Career Advice for Job Seekers
How internships and co-ops influence starting salaries after graduation
Internships and co-ops can make a real difference in what you earn right out of school, but most students never hear the full story about why. Employers do not just reward experience because it looks good on a résumé. They reward it because it lowers their risk. When they see that you have already done similar work, even for a few months, they know you can contribute faster and with less hand-holding. That confidence often shows up in the offer they put in front of you.
When you dig into how hiring teams make these decisions, the picture gets even clearer. The people who spend their days evaluating early career talent consistently say that hands-on experience is one of the strongest signals a candidate can bring. It can even outweigh GPA. So, whether you are thinking about a summer internship or wondering if a co-op is worth pushing graduation back a bit, the evidence points in the same direction. Real experience pays off, and for many new grads it becomes one of the most reliable ways to boost starting income right from the jump.
- Internships Accelerate Trajectory Over Time
- Experience Reduces Risk and Increases Leverage
- Hands-On Practice Commands Premium Starting Pay
- Return Offers Establish Your Negotiating Floor
- Concrete Offers Transform Negotiation Conversations
- Practical Experience Functions as Income Multipliers
- Technical Skills Enable Immediate Client Contributions
- Real Experience Demonstrates Professional Readiness
- Relevant Work Helps Candidates Speak Confidently
- Exposure Matters More for Entry Opportunities
- Performance Influences Offers and Hiring Decisions
- Proven Capability Reduces Risk for Employers
- Results Create Proof and Build Leverage
- Job-Ready Skills Justify Higher Compensation Tiers
Internships Accelerate Trajectory Over Time
As a recruiter, I regularly see internships and co-ops pay off in future salary — just not always as quickly as candidates expect. You won’t command a higher salary starting out, at least not from what I’ve seen. But these programs very often put you on a better trajectory. You are coming in with a head start, entering the workforce already understanding professional expectations, and that’s huge on Day One. Managers notice, and that tends to translate into quicker promotions and steeper salary growth over time.
I worked with a candidate not long ago who went through this exact situation. They’d completed a co-op with a major sales firm and were disappointed when their first full-time offer came in at the same rate as peers without that experience. In fact, they were ready to pass until we had a conversation about the long game. I reminded them about the length of one’s career and the varying degrees of slope in growth curves, and they agreed to take the role.
Sure enough, about a year later, a leadership-track opening came up internally, and because of their earlier experience, they were first in line for it. Within 18 months, they were earning significantly more than those who had started at a slightly higher salary elsewhere.
It made a great case study to prove my point.
Experience Reduces Risk and Increases Leverage
Internships and co-ops often act as a “soft launch” into full-time work. I’ve noticed that graduates who complete paid internships walk into salary negotiations with way more leverage because companies see them as low-risk hires. They already understand how teams work, they know the software, and they’ve made mistakes under supervision, which is invaluable. Companies recognize that and tend to start them a few thousand pounds higher than peers without that experience.
I mentored one graduate who interned at a mid-sized finance firm for 6 months. When she came back after graduation, they didn’t start her at entry-level, but brought her in one pay grade higher because of her previous performance. That jump meant roughly £4,000 more per year!
Hands-On Practice Commands Premium Starting Pay
I believe internships can boost your starting salary by $5,000 to $15,000, because companies pay more for people who already know how to do the work.
Companies know that if you graduate without internship experience, they will spend months teaching you the basics. The difference is, when you have internships, you know how offices operate, how to use professional tools, and how to address real issues. That is experience that you can monetize.
Here’s how it makes a difference:
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Graduates with internship experience tend to have a starting salary bonus of 10-20% compared to classmates who have no internships.
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Graduates are even offered better pay when they intern at the company since they know the company and how to do the job.
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The more internships you have, the more your pay increases. Your second or third internship teaches you more skills that increase your value.
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Summer jobs are great, but internships in your exact field (like engineering internships for engineering majors) will have a greater impact on your pay.
My nephew Sarah and her friend Mike both have degrees in marketing. Sarah completed two internships where she gained hands-on experience in marketing, worked with clients, and learned how to advertise on social media. During the summers, Mike worked in a restaurant. Eventually, they both looked for marketing jobs. Sarah received job offers in the $55,000 range while Mike’s offers were $42,000. The reason for the $13,000 gap is that Sarah could immediately start contributing, while Mike would need several months of training.
Tech companies, for example, pay students $20-30 an hour for internships. Upon graduation and acceptance of full-time roles, they usually make $75,000 to $90,000. However, students who did not intern at these companies start at $60,000 to $70,000.
Consider the analogy of learning to drive. A person who has practiced for a year has more value than a person who simply read the manual. Companies value workers who have completed the job.
Return Offers Establish Your Negotiating Floor
The primary financial role of an internship certainly goes beyond just gaining experience. It serves as a powerful “negotiating anchor” that de-risks you as a candidate.
Most new graduates enter job negotiations with little leverage because they’re unproven, high-risk hires. Companies hope they’ll perform well but have no proven track record.
