“Cost of Living” is being used as a reason not to increase my salary
I hate my job so maybe it’s just me…
But I found out that someone who reports to me (75k salary) is making nearly as much as me (73k salary). We’re both underpaid so I’m not trying to take away from them(non profits doing non profit things), but when I brought it up to upper management I was told the difference was due to cost of living (at most 5% difference per several online calculators)
They had less experience in the industry then me upon hiring, I statistically outperform them, have way more responsibilities than they do and yet they earn almost as much as me cause they live 200 miles away from me.
I obviously plan on leaving but I think non profits might be the worst at taking advantage of their employees
Jobadvisor
It sounds incredibly frustrating to be in your position. It's completely understandable why you'd be upset, especially when you're outperforming someone with more experience and responsibility, only to be told their higher salary is due to "cost of living" when the difference is minimal.
Here's a breakdown of why their explanation likely doesn't hold water and what you might consider:
Why the "Cost of Living" Argument is Weak in Your Case:
- Minimal Difference: As you rightly point out, if online calculators show at most a 5% difference in cost of living, a $2,000 higher salary for someone earning less than you is already an anomaly, especially when you have more responsibility. Cost of living adjustments are typically applied to maintain the same standard of living, not to give a less experienced, less responsible employee a higher effective salary.
- Internal Equity: The core issue here is internal equity. Within an organization, salaries should reflect a combination of experience, responsibility, performance, and market value for the role. When someone reporting to you earns nearly as much, it fundamentally undermines the established hierarchy and the value placed on your role.
- Performance and Responsibility Discrepancy: Your statistical outperformance and significantly higher responsibilities directly contradict the idea that a small cost-of-living difference should result in such a narrow pay gap. These factors should warrant a substantially higher salary for you.
- "Non-Profit Things" as an Excuse: While non-profits often operate with tighter budgets, using it as a blanket excuse for unfair compensation practices is a common tactic. It shouldn't translate to paying a direct report almost the same as their manager, especially when the manager is more qualified and effective.
Your Feelings Are Valid:
"Hating your job" is a strong indicator of a toxic work environment, and being undervalued financially certainly contributes to that. Your observation that "non-profits might be the worst at taking advantage of their employees" is unfortunately a sentiment shared by many. The passion and dedication of employees in non-profits can sometimes be leveraged by organizations to justify lower pay, under the guise of "doing good."
Next Steps and Considerations:
You've already identified leaving as your plan, which is often the best course of action when an employer shows such a disregard for fair compensation. Before you go, here are a few things to consider:
- Document Everything: Keep a clear record of your performance metrics, your responsibilities, the conversation where the "cost of living" explanation was given, and any other relevant interactions. This can be useful for future reference or if you decide to pursue any kind of action (though unlikely given your plan to leave).
- Negotiate Your Exit (if you choose to): While you're planning to leave, you might still consider trying to negotiate a better compensation package at your next role, armed with the knowledge of how you were undervalued.
- Glassdoor/LinkedIn Reviews: Once you've left, consider leaving an anonymous review on Glassdoor or similar platforms. This can help inform other potential employees about the compensation practices at this non-profit. Be factual and professional in your review.
- Focus on Your Job Search: Dedicate your energy to finding a new role that values your skills, experience, and contributions appropriately. Research market rates for your position in your area and be prepared to negotiate strongly.
It's clear you're being taken advantage of. Trust your instincts and move on to an organization that will compensate you fairly for your hard work and expertise.
How did you land your last 3 jobs? I have a 0% success rate when a recruiter reaches out to me directly.
I’ve applied for hundreds of jobs over the years — here’s what actually works, and what feels like a total waste of time. Most of those applications went out when I needed a change or when things were out of my control (post-COVID).
The two places that feel like the biggest wastes of time? Recruiters and LinkedIn. Recruiters are such a mixed bag — you never really know where you stand. And I have a 0% success rate applying on LinkedIn.
Job 1 (12 years ago)
Called the company directly and said I was interested in getting into the industry. This works well for anyone under 30 — youth and a willingness to start at the bottom go a long way. You’re basically a paid intern, but it can launch your career.
Job 2 (10 years ago)
Applied on a recruiter’s website for a business development role. Vague post promising travel and managing a territory. I got a bit lucky — the posting didn’t get many eyes, and LinkedIn wasn’t dominant yet, so the candidate pool was smaller. Turned into a rewarding 6+ years at that company.
