When offered a new job, people tend to look at the overall salary. If the offered figure is well above what they are currently making, the decision can be easily made. But sometime looking at the salary in isolation of work conditions and requirements can be misleading.
To make a better financial decision, you must take into consideration many other factors that could determine your financial status with the change. These aspects range from the benefits and perks that you get along with the salary to the work hours and circumstances that might introduce lifestyle changes.
Of course, there is more to accepting a job opportunity than just the money. But if everything else is settled and you’re down to making a decision on the compensation, make sure you take the following into consideration.
Benefits
Compare your current and future benefit packages. Does the employer provide comparable health insurance coverage, tuition assistance, paid time off, travel allowances, and so on? If not, does the higher salary — if true — make up for the shortfall and still is attractive?
If the answer is no. Then you may be looking at a comparable benefit package. Taking this into consideration can help you make the decision to accept the offer or not, based on criteria other than money.
Benefits are also a moving target. So make sure that what you’re being offered is likely to continue. If your employer is a more established entity, benefits plans are likely to remain in place. If you’ll be working for a smaller business, benefits can be scaled back if the business struggles.
Work circumstances
Your salary should match work expectations, requirements and hours. If you currently work 40 hours a week and make Dh20,000 a month, that could be much better than working 60 hours a week and making Dh25,000. Think also of how the extra hours will impact your lifestyle. For example, you might have to find additional childcare for your children, which is an added cost.
Other work situations can also add to your cost. For example, if you’re drained, you might resort to eating out more often. Or if you’re commuting to an office that is farther, your petrol and car maintenance costs are likely to increase. Otherwise, you might consider to move closer to work, which might require paying a higher rent.
In the midst of discussing a job offer, these changes might be overlooked. But if money is a big driver in your decision, you must be sure that you’re getting the deal you think you’re getting.
Stability
Shorter assignments and contracts are likely to pay more than full-time, permanent jobs. Unfortunately, some employers are not forthcoming or honest about the length of their available jobs. It is on you to research the company, and ensure that the job is likely to be there for an acceptable period to you.
Otherwise, it may be smart to stick with a more stable position, even if it pays less, to avoid the costs of job hunting or a downtime of being unemployed. You also will save yourself and your family a lot of the typical stress that comes with a layoff.
Long-term investment
What are your professional goals? If these goals involve continuing education or training or an opportunity to switch careers, look for an employer that is willing to invest in your future. This investment is equivalent to money, although it is not directly deposited in your bank account. It allows you to achieve your professional goals and position yourself for better jobs down the road.
Being tempted to take a new position just because it comes with a higher salary may be short-sighted. Assuming that you’re not in situation where you’re desperate for the extra compensation, take the long view in picking the employer that helps you go places.
The writer, a former Gulf News Business Features Editor, is a Seattle-based editor.
Evaluating salary
Look at the overall package of benefits
Compare your work circumstances
Think of potential stability
Invest in your career
— R.O.