In contrast, an intern with a successful internship is a de-risked asset that the company has effectively test-driven. The internship’s biggest value for salary discussions is the “return offer,” which sets a floor for negotiations.
For example, imagine two students, Ben and Sadie, with the same degree.
Ben has no internship offer and applies to Company X, which offers a fixed $70,000 starting salary. With no competing offers or proof of superior skills, Ben must accept it. Sadie, however, completed a paid internship at Company Y, which extends a full-time return offer at $75,000.
When Sadie interviews at Company X and receives the standard $70,000 offer, she can leverage her $75,000 internship offer to negotiate for more. Company X, not wanting to lose a de-risked candidate, might even raise their offer, say to $78,000, securing Sadie at a higher salary than Ben.
Concrete Offers Transform Negotiation Conversations
When companies hire new graduates, their biggest fear is making a mistake. A new hire is a significant investment of time, training, and money, and an unproven candidate is a gamble. Internships and co-ops directly address this fear. They serve as a multi-month interview, demonstrating that you can handle professional responsibilities, collaborate within a team, and contribute to real projects. From a hiring manager’s perspective, a candidate with successful internship experience isn’t just a promising student with a high GPA; they are a de-risked asset. This perceived reduction in risk is the fundamental reason why that experience often translates into a stronger starting position, including salary.
However, the most direct way an internship impacts your starting salary isn’t just the experience you gain, but the leverage a return offer provides. Having a strong internship on your resume is one thing; having a concrete, full-time offer from that internship is another entirely. That offer becomes your negotiating floor. It transforms your job search from a theoretical exercise into a competitive situation. When you can walk into another company’s interview process and mention you have an existing offer, you immediately reframe the conversation. You’re no longer just a candidate asking for a job; you are a valued professional with a documented market price.
I once coached two students, both with similar skills and from the same program. One, let’s call her Sarah, had a great internship but didn’t get a return offer due to a company-wide hiring freeze. The other, Ben, secured a full-time offer from his internship for $80,000. When they both interviewed at their top-choice company, Sarah received the standard starting offer of $78,000. Ben, by transparently mentioning his existing $80k offer, was immediately offered $85,000. The company wasn’t necessarily valuing his skills more than Sarah’s; they were simply competing against a real number. Your value in a negotiation is often determined not just by what you can do, but by the options you’ve created for yourself.
Practical Experience Functions as Income Multipliers
Internships and co-op placements are often seen as stepping stones, but in reality, they can function as powerful levers that directly shape starting salaries for recent graduates. In a competitive job market where degrees are increasingly common, it’s hands-on experience that sets candidates apart. Internships don’t just give students a peek into industry — they signal to employers that you’re already part of it.
The influence begins with perception. A candidate who has completed a co-op in a relevant field arrives at the table with a tested understanding of workflows, client expectations, and even internal tools. Employers don’t have to guess about your potential — they can assess it based on your experience. This often shortens the perceived ramp-up time, which increases your value as a new hire. In some sectors like engineering, finance, and tech, students with paid co-op experience are not only preferred — they’re offered starting salaries up to 15-20% higher than peers without it.
Take the case of Karsen, a client who graduated from a business program in Toronto. During his third year, he completed a four-month internship with a mid-sized marketing agency. His internship was unpaid, but he treated it like a full-time role — building client pitch decks, joining strategy meetings, and even presenting in front of senior leadership. When graduation approached, he applied for full-time roles at several agencies, including that same one. Not only was he hired before convocation, but his offer came in at $9,000 more than the average for entry-level roles in his program. The hiring manager specifically cited his prior exposure to client work and familiarity with the agency’s tools as reasons for the higher offer.
A 2024 study by the National Association of Colleges and Employers (NACE) found that students who completed paid internships received starting salaries 20% higher than those who had no internships at all. Even unpaid internships had a positive impact when they aligned with the student’s career goals.
In short, internships and co-ops aren’t just resume fillers — they’re income multipliers. For students, this means choosing your internships wisely and treating them as professional auditions. For employers, it’s a chance to invest early in talent that pays dividends long after graduation day.
Technical Skills Enable Immediate Client Contributions
The combination of internships and co-ops provides candidates with a major advantage when applying for technical positions. Our organization has successfully onboarded junior developers who brought practical experience with .NET and React from their internship programs, which resulted in faster career progression. The practical experience candidates gain during internships enables them to start at higher salaries because they can begin working on client projects right away with minimal training needs.
Our company hired a junior developer who spent their co-op period developing internal applications using Angular and SQL Server. They started working on an admin dashboard for our healthcare client after joining our team as a full-time employee. We increased their compensation package beyond entry-level rates because their work performance demonstrated their worth.
Real Experience Demonstrates Professional Readiness
Internships and co-ops play a significant role in shaping graduates’ starting salaries in Ireland. Employers see them as proof of practical ability and professional readiness. Candidates who have already worked in real business settings tend to adapt faster and add value sooner, which often leads to stronger salary offers.
