Career crossroads.......

[PhoenixOrion]

I just had a long conversation on the phone with my sister.

She has two job offers: $170K/year live and work in Manhattan versus $98K/yr live and work in Raleigh.

She has zero debt and a fairly modest lifestyle so I said to go for the NY job since its a fun city and better to experience living there while she can actually afford it. Although for the long-term, its financially wise to go to NC and she can actually buy a house so she can actually start putting equity into something but still have plenty of left-over to go to savings and for her fun stuff like shopping.

Any other angles?

 

[vi edit]

Break it down to $ per hour.

How many hours would she realistically be working in the NY job vs. the NC one? It's almost double the salary, but if your are working 70 hour weeks you really aren't making any more per hour.

 

[Aharami]

170K in NYC is a damn good choice. Plenty of money to save a decent chunk. Even better if she lives in one of the outer boroughs (less rent). What does she do?

 

[Quasmo]

That's almost double the difference. I'd go with the NYC job.

 

[PhoenixOrion]

It would be typical 45-55 hr/week. She's in international business/finance.

If she takes NY, she definitely want to live in Manhattan and experience the entire life living and working.
She watches Sex and the City, go figure.

 

[PhoenixOrion]

Originally posted by: Quasmo
That's almost double the difference. I'd go with the NYC job.

That was my first instincts when she told me the hard numbers.
With her not having any kind of financial obligations, for example, she just paid her last student loans early this year, she can easily have a good life even if she goes for an expensive apartment rent.

 

[compuwiz1]

Does she really need to even think about this? Take the 170k!

 

[PhoenixOrion]

She's looking at the bottomline take-home pay once the cost of living is taken into account, which includes the high rent in NY versus low mortgage in NC.

 

[TallBill]

Take the 170K and live like shes making 60K.

 

[trmiv]

Try this

 

[mugs]

If I were from NC, I'd probably take the Raleigh job. I live near NYC and I have no interest in ever living there or working there. They couldn't pay me enough to live in a shoebox or endure the long commute.

 

[elmro]

Hands down NYC.

If she is willing to live relatively modestly - She will be able to rent in NYC, party, save, and buy a house with 50% down in Raleigh in 5 years.

Think of it this way: If you are only able to save 10% (trust me she'll be able to save way more than that) of your paycheck after rent/partying, thats 18K cash in the bank. That's a 100K in 5 years - what is that, 50% equity in an average Raleigh home?

No brainer.

 

[spidey07]

This is a cost of living question, they seem to be pretty close money wise. Being single and in NY the 170 will be eaten up really fast in taxes.

But, the NYC might get more experience/contacts so that is a big plus in that column.

 

[kevnich2]

You really can't go by just pay here. 170k in downtown Manhattan is really not going to get you too far. If she lives a modest lifestyle, I don't think she'd enjoy it. She'd be taking public transportation more than likely, having to endure a fairly long commute. Unless she's into the partying scene, I'd say go for the NC, better long-term and 98k in NC can actually get you a lot more. Just my personal opinion.

 

[PhoenixOrion]

Thanks. Yep, she's done the BestPlaces and also the Homefair cost calculations.

Another angle that I gave her is this: You want to invest time in the company. Which company and which location do you see yourself enjoying and conducive to your current or projected lifestyle in 10 years, 20 years?

 

[xospec1alk]

even at 98K you can live reasonably well in nyc, at 170K you're pretty much set.

i make near 98K (like 10k less) and i live in the city (albeit w/ roommates), i have a car (that i'm still paying off) and i party it up every weekend.

 

[kevnich2]

Originally posted by: spidey07
This is a cost of living question, they seem to be pretty close money wise. Being single and in NY the 170 will be eaten up really fast in taxes.

But, the NYC might get more experience/contacts so that is a big plus in that column.

I'd agree with what spidey said. 170k sounds like a ton of money but since it's manhattan, cost of living is very expensive there. Not saying she'll be broke but where I'm from, 170k, I could be living a very very relaxed lifestyle, buy a house with cash in 5 years without a problem. It all depends on what she's interested in. I'm not a party person and wouldn't like commuting an hour to work in a city that large every day. I did that for about 9 months and then I found another job, couldn't stand an hour long commute.

 

[KK]

You couldn't pay me enough to live in NYC or in any city, well I guess you could but it'd be alot more than 170k. The city isn't no place to raise a family.

 

[KnickNut3]

The pay is about equivalent when you include cost of living (although the same % saved will be more $ when working in NYC if she ever wants to take that savings elsewhere).

So it really comes down to which firm she likes better and what city she'll be happier in. I spent the last 4 years in Durham and loved it. I just moved to NYC, and while the theater and culture are fun and all, I'll take the warmer weather, more open space, golf, etc. of NC even at lower pay. Only reason I'm here is a job opportunity I can't get anywhere else.

 

[spidey07]

Originally posted by: KnickNut3
The pay is about equivalent when you include cost of living (although the same % saved will be more $ when working in NYC if she ever wants to take that savings elsewhere).

So it really comes down to which firm she likes better and what city she'll be happier in. I spent the last 4 years in Durham and loved it. I just moved to NYC, and while the theater and culture are fun and all, I'll take the warmer weather, more open space, golf, etc. of NC even at lower pay. Only reason I'm here is a job opportunity I can't get anywhere else.

That's what I'm reading. The cost of living should be pretty close with this salary.

So the money aspect is even. Make the decision based on quality of life (NC wins) vs career opportunities (NYC).

 

[elmro]

Originally posted by: xospec1alk
even at 98K you can live reasonably well in nyc, at 170K you're pretty much set.

i make near 98K (like 10k less) and i live in the city (albeit w/ roommates), i have a car (that i'm still paying off) and i party it up every weekend.

I agree totally - I make the same as you, live in Brooklyn 10 minutes from the East side, and can be anywhere worthwhile in Manhattan in less than 40 minutes. I am both contributing to my 401k and also saving a ton, and yes I go out a lot (in Manhattan).

 

[PhoenixOrion]

Originally posted by: mugs
If I were from NC, I'd probably take the Raleigh job. I live near NYC and I have no interest in ever living there or working there. They couldn't pay me enough to live in a shoebox or endure the long commute.

She's coming from California.

I guess there's an ulterior motive too that I want a sibling in Manhattan.........so I have a place to stay for vacation

 

[Juno]

if i were your sister, i would take the job in NYC and live in hoboken, nj.

 

[PhoenixOrion]

what's up with hoboken? i've heard differing opinions.

 

[jman19]

Originally posted by: PhoenixOrion
It would be typical 45-55 hr/week. She's in international business/finance.

If she takes NY, she definitely want to live in Manhattan and experience the entire life living and working.
She watches Sex and the City, go figure.

That's not bad pay for the hours at all! What exactly does she do, and how old is she? (Just curious, I'm in finance...)