags to Watch For

  • No written employment contract
  • Vague promises ("We'll discuss benefits later")
  • Pension contributions below statutory 8%
  • No clear leave policy
  • Benefits "subject to change without notice"

Total Compensation Calculator

Add up all components to understand your true compensation:

Base Salary:               ₦________/month x 12 = ₦________
Housing Allowance:         ₦________/month x 12 = ₦________
Transportation:            ₦________/month x 12 = ₦________
Meal Allowance:            ₦________/month x 12 = ₦________
13th Month:                                       ₦________
Performance Bonus:                                ₦________
Health Insurance Value:                           ₦________
Pension (Employer):        8% of base             ₦________
Other Benefits:                                   ₦________
────────────────────────────────────────────────────────
TOTAL ANNUAL COMPENSATION:                        ₦________

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