could you take a 10-15K paycut....

[FINFAN]

If it meant a more humane working environment? I know that with the economy as it is, the average salary has dropped about 20% below what it was 3 years ago. DH has had several leads, but most are at a pretty big paycut. However, the areas these postions are in usually have a lower cost of living/housing than our current situation. It never looks good to take a cut in pay for your career, however, DH mental health is a big priority. We would not increase the amount of time or $ we would owe on a new mtg., but that would mean using 80% of our equity as a downpayment to keep things lateral. I know it is pretty much apples to apples...but I am wondering just how bad it looks to take a cut when you are still employed even with the economy as it is. I mean, if you are let go and now job searching, you have jsut lowered your hiring price by a big chunk of change, on the other hand, what is being offered is the norm now. For DH sanity (and me & kids too)My heart says take the cut and hope for future advancement/increase...but my head says no one can count on those things anymore, who willingly leaves a higher paying job in todays economy,and at 43
(DH, NOT ME
)there's not a lot of time to recoup big money. Plus DD is off to college in 4 years, followed by DS 4 years later. I figure my income will be slightly less also, but that has usually been our cushion money in the past, and for college.

What would you do?

 

[AZKathy]

Tough decision. If we could move to another area where housing is much less than where I am now and the money we make in the sale of our home pays for quite a bit of the new one, maybe. If I have to, we could get rid of a lot of luxuries such as our DVC <a href='http://www.smileycentral.com/?partner=ZSzeb008' target='_blank'><img src='http://smileys.smileycentral.com/cat/4/4_9_9.gif' border=0></a>and vacations, get cheaper vehicle and stop shopping so much. <a href='http://www.smileycentral.com/?partner=ZSzeb008' target='_blank'><img src='http://smileys.smileycentral.com/cat/12/12_1_102.gif' border=0></a>

 

[FreshTressa]

We are going to have to.

DH's current job has a pretty high salary, but he will never move up because the only way people ever leave his company is death.

So, in order to have opportunities to move up, he needs to move to a different company, which means a pay cut.

So, yes, since you have to spend about half of your waking time there, I definitely think it would be worth the pay cut.

 

[tiggersmom2]

Fresh Tessa,
I feel your pain, DH was an engineer in manufacturing and was making a FANTASTIC salary - well, plant shut down. He took a job paying about 10k less a year, but advancement is a sure thing so everything is going to be all right!

BTW he also works about 70hrs per week and that does suck!

 

[disykat]

If cost of living was such that we could make it - we'd do it. Mental Health is worth a lot! We were considering a move (decided not to) and dh was looking at jobs that started at less than his current salary, but had opportunities for advancement that he doesn't have now. I think that must be pretty common.

 

[BHFan25]

Yes. We've done it and it was the smartest move we ever made. Good luck with this. It is scary.

 

[mudnuri]

I could see this two ways-

1st- if DH has a job offer, and gives adequate notice at current job- as to not burn bridges, and then moves to the other job- yes..

2nd- if DH didnt have a job offer, and left current job, NO.

DH sold a business last spring, and it was 2 months between his old business and the one he bought...we knew he was buying the new business, and that money would soon be coming in, the 2 months in limbo were enough to cause some serious stress. DH's company sold at a profit, but with the hold back guarantee, there wasn't much during those 2 months.

If DH's mental health, or mine or the stability of our family was at stake I'd have to say its a no brainer- I'd do it...

tough decision to make!

good luck
Brandy

 

[Beauty]

We could make it okay on a 15K paycut if we sold our current house and moved someplace much smaller, especially if it made us happier.

On another note my DH loves his current job though, he is only 32 and has been with this company since we were 21 years old. On the bad side we hate living in Mississippi and desperatly want out. I could definatly seeing DH take a paycut if it meant leaving Mississippi.

As for me I make extra money ebaying so it doesn't matter where we go for me.

 

[CBRorBust]

I've been thinking about teaching in a Catholic School vs. Public School.

I just about had a heart attack when they told me how much I'd be making! Let's just say it's 12k less than the LOWEST paying school district here in DFW!

But you did get fully paid medical for you and your family, they pay your retirement for you, and you get discounted tuition, free after school care for your children. I have no children, but hey to me it means smaller classrooms and I don't have to teach to a test!

 

[newholiday]

It wasnt that drastic but I did take a 33% paycut.
Left a fulltime job in 1993 so I could stay home when DS was young and work parttime.
In 1998 I went back to work fulltime at the library. It was a 33% paycut from my previous job. However, now I only have a 4min communte, not 50. And if DS needs me during the day Im in town - the school, library and our home are all nearby.

