I currently make: Base: $73,500 Bonus: $5000 Role: associate product manager Location: phoenix, arizona TC: $78,000 in Arizona and got a job offer from a startup in Redwood City/Palo Alto area: Base: $150,000 Performance Bonus: $35,000 Role: product manager TC: $185,000 the startup is firm on TC and said no wiggle room. My brother is saying I will have same lifestyle so it’s not really “ballin out” my parents thought it was a huge jump and I should accept asap. What do you think? I currently work as a platform PM and this new role would be more product focused so OKRs and KPIs so probably way better for my career. Plus I’d be working remote from Phoenix until after the pandemic making bank in Phoenix $$$$
I think you will great exposure working in Bay Area
Excellent point.
Also you can jump to a different company if you don’t like the job . Literally more opportunities .
Good point. But I’ve changed jobs so many time so far. Been at 3 companies so far, each for 1 year. Will it look bad jumping again?
It’s okay man . Everyone wants to make money . There is no loyalty anymore . Even the VPs and top level managers quit after 4 yrs after all the stocks vested ..don’t think too much
Brother might be jealous. Cost of living and taxes might be ridiculous in the bay so it will not be a huge improvement in terms of lifestyle, but new job will also be a new baseline for your career going forward.
I felt that he might be jealous too. But I’m playing devils advocate just to see if I’m really being wise here. But you’re right - the next job would have to be more than $185k.
OP, just sit down and open spreadsheet and calculate your cost and taxes. The bay area offer will look much more attractive no matter what.
You can save 78k per year after expenses on 185k in the bay
That would be amazing
Completely depends on your situation though. I was able to do this a single person who is renting
How much do you save annually right now?
I’m 26 Save about maybe $15k-$20k cash Put in $19000 in 401k Put $6000 in roth ira Have $261,000 total in investments, savings, net worth.
So 45k per year? How do you get from that to 261k in approximately 4 years? :o
Higher salary - higher expenses = higher savings Make that jump. Working with Bay Area companies is a plus. Think of where you could be in 5-6 years if you stay in Phoenix vs Bay Area.
Is the startup not giving stock options? I would push for that.
The startup was acquired so no equity/options offered
Exposure > Salary for you at this point. Think long term; jumping from 185 to 400+ might be easier than 100 to 400. Also, you can move to another city later on and command a better salary. Or best case, you can be fully remote later and keep your salary.
Move to get away from the god awful weather at the least
Oh yeah tell me about it. Been in Arizona over 15 years. Still not used to the summer
Right? Seen pics of garbage cans melting into the sidewalk on trash day!!!!!!
Calculate COL increase and go from there. For me, moving from Baltimore to LA was going to cost about $50k pre-tax more a year. Job was only offering ~35 more so I didn’t go. I highly doubt your COL will go up almost $110k/year, especially considering it looks like you’re smart with finances. You won’t live a baller lifestyle with $185k in SF Bay but I’d bet it’s better than how you live now. That’ll almost put you in the 1% of earners for your age, take the money. Think about it this way, do you think it’s harder to get a job making $78k anywhere in the US, or a job making $185k in SF? I’m sure if you don’t like this you can get something that pays as well as your old job relatively easily.
I’m sure with your extra 100k/y you’ll find some decent place to stay.
Thank you for your response. I’m seeing rent in San Fran at 3k-4k sometimes. Seems really scary to make that jump. Arizona is only $1k lol.
So that's ~2k more in housing per month, or 24k per year. Still 75k extra! After taxes it's probably going to be like 35k extra, which is still a lot of money. And I'd you save pretax, like 401k, it's an even better deal.