Should I take an 11k pay cut, to make 100k later on?
Im 27, and currently make 76k a year. I like my job, but don't love it, it's taxing on my body sometimes. It's a hybrid of 50% office work and 50% physical outside work. I travel maybe 2 or 3 times a year, all paid by my company. I work 4 days a week, 10's. I like my team and what I do, it's a really comfortable job in a lot of ways and really like my 3 day weekend. I'm confident in my skills and enjoy seniority, although sometimes I ask myself if I could be doing more, and how I shouldn't get complacent. My major complaint is the lack of upward mobility at my current job, Im pretty much at the top of my role, which means no wage increases, outside of the 1-3% cost of living increases we get yearly.
I recently got offered a job, similar to what I do but it would now be 70% office time (Work from home) and 30% field work which sounds kinda nice. Would change to a 5-day work week, 8's. However, they only offered me 65k a year and I would travel more often, although the job pay scale would max out roughly around 100k in 7 years.
With my current job, they've talked about moving me into a leadership role at some point in the next 3-5 years but even then, it's not guaranteed and I don't know what the pay would be, unlikely to be 100k but maybe low 90's. I'm hesitant to lose 11k but the possibility of making 100k speaks to me. I have no college degree, and barely even finished high school (got a GED) so to make a 100k would be a dream! Any advice would be appreciated. :)
Jobadvisor
This is a classic career dilemma, and it's great you're thinking so strategically about your future! Let's break down the pros and cons of each path to help you make an informed decision.
Current Job: The Comfortable Known
Pros:
Current Salary: You're making $76k, which is good money, especially without a degree.
Work-Life Balance: The 4x10 schedule and 3-day weekends are a huge perk and contribute significantly to quality of life.
Comfort and Seniority: You like your team, enjoy seniority, and are confident in your skills. This reduces stress and improves job satisfaction.
Less Travel: Minimal travel is a big plus for personal life and reduces the wear and tear of being on the road.
Hybrid Work (50/50): While it can be taxing, the mix of office and physical work might offer a good variety for you.
Cons:
Limited Upward Mobility: This is your biggest concern, and rightfully so. Being at the top of your role means salary stagnation outside of COL increases.
Uncertain Leadership Role: The leadership role is not guaranteed, and the pay is speculative ($90s, not $100k). The timeline (3-5 years) is also a factor.
Physical Demands: The taxing nature of the physical work is a significant drawback you've identified.
Potential Complacency: Your own concern about getting complacent is valid.
New Job Offer: The Potential for Growth
Pros:
Path to $100k: This is the most compelling aspect. Reaching a six-figure salary without a college degree is a significant achievement and likely life-changing.
Less Physical Work: The 70% WFH / 30% field work shift aligns with your desire for less physically taxing work.
New Challenge/Opportunity: It could prevent complacency and open up new learning experiences.
Cons:
Immediate Pay Cut: $11k is a substantial drop in income, which will impact your current lifestyle. You need to assess if you can comfortably absorb this.
Long-Term Investment: Reaching $100k will take 7 years. That's a significant time commitment with no guarantee that you'll still like the job by then.
Increased Travel: More frequent travel can be disruptive to personal life and adds stress.
1 5-Day Work Week (8s): Losing your 3-day weekend is a big lifestyle change.
Less Seniority/Comfort: You'll be starting fresh, without the current comfort and seniority you enjoy.
Uncertainty of New Environment: You don't know the new team, culture, or actual day-to-day experience.
Key Considerations and Questions to Ask Yourself:
Financial Impact of the Pay Cut: Can you realistically live on $65k without undue financial stress? Create a detailed budget. This is crucial.
Value of Your 3-Day Weekend: How much is that extra day off worth to you in terms of personal time, hobbies, and relaxation? This is a significant lifestyle change.
Tolerance for Travel: How much more travel are we talking about, and how does it impact your personal life and relationships?
Risk Tolerance: Are you comfortable taking a known pay cut for a potential higher salary in the future? What if the "max out" takes longer, or the company's pay structure changes?
Long-Term Career Goals: What do you truly want your career to look like in 5, 10, or 15 years? Is it purely about salary, or are other factors like work-life balance, type of work, and impact important?
Negotiation: Have you tried to negotiate the new offer? Given your experience, you might be able to push for a slightly higher starting salary or better benefits to soften the blow of the pay cut.
Mentorship/Growth at Current Job: While upward mobility is limited, are there opportunities to learn new skills, take on different projects, or mentor junior colleagues that could be personally fulfilling and add to your resume, even without a direct promotion?
The "Dream" of $100k: Is the number itself the dream, or is it what the number represents (financial freedom, security, recognition)? Are there other ways to achieve aspects of that dream?
Advice:
Don't romanticize the $100k. It's a great goal, but you're giving up a lot for it.
Prioritize your values. If work-life balance and a 3-day weekend are extremely important, the new job will be a significant adjustment. If growth and a higher salary are paramount, it might be worth it.
Do your due diligence on the new company. Try to speak to current employees about company culture, actual workload, and the realism of the stated pay scale progression.
Consider a counter-offer. Go back to the new company and explain your current salary and your excitement for the role, but express concern about the initial pay cut. See if they can meet you somewhere in the middle, even if it's $70k to start. You have leverage given your experience.
Evaluate the "guaranteed" versus "potential." Your current leadership role is potential and lower pay. The new job's $100k is also a potential, taking 7 years. Which potential feels more certain or aligned with your goals?
Conclusion:
This decision hinges on your personal priorities.
If the $11k pay cut is manageable and the dream of $100k in 7 years outweighs your current comfort, 3-day weekends, and less travel, then the new job could be a good long-term move.
However, if the immediate financial hit, loss of work-life balance, and increased travel are significant deterrents, and you value your current comfort and time off, staying put and exploring other avenues for growth (even outside your company) might be a better path.
Take your time, crunch the numbers, and seriously consider what you're willing to sacrifice for that potential future income. It's a tough call, but by weighing these factors, you'll make the best decision for you.