Job 3 (3 years ago)
Applied directly on their website and on LinkedIn. Rejected on LinkedIn, but applied again via the website and got an interview. Landed here for 3 years.
Job 4 (last year)
Headhunted by an internal recruiter (probably a short-term contractor during a big hiring push). Advantage here was getting direct feedback through the process. (Company was a train wreck — I quit after 3 months.)
Job 5 (present day)
Applied directly on the company website.
I’ve had about 30 first interviews kicked off by recruiters — not a single one has panned out. Of all the ways to get a job, recruiters seem the most frustrating: vague communication, wasted time, and the classic “hiring is on pause” response.
Of all the frustrations, nothing beats you down more than custom-tailoring your resume and reaching out directly to hiring managers or VPs — and getting crickets. But it’s still the best way to hit a home run at a company you really want to work for.
TL;DR: Applying on LinkedIn is a waste of time, and recruiter-led interview processes are often a black hole that drains your energy.
$90k remote position or $130k onsite position?
I currently work at a comfy, 100% remote position for 90k base salary. I love the team, the freedom, and the hours I work (company is based in a different timezone, so I work 5:30am - 2pm locally)
Even though I’ve been generally happy with my job, one big thing I’m unsatisfied with is the pay and the lack of clarity when it comes to getting a promotion. Because of this, I’ve been applying/interviewing for other jobs on the side and recently got an offer for a fully onsite position. $130k salary + a 20% bonus every year starting my second year
My main concern is the lifestyle shift when going from remote to onsite. I’d go back to a normal 9-5, I’d have a commute about 1-1.5 hours each way, and I would just generally lose the time and freedom that remote work gives me. I’m also afraid that I won’t find a team as great as the one I’m working with currently
If anyone reading this were in my position, what would you do? I’d appreciate a fresh perspective after thinking about this for so long
A few other things to consider:
5 years of experience, so I’m relatively early on in my career
2nd company is known not to give salary hikes, so pay raises are completely dependent on promotions unlike my current job
I don’t really have the option to move due to personal things, so the 1-1.5 hr commute each way won’t be able to change
This is a classic dilemma, and there's no single "right" answer as it depends heavily on your personal priorities. Let's break down the pros and cons of each option and then consider different perspectives.
Current Remote Position ($90k)
Pros:
- Lifestyle: Unbeatable freedom, comfortable hours (5:30 AM - 2 PM), and no commute. This translates to significant personal time.
- Team: You love your current team, which is a huge asset to job satisfaction.
- Familiarity: You're settled, know the ropes, and have a good work-life balance.
- Flexibility: While pay raises are unclear, you have the flexibility that remote work offers, which can be invaluable.
Cons:
- Pay Dissatisfaction: You're explicitly unhappy with your current salary.
- Lack of Promotion Clarity: This is a significant concern for long-term career growth. You don't want to feel stuck.
Onsite Position ($130k + 20% bonus from second year)
Pros:
- Significant Salary Increase: $40,000 more in base salary, plus a potential $26,000 bonus from the second year ($130,000 * 0.20), makes it a substantial financial leap. This could accelerate financial goals (saving, investing, paying off debt).
- Career Growth (Potentially): While pay raises are promotion-dependent, the company is known for not giving salary hikes otherwise, implying that promotions do happen and are the mechanism for growth.
- Structured Environment: For some, an onsite environment offers more direct mentorship, networking opportunities, and a clearer path to advancement (if promotions are the only way to increase pay).
Cons:
- Major Lifestyle Shift:
- Commute: 2-3 hours daily of unpaid, unproductive time. This is a huge factor and can lead to burnout and reduced personal time.
- 9-5 Schedule: Loss of the flexible hours you currently enjoy.
- Loss of Freedom: Less control over your daily routine.
- Team Unknown: You're worried about not finding a team as great as your current one. This is a significant risk to your daily job satisfaction.
- No Salary Hikes (Unless Promoted): This is a double-edged sword. While it forces promotion focus, it means if you don't get promoted, you're stuck at $130k for a long time.
- Early Career Considerations: As you're early in your career (5 years experience), this pay jump could set you up for a much higher earning trajectory overall. However, the cost to your lifestyle is high.
Different Perspectives
1. The Financial Perspective: From a purely financial standpoint, the $130k + bonus offer is clearly superior. Over time, that extra money compounds. If your primary goal right now is to maximize earnings and accelerate financial independence, this offer is very attractive.
