How to set a fair salary for a role in Mumbai

On this page

  1. Start with the role, not a number
  2. What to weigh before you decide
  3. Use what candidates expect, without guessing
  4. Turn it into a clear range
  5. How to write pay in the job description and on the call
  6. Common pay mistakes

Start here

Start with the role, not a number

Fair pay comes from a clear job. Before you think of any amount, write down what the person will do, how often, and how much they must handle alone. A vague role gets a vague salary, and the wrong hire.

This article does not give figures. Pay in Mumbai changes by role, area and year, and a number printed here would be out of date soon. Instead it shows how to decide your own.

Inputs

What to weigh before you decide

Go through these five, and write a line for each.

  • Role and duties

    What they own, what they only support, and how much judgement the job needs.

  • Experience needed

    What you really need on day one, and what you can train.

  • Hours and days

    Long days, late evenings, Saturdays and month-end peaks all count.

  • Commute

    A long, tiring journey is a real cost to the person, and it affects who stays.

  • What you can sustain

    Pay that you can keep up in a slow month, not only a good one.

Be honest about the last one. A salary you cannot keep paying leads to a hard conversation later, which is worse for both sides than a lower offer now.

Reality check

Use what candidates expect, without guessing

You learn the going rate by listening. Every first call is a free survey. When you ask candidates what they expect, write down each answer next to their experience and area.

After five or six calls, you will see a pattern for your role. Compare it with your own inputs. If most candidates expect more than you planned, either your range, your requirements or your timeline has to change. See first-call interview questions.

  • Ask about expected pay on every first call, and note the answer.
  • Note the person's experience and area beside each answer.
  • Ask people you trust in similar businesses, without sharing private details.
  • Review your range again after your first batch of calls.

Decide

Turn it into a clear range

  1. 1

    Set your ceiling

    The most you can pay for a strong candidate, month after month.

  2. 2

    Set your floor

    The lowest you would offer for someone who meets the basics.

  3. 3

    Know where you stand

    Decide in advance when a person earns the upper end: more experience, more duties or more flexibility on hours.

Keep the range tight enough to mean something. Write down what moves a person up inside it, so you can explain it simply. People accept a clear reason far more easily than a vague no.

The job description

How to write pay in the job description and on the call

State pay plainly and early. It saves everyone a call. If you choose not to publish the range, say that pay depends on experience, and share the range at the start of the first call. More in how to write a job description.

Pay line
Monthly pay: [your range], depending on experience and skills.
Hours
[Days and hours]. Extra time at month-end is [paid / compensated as you decide].
Other
[Any benefits you offer, for example a travel allowance, if any.]
On the call
Our range for this role is [your range]. Does that work for you?

This is an example only. Fill the brackets with what you can truly offer. If you are unsure what to include in the offer, see offer letter basics and check with a professional.

Avoid these

Common pay mistakes

Mistake

Better

  • Mistake

    Hiding the pay until the offer

    You lose good candidates late in the process.

    Better

    Share your range on the first call.

  • Mistake

    Paying more than you can sustain

    Better

    Set a ceiling you can keep in a slow month.

  • Mistake

    A huge range

    Everyone assumes the top.

    Better

    A tight range with a clear reason for the upper end.

  • Mistake

    Ignoring commute and hours

    Better

    Count them as part of the real cost to the person.

  • Mistake

    Copying only the last salary

    Better

    Base the offer on the role and your budget.

FAQ

Common questions

Should I put the salary in the job description?

A clear range helps, because it saves both sides a wasted call. If you prefer not to publish it, say that pay depends on experience and state your range on the first call.

How wide should the range be?

Narrow enough to be useful and wide enough to cover different experience. A range where the top is far above the bottom will confuse people, and they will all assume the top.

What if a good candidate expects more than my range?

Be honest about what you can sustain. You can change the role, offer more training or growth, or look at other benefits. Do not stretch beyond what you can pay every month.

Should I ask what they earn now?

Ask what they expect, and let them say what they earn if they wish. Your offer should be based on the role and what you can sustain, not only on their last pay. If you are unsure what you may ask, check with a professional.

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