Frank is a true Pro and a well respected contributor to his current organization. And he’s a pretty happy guy. He works close to home, gets a fair amount of vacation and a fair salary. He works 9 to 5, doesn’t stress out much, and gets to spend ample time with his family and friends.
One day Frank gets a call from an old friend with a job offer for 30K more and a title bump. It looks great on paper. A chance to make a name for himself at a bigger company with more vacation. Frank imagines all his family can do with the extra salary as well.
Yet… establishing yourself at a new place can mean longer hours and probably some weekend work. Frank decides to take a closer look and sees a huge downside. A daily commute to the city and required travel of about 25%.
Current Job – Sr. Manager of Awesomeness
The facts:
- Pay: $100,000
- Travel: 5%
- Commute: 20 minutes daily (10 mins, x2)
- Vacation: 3 weeks
- Average working hours per day (including extra hours on some nights and weekends): 8
- Average hours per day when travelling: 14
The math:
- 236 working days (365 days – 104 weekend – 10 holidays – 15 vacation)
– 224 days in office (1,792 hours at 8 hour days)
– 12 days on the road (168 hours at 14 hour days)
– 75 hours commuting (224 x 20 / 60)- Total hours: 2035
- Salary per hour: $49.14 (100,000 / 2035)
New Job – Director of Awesomeness
The facts
- Pay: $130,000
- Travel: 15%
- Commute: 120 minutes daily (60 mins, x2)
- Vacation: 4 weeks
- Average hours per day (including extra hours on some nights and weekends): 10
- Average hours per day when travelling: 14
The math:
- 231 working days (365 days – 104 weekend – 10 holidays – 20 vacation)
– 196 days in office (1,960 hours at 10 hour days)
– 35 days on the road (490 hours at 14 hour days)
– 392 hours commuting (196 x 120 / 60)- Total hours: 2842
- Salary per hour: $45.74
The math surprises him a bit. 807 more hours away from family. That’s 101 8 hour workdays. Taking into account all the time travelling, working, stressing, commuting, he may be making 30K more, but he’s spending 28.4% more time working than today. Per hour, he’s not insane thinking he is actually making a bit less (over $3 an hour less).
With the offer letter in hand, Frank tells his boss he’s considering it. His boss says, “I really value you and think you will have tremendous opportunities for growth soon. I can’t give you 30K, but I can offer you 10K and hope you’ll stay.”
Counter Offer:
- Pay: $110,000
- Total hours: 2035
- Salary per hour: $54
That small raise brings him to almost 10 dollars more per hour than the 130K job. Without any of the stress. If he gets his boss to bump his title as well, its looking better to stay.
Look – if Frank wanted to build his career he’d be silly not to take the new job. A higher salary means he can demand a higher salary than that from his next job. It’s all about what he values and what is best for him in the long run. At least by doing the math, he’s no longer blinded by the money to the true sacrifice he’d be making.
Editor’s note 2/4/24
In a post pandemic world, I don’t think these calculations are needed as frequently. If your new dream job wants you to move, or forces in office work than you might have to do this type of analysis. For what I do – its so highly negotiable. You can argue for more remote days. If the job is fully remote, you might even want to travel more. That said, I think the moral is the same. Money is not the only factor, and you should not underestimate the toll that daily damage to quality of life can have. The unhappiest years of my life were spent commuting to a job I didn’t like – you just have so much time to think about your unhappiness.