Let's do some quick math:
- Current (Year 1): $90,000
- New (Year 1): $130,000
- New (Year 2 onwards, assuming bonus): $130,000 + ($130,000 * 0.20) = $156,000
That's a $66,000 difference per year from year two onwards!
2. The Lifestyle/Well-being Perspective: This is where the $130k offer takes a hit. That 2-3 hour daily commute is brutal. It's time you could be using for hobbies, exercise, family, or simply relaxing. It's also money spent on gas/transportation. The 9-5 shift means less flexibility. Your current 5:30 AM - 2 PM schedule is a golden ticket for personal time in the afternoon. Losing that can significantly impact your happiness and mental well-being.
3. The Career Growth Perspective: Your current job offers unclear promotion paths. The new job offers a clear (albeit rigid) path through promotion. If you're ambitious and want to climb the ladder, the new company's structure might actually be better, provided you can get those promotions. However, if you find yourself stuck at $130k without promotion, then you might regret the move.
4. The "Cost of Commute" Perspective: Let's monetize your commute.
- Assume 250 workdays a year.
- 2.5 hours average commute daily * 250 days = 625 hours per year.
- If you value your time at your current hourly rate ($90,000 / (2080 hours/year)) = approx $43/hour.
- 625 hours * $43/hour = $26,875 (opportunity cost of your time).
- Add in gas/transportation costs, wear and tear on your car, etc.
So, while the salary is higher, a significant portion of that increase is eaten up by the time and financial costs of the commute. Your effective hourly rate might not be as dramatically different as the raw salary figures suggest, especially when you factor in the value of your current free time.
What Would I Do (Considering Different Priorities)?
If financial security and maximizing income are my absolute top priorities right now, and I'm willing to sacrifice significant personal time and comfort for it: I would seriously consider the $130k offer. The pay jump is too substantial to ignore, especially early in my career. I'd go into it with eyes wide open, understanding the commute will be tough, and I'd proactively seek out mentorship and networking opportunities to ensure I'm on a promotion track from day one. I'd also try to negotiate for a hybrid model or explore moving closer to the office if personal constraints ease in the future.
If work-life balance, personal time, and job satisfaction (from a good team) are my absolute top priorities, and I'm generally content with my current lifestyle: I would lean towards staying at the $90k remote position. The cost of the commute and the lifestyle shift are too high. I would, however, actively work on addressing the promotion clarity issue at my current job. I'd schedule a direct conversation with my manager and HR about career progression paths and what specific actions I need to take to get a promotion and a salary increase. If after that conversation, there's still no clear path or commitment, then I'd continue my job search, but specifically for other remote positions that offer better pay and clearer growth opportunities.
If I'm somewhere in the middle, looking for a balance: This is the trickiest.
- Try to negotiate: Could you push for a hybrid model with the new company (e.g., 2-3 days in office)? Given their "fully onsite" stance, this might be a long shot, but it's worth asking.
- Internal Advocacy: Before accepting the new offer, make a strong case to your current employer. Explain your satisfaction with the role but your concerns about compensation and career progression. Having a competing offer strengthens your position significantly. They might be willing to offer a raise or a clearer promotion timeline to keep you.
- Future Outlook: Consider your personal circumstances. Are the "personal things" preventing you from moving likely to change in 1-2 years? If so, the onsite job might be a temporary sacrifice for a greater gain, and then you could potentially move closer.
Final Thoughts:
- The commute is a killer: Seriously, don't underestimate the impact of 2-3 hours daily. It erodes your personal life and can lead to resentment.
- Team dynamic is crucial: You love your current team. You might not find that again. The cultural fit of the new company is a big unknown.
- You're early in your career: A big salary jump now could have long-term benefits, but at what cost to your immediate happiness?
- Don't burn bridges: Whatever you decide, handle it professionally.
Given your concerns, especially about the lifestyle shift and the commute, my advice leans towards staying put for now, but aggressively pursuing a promotion and raise at your current company. Use the new offer as leverage. If your current company still cannot or will not address your concerns regarding pay and promotion clarity, then you know it's time to move on, but you can be more selective in finding another remote position that meets your financial and lifestyle needs.
However, if you've already exhausted all avenues with your current employer, and the financial gain is paramount, then you must weigh if the significant increase in income is worth the substantial trade-off in your daily life.