Tuesday, November 28, 2006

Thoughts on Salaries: Comments Invited

A few weeks ago, we ran a poll on jobsinthemoney.com to ask what people thought was more important: their salary or work-life balance. About 47 percent of the respondents said balance was the bigger issue, while 44 percent emphasized salary.

Then I got an e-mail that detailed one accountant's thoughts about salaries. It's interesting, so I'm posting the entire message here. I'm sure others out there have their own opinions, so feel free to add your own comments.

I am a second year cost accountant at a Fortune 50 corporation in Illinois. I have had a year's experience of auditing and I am now starting my 2nd year of cost accounting here at one my corporation's component plants.

To me, it is all about how much money you make per hour. If I am going to work more, I expect to make more. I find that as you move up in the corporation, the hours you must put in go up proportionally more than the pay until you reach a certain point. If you are going to be in top management, you better value salary over work life balance. However, if you stay on the front lines in the lower level accounting positions, the hours can really stack up too, and the pay is not even comparable to a higher level position.

For me, I feel that $30 an hour is pretty fair for the job of a staff accountant. Therefore, if I were to make time and a half for all the overtime I put in, I would have to make $73,000 a year assuming I work 45 hours a week most of the time and I assume eight-hour days for all the paid days I get off (about 25 a year).

The question is, can I find a job that pays $73,000 a year and only requires nine-hour days. I would say that would be challenging. Therefore, maybe I should have been a high school teacher since they make less money in total but way more $ per hour.

I suggest deciding what you think is a fair amount per hour and then see what salary you need to have based on the hours you work to see if your pay and time is in
balance.

Add your thoughts by clicking on the comments link below.

1 comment:

Anonymous said...

I have to say that I agree with the following statement: "If you are going to be in top management, you better value salary over work life balance."

I feel that the people who are fortunate enough to be in top management ought to value their careers as well as set a good example and be a positive role model for other co-workers and employees who are lower in rank than they are.

I speak from experience when I say it is very difficult to respect a top manager who does not practice what he preaches. My advice is "don't over extend yourself." If you have other top priorities in life, take a step down and allow someone who is willing AND able to take on the top management positions. Further more, "LEAD BY EXAMPLE."