Good evening Bogleheads,
Hoping to lean on the collective wisdom of the board, which is such an amazing resource, regarding my current situation.
I am in my mid 30s and in an individual contributor (clinical) role in a large non profit healthcare system. My boss was recruited for a more senior position at our nearest competitor creating an opening. I have applied, interviewed, and have been made an offer to take his position. The initial offer is awful-accounting for hours worked and after hour availability expectations, it would be at least a 5% hourly pay cut. I apologize, but I'm going to use percentages on the off chance that the person hiring me is a Boglehead (which based on my interactions is a real risk!)
My current hourly rate pushes me into the low six figures, and I will use X to represent. The offer is 1.025X (2.5% hourly increase) with no bonus and a small increase in schedule flexibility. I don't think HR was surprised, but I refused and need to counter offer.
My outgoing boss is salaried at roughly 16% higher than me per hour.
Based on my market knowledge, 10-20% increase would put me in the salary range for the role. The initial offer was such a lowball that I almost feel outrageous counter offering with my desired salary, though I know it is reasonable. From my boss, I know the applicant pool is extremely small and I am the best candidate. To further muddy the waters, I am eligible for a 5% step promotion based on current duties and years of service that has been placed on the back burner until the manager role has been filled, which is my current BATNA. Oh, and my soon to be former boss hinted if I don't get the position, he has a unique IC role that he will be filling that has been an area I've previously tried to move into.
Questions:
1.) Do I counter offer with my lowest actual desired salary (a fair/true salary) and risk them offering to meet me in the middle or refusing outright? I won't take the position without at least a 12% increase, but also don't want to offend the guy 2 levels above me that I have to work with.
2.) Since they threw out a ridiculous number, should I ask for 20 or 25% higher and let them come down (and/or maybe they give it to me?) The only other applicant has a history of being a troublemaker and not playing well with others-it would be incredibly short sighted for them to hire them.
I'm kind of frustrated with the whole situation-I've been in the succession plan for our department and done really well, which my boss has recognized. He encouraged me to apply for the role and recommended me to higher ups and now I'm getting a weak offer when we have a very full workload. I'm tempted to decline the offer and just be a clock in and clock out employee and let them deal with the fallout. Due to the rural area I live in, it isn't possible for me to take the role for a year or two and leverage it for a higher pay at a competitor without uprooting our family. The position will require me to go from ~32 hours/week to 40+ initially and hopefully eventually fall to around 40/week as I become more efficient.
Since it's Bogleheads, a quick break down of our finances:
Current HHI: ~$260k (split fairly evenly dual professionals)
Portfolio: ~1.35M
Home equity: ~$250k
Mortgage: 160k x 2.5%
Spending roughly 120k, saving/mortgage pay down of 100k, and the rest to taxes annually
Thank you for any insight or recommendations you provide!
Hoping to lean on the collective wisdom of the board, which is such an amazing resource, regarding my current situation.
I am in my mid 30s and in an individual contributor (clinical) role in a large non profit healthcare system. My boss was recruited for a more senior position at our nearest competitor creating an opening. I have applied, interviewed, and have been made an offer to take his position. The initial offer is awful-accounting for hours worked and after hour availability expectations, it would be at least a 5% hourly pay cut. I apologize, but I'm going to use percentages on the off chance that the person hiring me is a Boglehead (which based on my interactions is a real risk!)
My current hourly rate pushes me into the low six figures, and I will use X to represent. The offer is 1.025X (2.5% hourly increase) with no bonus and a small increase in schedule flexibility. I don't think HR was surprised, but I refused and need to counter offer.
My outgoing boss is salaried at roughly 16% higher than me per hour.
Based on my market knowledge, 10-20% increase would put me in the salary range for the role. The initial offer was such a lowball that I almost feel outrageous counter offering with my desired salary, though I know it is reasonable. From my boss, I know the applicant pool is extremely small and I am the best candidate. To further muddy the waters, I am eligible for a 5% step promotion based on current duties and years of service that has been placed on the back burner until the manager role has been filled, which is my current BATNA. Oh, and my soon to be former boss hinted if I don't get the position, he has a unique IC role that he will be filling that has been an area I've previously tried to move into.
Questions:
1.) Do I counter offer with my lowest actual desired salary (a fair/true salary) and risk them offering to meet me in the middle or refusing outright? I won't take the position without at least a 12% increase, but also don't want to offend the guy 2 levels above me that I have to work with.
2.) Since they threw out a ridiculous number, should I ask for 20 or 25% higher and let them come down (and/or maybe they give it to me?) The only other applicant has a history of being a troublemaker and not playing well with others-it would be incredibly short sighted for them to hire them.
I'm kind of frustrated with the whole situation-I've been in the succession plan for our department and done really well, which my boss has recognized. He encouraged me to apply for the role and recommended me to higher ups and now I'm getting a weak offer when we have a very full workload. I'm tempted to decline the offer and just be a clock in and clock out employee and let them deal with the fallout. Due to the rural area I live in, it isn't possible for me to take the role for a year or two and leverage it for a higher pay at a competitor without uprooting our family. The position will require me to go from ~32 hours/week to 40+ initially and hopefully eventually fall to around 40/week as I become more efficient.
Since it's Bogleheads, a quick break down of our finances:
Current HHI: ~$260k (split fairly evenly dual professionals)
Portfolio: ~1.35M
Home equity: ~$250k
Mortgage: 160k x 2.5%
Spending roughly 120k, saving/mortgage pay down of 100k, and the rest to taxes annually
Thank you for any insight or recommendations you provide!
Statistics: Posted by civex — Fri Nov 08, 2024 10:34 pm — Replies 3 — Views 294