Thursday, August 19, 2010

Comparing Two or More Job Offers

Comparing 2 or more Jobs Remember: One should compare all aspects of the job offers.
Let’s say you got 3 offers after all the hard work and preparation. Now the time comes that you have to decide and evaluate one out of them as best offer.

Point to consider in here is that the job that pays more cash may not be the best option. People often ask “Why benefits are important? when take home cash is the main thing” … answer…Because benefits can add up to 30% of the whole compensation and carry a charm of its own e.g., certain benefits are not forfeited as the month ends and keep on accumulating, for instance if you don’t utilize your fuel limit the remaining portion is carried forward, Medical and other allowances have benefits of their own. 
You should look at each company’s compensation package offered in full detail; you may find a very different story as illustrated below.

A pure financial analysis of 3 job offers is provided below, as an example
A. Ltd
B. Ltd
C. Ltd
Basic Salary
45, 000
Utility allowances
Life Insurance
Disability Insurance
Company Car Allowance
Pension Plan
Total, per month

Though company “A” offer less basic salary but the total compensation is dot equal to what is offered by company “B”. The break up shows that company “A” offers better medical, life insurance, car allowance and even disability insurance when compared to other companies.

There are other factors, besides the financial ones, which must be considered when deciding the whether to accept the offer, they include:
1. Reputation of Company
2. Listing on Stock exchange
3. Corporate Culture
4. HR policies (relocation / Over time etc)
5. Employee Turnovers
6. Professional memberships / accolades
7. On Job learning programs
8. Paid Holidays
9. Sick Leaves
10. Profit Sharing Schemes
11. Share Based Payments (or Stock offers to employees)
12. Expenses reimbursements (e.g. commuting, parking etc)

The point to remember is that it is not only the liquid cash that one gets, the complete package should be evaluated.

Multiple Job Offers in 10 Days!: A Road Map to Finding a Great Job, Whether It's Your 1st or 21st
A review on the linked book:
I purchased this book for my son who is looking to change jobs, but only if he can find one that will pay him more than what he is currently making. As of this date, he is "juggling" three different companies, trying to make a decision....the problem being is that they all are offering better pay than he has now. This is a book that actually tells you how to do it!

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