Guide
How to negotiate a severance agreement
Most severance letters are an opening position, not a final one. Here is a calm, practical way to read the offer, decide what matters, and counter in writing.
What is usually negotiable
Weeks of pay
The number in the letter is an opening position more often than people expect. Anchor on a defensible number, not a feeling: years of service, the role you are being asked to hand over, and what similar exits looked like.
Health coverage
COBRA or marketplace bridge is one of the most commonly granted additions. Ask for a fixed number of months, family coverage if you have dependents, and the exact date coverage ends so there is no gap.
The review window
Ask how long you have and whether it can be extended. In the US, age-40-and-over release agreements generally come with a longer review period and a short revocation period; confirm the dates in writing.
Non-compete and non-solicit
A broad restriction caps your next role and has real dollar value. Ask to waive it, or to narrow it in time, geography, and scope. If it stays, ask to be paid for the restricted months.
Equity and vesting
Unvested equity is often the largest number on the table. Ask for acceleration, a pro-rated tranche, or a later separation date that crosses the next vest or cliff.
PTO and final pay
Get accrued vacation/PTO payout confirmed in writing, and check who pays for the final expense report and any owed commission.
Reference and rehire status
Ask for an agreed neutral reference in writing, and for the person who will respond by name. It costs the employer nothing and removes a recurring source of anxiety.
Outplacement support
Resume help, coaching, or a paid job-search tool for 90 days is a low-cost concession employers grant readily when a cash ask is refused.
A five-step counter
- 1Read the whole packet once, without decidingNote every date, every dollar amount, and every clause you are asked to waive. Highlight the sign-by date first.
- 2Separate what you must have from what you can tradeCash, coverage, and timing are usually the real priorities. A narrowed non-compete can be worth more than one extra week of pay.
- 3Write, don't call, for the first passA short email creates a record and gives the other side room to say yes without losing face. Keep it under one screen.
- 4Make one clear, grouped askThree to five linked requests reads as a negotiation. Twelve scattered requests reads as an attempt to reopen everything.
- 5Ask for the revised agreement in writingNothing is agreed until it is in the document you sign. Confirm the new sign-by date in the same email.
Common questions
Is severance negotiable?
Often, yes — especially coverage, timing, equity treatment, and reference language. The letter is usually an opening offer, not a final one. What is realistic varies by employer size, policy, and how the decision was made.
Can I ask for more time to review a severance agreement?
Ask in writing and request a specific new date. In the US, employees aged 40 and over are generally given at least 21 days to review a release and a short period to revoke after signing, but confirm what applies to you.
What if they say the number is non-negotiable?
Ask which parts are fixed. Cash is sometimes capped by a policy while coverage, outplacement, reference language, and equity treatment sit in a different budget. Ask for the non-cash items in writing.
Should I hire a lawyer?
For a general release, a non-compete, or anything involving equity worth more than a few weeks of pay, a short paid consultation is usually worth it. WUUUH is a drafting and preparation tool, not a law firm and not legal advice.
Do I have to sign to get paid?
Severance is usually conditional on signing a release, while final wages and accrued PTO may be owed regardless. Ask which payments are conditional and which are owed, and check your local rules.
Turn this into a written counter
Paste the severance section into the copilot. It reads the terms, flags the sign-by deadline, ranks the asks, and drafts a counter letter you can edit and send.
Related: Severance basics · First week after a layoff
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