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Do it. It’s not like they’ll decline your offer all together.
If you don’t you don’t get! Ask for 200k and settle in the middle: 180-185
What is your background? Assuming you are experienced, what level are they bringing you in at… want to be careful… companies have been making strong offers, if they offered you 160… chances are they did not leave a lot of room for negotiation.
You may be more able to negotiate on a signing bonus than salary… but I’d be more concerned that they tell you to go pound salt… that’s a 25% ask
I find that it’s much easier and much more effective to ask at the upper end of the salary range BEFORE the interview process begins. That way they know what sort of comp you’re looking for. I’d be very careful with asking for a $40,000 increase after an offer has already been made. If you go this route, be VERY delicate and diplomatic with how you word your ask. I’ve had offers yanked from me completely for even lighter asks
Most consulting firms have salary bands for each rank, other than 5-10k base movement, the only thing you can really negotiate is sign on. With a 160 TC I assume you’re looking at an associate or similar level not manager, so would reassess