Huge paycut :(

forfor

Senior member
Jul 7, 2006
390
0
0
So I have been working a short term consultant (STC) at a very large, extremely prestigous company for the past 6 months. You can't work as a STC for more than 150 days in a fiscal year so they offered me a fulltime position. Well, I was getting paid $24/hour net as a consultant. The pay is not great here, but the name on your resume will open a thousand doors. Anyways, I knew my salary would be lower than what I earn now if I were offered a full time position, probably around $35K (net) or so since they'll then be paying my insurance, co-pay my commute, have annual leave, etc. but I was shocked to every single bone of mine when they offered only $29K (net) :( This is very low. I don't know what to do... as great as it is to be working for this company, the pay just doesn't do it for me... I have always believed in not letting finances affect my happiness but this is just too low. Most people at this company are 35+, only about 20% of the workforce is under 30, and only around 0.5% under 25. I don't know what to do... I have made good contacts here, and maybe I can go work somewhere else for a few years and come back as I am only 23, but what do you all think? Apparently my salary offer is determined by our corporate operations manual. They have a scale where they use your educational/professional background and depending on your advanced degrees + number of years working, they offer you what it says in the manual...

So anyways, I am sorry for the rant but I was making about $3400 net per month as a consultant and will be making $2400 now... if I accept the offer.

:frown:
 

AgaBoogaBoo

Lifer
Feb 16, 2003
26,096
1
0
Maybe there's room for negotiation? How old are you and want kind of experience do you have? Is it maybe worth it later? Could you take this position and begin sending your resume to other companies?
 

forfor

Senior member
Jul 7, 2006
390
0
0
Originally posted by: AgaBoogaBoo
Maybe there's room for negotiation? How old are you and want kind of experience do you have? Is it maybe worth it later? Could you take this position and begin sending your resume to other companies?
Well the Operations manual states the range to be from 27,600 to 31,400 and they offered me a little below the medionese.

I am 23 years old, have been working for the past 1.5 years, mostly financial consulting & operations analyst. It wasn't my intention to get my pension from this place but I was hoping to work here for 3 years or so and apply to grad school afterwards as it will be an enormously impressive reference on my application. As I said, money isn't everything to me but damn its gonna be tough trying to live with this salary...
 

forfor

Senior member
Jul 7, 2006
390
0
0
Originally posted by: postmortemIA
do you have college degree?
Yes, actually a top 20 college according to US News. Double majored too, in Finance and Management.
 

postmortemIA

Diamond Member
Jul 11, 2006
7,721
40
91
Originally posted by: forfor
Originally posted by: postmortemIA
do you have college degree?
Yes, actually a top 20 college according to US News. Double majored too, in Finance and Management.
Then anything less than $40K is insult.
 

Rumpltzer

Diamond Member
Jun 7, 2003
4,815
33
91
I agree with a few others here who suggest taking the job and looking elsewhere.

You've said yourself that even now the pay is not great, but the company's name on your resume will open a thousand doors. Walk that talk.
 

kranky

Elite Member
Oct 9, 1999
21,000
111
106
First thing you have to do is add up the value of all the benefits you'll get as a full-time employee. Your health insurance alone is probably worth $800 a month if it's good coverage. And factor in the savings from not having to pay self-employement taxes.

The kicker could be that you value the benefits less than what it costs the company. But from the company's point of view, they could end up spending more to make you full-time even if you value the benefits less than the actual cost to the company.

You might only be looking at the $1000/month net cash in your check, when in reality it's a net plus for you once you add everything up.

But if it turns out that you really are going to have an actual loss, you can always try to negotiate. "Sir, I would very much enjoy joining XYZ company full-time but in reality I will be going backwards financially. I'm sure you understand how difficult that would be. Is there any way to work out an offer which would keep me at at least a breakeven point?"

You also need to figure out what the potential is down the road. You seem to think it's pretty good, so even if you have to take a small temporary setback, it could be well worth it in the long run career-wise.
 

puffff

Platinum Member
Jun 25, 2004
2,374
0
0
Originally posted by: SSSnail
It's always easier to find a job while you're working. ;)
This is true. If you've got no other immediate offers, take the job and immediately begin looking elsewhere.
 

FoBoT

No Lifer
Apr 30, 2001
63,089
12
76
fobot.com
Originally posted by: Rage187
you went to college and make less than $50,000???
he lives in minnesota, cost of living should be fairly decent there

and he is only 23 years old, i assume single/no dependants
 

forfor

Senior member
Jul 7, 2006
390
0
0
Originally posted by: Rage187
you went to college and make less than $50,000???
well, that's the problem, 98% of the people here have an advanced degree, like a masters, MBA, or Ph.D ... you are not really worth much here if you just have a bachelors (or two like me) degree.

why do bad news come back to back all the time? :-\ broke up with my girlfriend of 4 years 2 weeks ago and had a car accident on last friday... and now this...
 