 

[Kermit]

We did it. In fact, I don't really want to think about the numbers, but it was at least 30%. DH is a computer geek and did really well back when dot.coms were all the rage. Now he's making a little less than he was when he graduated from college. We've stayed in the same house the whole time, so our cost of living hasn't really changed, although we drive used cars now instead of a brand new Dodge Durango, and we don't have our camping trailer.

We didn't have a choice, but there is a lot less stress now, and we like it this way, especially since we're parents now. Before, he was always in danger of losing his job since he would be working for new companies still trying to get funding. Sometimes his paycheck would be months late. Now he works at the corporate headquarters for a stable, established company. No job is ever guarenteed secure, but this is about as close as it gets, and we like it that way.

 

[robsmom]

I would not worry to much about "how it would look" to take a pay cut. You usually don't put salary on your resume and this might not even come up if he leaves jobs again. If it does come up, you have good explanations for the change. Also, you mentioned that the new job would be in a lower cost of living area. It is totally normal that the same job would pay less in a different market. For example, a person working in NYC will almost always make more for the exact same job as a person working in Alabama. When i came out of school, i had the exact same job as friends working in NYC but i was in Philadelphia. They were making almost $10,000 more than me. Within 5-10 years they had all left NY as they could not afford to get married, have kids, buy houses, etc. Do what works for your family.

 

[dzneelvr]

I've done it and never regretted the decision. I've also seen some of my buddies who were part of a similar national layoff over a year ago, still sitting without a job because they do refuse to lower their sights as far as starting salary.

Look at it this way, when your DH joined his company he didn't make the $$ he now does either.....so get into an organization you want; make your mark; and be rewarded for it. You CAN have it both ways--healthier environment and good salary.
Hey--the rules have changed out there in the corporate jungle--we have to adapt our "rules" as well. And it's good practice for our retirement years. Us baby boomers are going to have to live "down" a bit cause the social security just isn't going to be enough.

Good Luck!

 

[Antonia]

Think of it like this - is sanity for your DH and for your family worth $10,000 to you? For a measly $10,000 you can hardly buy a decent car. So $10,000 for sanity seems like a bargain. I'd do it.

 

[The Mystery Machine]

Originally posted by robsmom
I would not worry to much about "how it would look" to take a pay cut. You usually don't put salary on your resume and this might not even come up if he leaves jobs again. If it does come up, you have good explanations for the change.

I agree with this. It is better to be working.
Good Luck!

 

[jwsqrdplus2]

We did it except we to a $50k paycut!! When I quit my job to be a SAHM. Now my girls are both in school, and I balance 2 part time jobs (neither pays great), but I am home when school is out, so it is totally worth it. Plus I am much happier. I definitely chose a more humane working environment!

 

[FINFAN]

Well, we are definitly leaning towards the paycut....DH plans to give it all he can to inch the salary up, but even with comp #'s as to areas etc., 90% of the companies he has talked to basically say,,yeah, but this is what we are willing to pay. We will make our equity work for us. A few nickle and dime things will help, real estate taxes, auto ins., will be lower but the state income tax is 2% higher, and I see the ever present school bond issue is on the table....so basically it does come down to salary. We live pretty tightly now, so there is not much room for things to give up. The college is the main, and usually a car repair that is brutal. WDW is looking more and more like a 3-4 year visit, but if we are all worn out from the everyday, 5-6 days of WDW while fabulous, just doe s not balance it out. I think if we can get our current car paid off somehow in the transition it will help, but only temporarily. My van is giving me all kinds of trouble and can see needing a new one in 2 years or so. I think if we do not a change soon, we will be pushing our luck. DH will have "cement shoes" when it comes to leaving here, and at the rate our taxes are climbing, we won't be able to keep our own home.
Hopefully interest rates will stay low and we can either cut a few years off the mtg or a few$, that will help.
O.K. Now that we have decided which side of the fence we are on, lets hope the offer is made to DH. We are in a 3 week limbo as the future co. president is the deciding factor and he is out of the country 'till then.

Thanks for the help.

Pam

 

[sammi]

My DH will probably take a BIG pay cut as his company is currently under (CCAA) Chapter 11 in the US and we don't know what will happen to us.....there's a good chance that after 33 years of service with this company we may not see a decent pension either.

Good luck to you.