Job offer small company - help!

tommy2013

Hi,

I have been offered a job I am interested in but the salary on offer is nearly 20% less than what I am on now with no real benefits.
There is also no offer on the table to make up for the low salary (profit sharing, extra holidays, etc.).

I am an experienced professional and have made a success of all roles I have worked in over the last 10 years. This is a small company and I understand the constraints on salary but I'm not too sure what to push for to make up for the large salary drop... or if I should just walk away.

Any advice much appreciated.

Tom

ourtrail

What field is the role in?

tommy2013

IT

zom

tommy2013 wrote: »

Hi,

I have been offered a job I am interested in but the salary on offer is nearly 20% less than what I am on now

What's wrong with your current job?

tommy2013

Basically I have to move for family reasons and need to change jobs as commute will be too long.

Mrs OBumble

Is it really so large that you need to walk away? Have you tried negotiating the money up? Is no job or a long commute better than the salary drop?

Remember that once you're above about 35k in salary, the amount you get to keep is roughly only 50% of gross.

So the first 35k is worth a lot more to you than the 2nd 35k. etc.

Midnight Sundance

When you factor in the cost of your commute will you still be down 20%? Also as others have said, your tax may be lower because of the lower wage so you may not end up losin the whole 20% especially if travel is included.
Plus you can't put a price on time spent at home with family if that is what you are looking for too.

ifeelill

You might get more autonomy in your new roll as well as the shorter journeys to and from work might save you both time and money.

Crunch the numbers see if the new wage will service your lifestyle (and if you have one) and your families lifestyle and then stress test your major expenditure by 3% if you can still afford to live then why not change.

tommy2013

All good sensible advice.

I worry that I am taking a big drop in salary for a number of reasons:

1. it will prove hard to get back up there again.
2. the salary on offer, which is the max they will go to, is well below market value
3. the job involves building up someone else's company through my hard work, which I feel should be rewarded, either through appropriate salary or additional benefits.

I understand the work/home balance and tax implications of working less and for less and these do factor into my reasoning here.

I am crunching numbers to see if this move makes any sense.

SebBerkovich

tommy2013 wrote: »

All good sensible advice.

I worry that I am taking a big drop in salary for a number of reasons:

1. it will prove hard to get back up there again.
2. the salary on offer, which is the max they will go to, is well below market value
3. the job involves building up someone else's company through my hard work, which I feel should be rewarded, either through appropriate salary or additional benefits.

I understand the work/home balance and tax implications of working less and for less and these do factor into my reasoning here.

I am crunching numbers to see if this move makes any sense.

DISCLAIMER: The following advice contains business idioms.

My advice would be to say tell them that you're really interested in the job and that you want to be a committed part of the company. Unfortunately it's may become hard feel that committed considering the salary level.

Thats when you explain that by them giving you some monetary stake in the company (shares of something) not only would it mean that you are likely to stick around if offered better pay somewhere else but it also means that you'll have a vested interest in how the company performs and this will certainly be great motivation to go the extra mile.