75k vs 110k with temporary sacrifice
One year of experience 75k salary in a high cost of living city. Rent is about $1300. I have a computer science degree working as a full stack developer. I know I am not getting paid enough for what I do but this was only offer I had at the time. Got an offer $110,000. Cost of living is significantly lower. 10-15% bonus yearly. I will need to pay back my sign on bonus (I received from the current company) and penalty for breaking the lease. I asked for $20,000 relo package but they offered $7000. I will need to purchase a car if i take this offer. What should I do? EDIT: With cost of living adjustment, $110,000 in another city equals about ~$150,000 in my current city which is more than double my salary. Received 13,000 for sign-on bonus, and paid 40% as tax. Need to pay back 50% of it. Breaking lease amount is ~ 7800 Currently don't own a car, but will need to purchase one and get an insurance.
Where’s the temporary sacrifice?
I will have to pay 20000-7000 out of pocket.
For what? Doesn’t the signing bonus cover it?
So I will have to pay 20000-7000 out of pocket
Moving costs?
Yes moving, breaking the lease, paying back sign on bonus, initial cost for a vehicle.
Which location gives you the life you want?
I prefer the current city. But wouldn’t mind the other city. Not really tied to a city. I am not sure if it is sensible to take some financial hit and move to another company that offers me higher salary.
Not sure it is common. As I am just starting out my career I was wondering about this.
Which state is this? For some states, offer is signed “at will”, and there is a chance that whatever agreement you signed was actually BS and had no law enforcement... it’s possible. Google the related law
Doesn’t all offers in US signed “at will?”
He means certain offers the repayment of the starting bonus is technically not enforceable due to the State laws/precedents. Like how in California non compete agreements are not enforceable but everyone makes you sign one.
Making a good salary in a lcol market is great. You have so many opportunities even people with relatively high salaries in Bay Area Seattle New York don’t
I agree as I am not crazy about living in NY,SF, etc (maybe I am taking living in the bit city as granted). Also thinking of purchasing a property soon..
You’re just starting out, go for long term... which ever city offers that.