Understanding the Hidden Costs of a New Job
Understanding the hidden costs of a new job. Lucky for you, you survived the interview process. You just won a shiny new job with more money and a great title. Think about every angle before you accept this new position. A new salary could create a situation you didn’t anticipate. Please read the 12 hidden costs that people over look.
1. Dress Code
Changing careers could have you wearing a suit every day. Basic business attire will cost you at the dry cleaners. A dry cleaning bill is definitely a cost most people do not consider will accepting a new job. Imagine having several suits cleaned weekly.
- Change in Benefits
401(k) with matching might change. Smaller companies tend to not match your 401. Make sure you ask this question during the interview. How many vacations days did you get at your last position compared to your new position? What about sick days, are they separate from vacation days?
- Trade Shows or seminars
Trade shows and seminars at times can be fun to attend, but who is paying for your travel, food, and lodging. Even local events can slow day your projects because the time continues to tick away. You can lose 10 hours and find yourself behind on a task or project attending local events.
- Child Care
Your children come first and this is why you work so hard. Will a change in daycare take place because your work hours could change? Does the job require after-hours support? If your commute is extended what will you do?
Information technology and health care positions tend to have requirements for certain certifications. Some training requirements are set with a clause that if you don’t meet the training requirements by a certain date you will be terminated from the position. Usually 120 to 180 days but I have also seen a project management position require a PMP certification that had a 2 year deadline. Most companies will reimburse you for the actual exam only if you pass.
- Relocation Costs
Companies use to pay for relocation expenses, but not in this economy. Your relocation expenses could vary depending on the size of the city or town. Single versus family move will vary as well. Apartment versus house relocation can create an expensive move. A relocation into a big city will cost you dearly for everything from groceries to gasoline.
- Travel Requirements
What percentage of travel does the job require? Business travel can be boring depending on where you are traveling. Having to wait to get reimbursed for your travel as well as per diem for meals can change your outlook on spending. Don’t forget the jetlag from hopping through time zones. I hope you have a full time babysitter at a reasonable rate.
- Longer Commute
A longer commute can wear you down even if it’s 15 miles and takes you 45 minutes to get there in traffic. Sitting in a car dodging pedestrians, cyclists, and other commuters can make you a nervous wreck. What’s the cost to park? Will there be tolls along your drive?
- Public Transportation
Public transportation can sometimes give you a headache because buses and trains are not always on time. A busy bus with you standing the whole ride to the job makes for a miserable start to the work day.
- Salaried exempt position
Salaried exempt employee doesn’t get over-time. If you are required to finish a task and need more time, you will have to get the work done without getting paid for staying late to complete the task. Maybe the company will let you leave early another day, maybe. Some companies give you comp-time to use another day.
- Health Insurance
Health insurance premiums could go up if you work for a company that has less than 100 employees. The more employees a company has, the cheaper the overall insurance. Is your current medical doctor under your new plan?
Free gym memberships, extended vacation time, weekly bagels for breakfast, monthly lunches, free parking, free cell phone, perks are good for moral. What are you giving up by changing jobs?
Write down the positives and negatives of accepting a new position. An increase in salary could balance out if your expenses rise. Just maybe everything will work out for you. Good luck with your transition.