We’ve noticed that graduates with internship experience in areas like marketing, client services, or operations typically enter at higher pay levels than those without. One example involved a graduate who interned with a Dublin-based client, gaining hands-on experience in managing virtual office accounts and customer communications. When they joined a full-time role, they required minimal training and were immediately productive, which was reflected in their starting salary.
For students and job seekers, internships are not just stepping stones but strategic investments. Gaining relevant experience before graduation provides tangible proof of your capabilities and positions you for a smoother, more rewarding transition into the workforce.
Relevant Work Helps Candidates Speak Confidently
Internships don’t just fill your resume; they help you speak the employer’s language, and that’s what truly shifts the salary conversation.
Internships play a bigger role in starting salaries than most graduates realize. Employers don’t just see them as extra experience; they view them as early proof that a candidate can handle real responsibility. We consistently notice that graduates who completed relevant internships receive higher offers because they need less ramp-up time once hired.
One example that stands out is a recent marketing graduate we placed at a Dubai healthcare group. She had interned with a small clinic, managing their social media and patient campaigns. That hands-on exposure helped her speak confidently about ROI and campaign analytics during interviews, which impressed the hiring manager. She was offered a starting salary about 20% higher than other entry-level applicants with the same degree but no practical experience.
Exposure Matters More for Entry Opportunities
I don’t think internships or co-ops really determine your starting salary. They help you get the job, but not necessarily increase your offer. Having internship experience gives you an edge because it shows you’ve been exposed to a professional setting, you understand how things work, and you can probably ramp up faster than someone with zero experience. But salary still comes down to actual, full-time experience and the value you can deliver.
For example, we’ve interviewed two candidates for an entry-level role. One with several internships and one with a year of professional experience. And the one with the professional experience always gets the higher offer. Why? Because employers know there’s a big difference between student projects and owning deliverables in a full-time role.
So yes, internships are important, but more for getting in the door. They make you more competitive, especially if they’re relevant to the job you’re applying for. But when it comes to salary, it’s your proven experience, not your exposure, that determines the number on the offer letter.
Performance Influences Offers and Hiring Decisions
Internships are a great barometer to value a potential full employee. It also allows you to train and educate students ahead of time so they can be better prepared to join your firm full time. How well a college student performs, adapts and contributes during the internship, especially if you can get them multiple years, not only impacts what you would be willing to offer them and their starting position, but whether you may even want to hire them at all.
Proven Capability Reduces Risk for Employers
Internships and co-op experiences will impact the starting salaries of recent college graduates in several ways, as they provide proof to prospective employers that the graduate can perform in a working environment before being trained on the job. When someone has proven themselves capable of managing responsibilities, meeting deadlines, and successfully working with teams, it allows them to be seen by potential employers as less of a risk and more of an asset. Therefore, these graduates are offered higher salary options immediately upon graduation.
At my sports nutrition company, I was able to identify the value of hiring interns from previous CPG companies early in our internship program. Interns with this type of background were able to hit the ground running and understand production timelines, supplier communications, and retail standards very quickly. Since they required minimal direction, I was able to compensate them better than most entry-level hires. The direct application of real-world work experience through an internship or co-op opportunity clearly builds confidence in the individual, as well as increases salary expectations for new graduates.
Results Create Proof and Build Leverage
Internships are the most underappreciated means of early career leverage. They don’t simply build experience; they create proof. Employers are not guessing at your potential when they have seen you perform in the workforce, and that proof translates to better salaries.
From experience, candidates with strong internship experiences, where they produced and helped generate outcomes, not just shadowed teams, often enter 10-20% higher than those without. It is not about ticking a box; it is about showing that you can shorten the ramp-up process and create value on day one.
For example, I’ve worked with one of my grads who interned with a family office tech firm and helped them automate their reporting workflow. That alone was proof that she was not only initiative-based, but that she created operational impact. When she entered the job marketplace, she was not trying to negotiate as a “new grad”; she was negotiating as a professional with actual, relevant, and proven results.
Internships don’t simply open a door; they position you much better at the checkpoint for compensation that you actually deserve.
Job-Ready Skills Justify Higher Compensation Tiers
From my experience, internships and co-ops can have a significant influence on starting salaries, sometimes more than GPA or coursework alone. They provide evidence of practical, job-ready skills and reduce the perceived “ramp-up time” for employers. When a candidate already understands real workflows, collaboration tools, and how to deliver results in a business setting, companies are often willing to start them at a higher compensation tier.
I’ve seen this firsthand. We once hired an engineering intern who had completed two co-ops at small SaaS startups. She came in already comfortable with agile sprints, debugging production issues, and communicating with cross-functional teams. When we extended a full-time offer, her salary was about 12% higher than our standard entry level, because she wasn’t just “new talent”; she was experienced talent in training.
Internships also shape career trajectory, not just pay. They often open doors to mentorship, references, and clarity about what kind of environment you thrive in. So, beyond the paycheck, they’re one of the most direct ways to accelerate both growth and opportunity right after graduation.
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