rchiu

Diamond Member
Jun 8, 2002
3,846
0
0
Originally posted by: forfor
So I have been working a short term consultant (STC) at a very large, extremely prestigous company for the past 6 months. You can't work as a STC for more than 150 days in a fiscal year so they offered me a fulltime position. Well, I was getting paid $24/hour net as a consultant. The pay is not great here, but the name on your resume will open a thousand doors. Anyways, I knew my salary would be lower than what I earn now if I were offered a full time position, probably around $35K (net) or so since they'll then be paying my insurance, co-pay my commute, have annual leave, etc. but I was shocked to every single bone of mine when they offered only $29K (net) :( This is very low. I don't know what to do... as great as it is to be working for this company, the pay just doesn't do it for me... I have always believed in not letting finances affect my happiness but this is just too low. Most people at this company are 35+, only about 20% of the workforce is under 30, and only around 0.5% under 25. I don't know what to do... I have made good contacts here, and maybe I can go work somewhere else for a few years and come back as I am only 23, but what do you all think? Apparently my salary offer is determined by our corporate operations manual. They have a scale where they use your educational/professional background and depending on your advanced degrees + number of years working, they offer you what it says in the manual...

So anyways, I am sorry for the rant but I was making about $3400 net per month as a consultant and will be making $2400 now... if I accept the offer.

:frown:
First, what other options do you have? Can you afford not having a job while searching for a different job?
Second, go to Hotjobs Salary.com and see how much other people are getting in your job title and area. Maybe you can negotiate based on that. But still I find negotiation easier when you have other options.

If you don't have other options, never hurts to accept the offer and search for other job while you work for this company. Like you said, if this is a prestigeous company, the very least you can make your resume look better.
 

Leejai

Golden Member
Jul 22, 2001
1,006
0
0
Age doesn't matter, it's about experience and market value. (Age does play a factor, though it's not suppose to be looked at.

Anyways, you're only as good as your options. Right now you've one option, so take it and then begin to create more options for yourself (aka look elsewhere). By doing so, you increase your market value because i can't imagine it's too hard to find higher pay. Maybe you're looking at the wrong positions?

In any case, increase your options and you'll see that number go up as well. Also, check http://www.salary.com to find your range. This way you'll know on average your negotiating power.
 

forfor

Senior member
Jul 7, 2006
390
0
0
Originally posted by: FoBoT
Originally posted by: Rage187
you went to college and make less than $50,000???
he lives in minnesota, cost of living should be fairly decent there

and he is only 23 years old, i assume single/no dependants
Sorry my profile was outdated. I live in McLean, VA and its extremely expensive here.
 

FoBoT

No Lifer
Apr 30, 2001
63,089
12
76
fobot.com
NOVA ?!?!

for that $$$ ? !??!?!

wouldn't you have to live in a cardboard box behind the dumpster at Arby's to live on $31K ?!!?!!!!!!!!!?!?!!!!!!!111111111111111oneoneoneone
 

Paddington

Senior member
Jun 26, 2006
538
0
0
you went to college and make less than $50,000???
I graduated from Cornell, and I'd say most of my class - who got jobs - made less than that when they graduated.

There was a desperate craze to get finance jobs on Wall Street. Thousands of people were applying for maybe 20-30 positions altogether. This included virtually all of the computer science/engineering guys since the tech industry had collapsed. Those handful of Wall Street jobs were the only good paying ones out of college.

All the premeds who didn't make it got stuck working as lab assistants/researchers for horrendous pay. English majors get crap jobs as writers, rewriting press releases...

To be sure that you're going to get a good paying job these days you almost have to go to graduate school. A college diploma does nothing.
 

forfor

Senior member
Jul 7, 2006
390
0
0
Originally posted by: kranky
First thing you have to do is add up the value of all the benefits you'll get as a full-time employee. Your health insurance alone is probably worth $800 a month if it's good coverage. And factor in the savings from not having to pay self-employement taxes.
Insurance runs that much? I am paying $220/mo through Aetna for medical + dental. I also don't pay any taxes in the U.S. due to a trade agreement between the U.S. and my home country.

You also need to figure out what the potential is down the road. You seem to think it's pretty good, so even if you have to take a small temporary setback, it could be well worth it in the long run career-wise.
Thank you for your advice. This is my mentality at the moment, posted here to reassure myself... again, thank you and all the others.
 

Rage187

Lifer
Dec 30, 2000
14,276
4
81
Originally posted by: forfor
Originally posted by: Rage187
you went to college and make less than $50,000???
well, that's the problem, 98% of the people here have an advanced degree, like a masters, MBA, or Ph.D ... you are not really worth much here if you just have a bachelors (or two like me) degree.

why do bad news come back to back all the time? :-\ broke up with my girlfriend of 4 years 2 weeks ago and had a car accident on last friday... and now this...

I haven't gone to college and make more and live in the south. If I was armed with a degree, man the money I could make.

Don't sell yourself short.
 

Dunbar

Platinum Member
Feb 19, 2001
2,041
0
0
I would find out how good the oppurtunities to advance are, and what the associated pay raises are. Depending on the cost of living where you live, that doesn't seem that bad for an entry level position right out of college. Especially if you can expect to be making 50-75% more in 2 years. And honestly, that extra $6k/yr. you were expecting to get isn't a life-style changing amount of money after tax, 401k etc. Like you say, the worst thing that could happen is you have a good reference to put on your resume.

Or, do something else for 6 months and come back and consult.
 

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