Leaving a company that I like for more money

Software Engineer wrote:

I have been a software dev at my current company for 6 years but am only getting paid about $80,000. I love the culture and place that I work but they are very profitable and haven't shared that profit with the devs. I have friends at another software company in the same area and they are offering me $120,000 a year to join them. While they really like working at their company, it doesn't sound as great as my current company. I am also not as interested in the software product that they are building. The extra $40,000 feels like it could go a long ways though.

Would you take a $40,000 raise to leave a place you really enjoy working for a place that sounds just ok?

How about going to your boss and laying it on the line to see if they will increase your salary?

Luv2Run wrote:

Software Engineer wrote:

I have been a software dev at my current company for 6 years but am only getting paid about $80,000. I love the culture and place that I work but they are very profitable and haven't shared that profit with the devs. I have friends at another software company in the same area and they are offering me $120,000 a year to join them. While they really like working at their company, it doesn't sound as great as my current company. I am also not as interested in the software product that they are building. The extra $40,000 feels like it could go a long ways though.

Would you take a $40,000 raise to leave a place you really enjoy working for a place that sounds just ok?

How about going to your boss and laying it on the line to see if they will increase your salary?

+1. A 50% raise is huge. I doubt you would get it matched, but they will probably give you something. If not, they didn't value you very much and you're best getting out of there

Software Engineer wrote:

I have been a software dev at my current company for 6 years but am only getting paid about $80,000. I love the culture and place that I work but they are very profitable and haven't shared that profit with the devs. I have friends at another software company in the same area and they are offering me $120,000 a year to join them. While they really like working at their company, it doesn't sound as great as my current company. I am also not as interested in the software product that they are building. The extra $40,000 feels like it could go a long ways though.

Would you take a $40,000 raise to leave a place you really enjoy working for a place that sounds just ok?

Take your offer to your current boss.

Software Engineer wrote:

I have been a software dev at my current company for 6 years but am only getting paid about $80,000. I love the culture and place that I work but they are very profitable and haven't shared that profit with the devs. I have friends at another software company in the same area and they are offering me $120,000 a year to join them. While they really like working at their company, it doesn't sound as great as my current company. I am also not as interested in the software product that they are building. The extra $40,000 feels like it could go a long ways though.

Would you take a $40,000 raise to leave a place you really enjoy working for a place that sounds just ok?

I need to know more before I answer:

1) How old are you and how many more years do you expect to work?

2) What would it take moneywise to stay at your current company? $110,000? $100,000? You can always ask.

3) What is your goal with the extra money? More fun? Earlier retirement? Wealthier retirement?

If you live in a high cost of living area, switch jobs. $80K is poverty level in a place like Silicon Valley.

Being somewhere you like is almost, but not entirely, priceless. I wouldn't mention you have another offer on the table, but I would present your value to the business. Ask for 100. See what happens. Then say you have an offer for a lot more than what you make now and you'd like to negotiate a home town discount.

1. 30, I expect to work for a while, I enjoy building software

2. I'm not sure what I would stay for, but according to a few sites the average salary in this area for my position is $108,000

3. I would support my family with the extra money, my pregnant wife wouldn't need to have a part time job anymore. And could stay at home with our child once it is born.

The term breadwinner has a special meaning for a young man starting a family.

I believe anyone only making 75% of the prevailing norm should be actively looking for a new employment environment.

"I like the place, the people and the job " does count for something......like a reason for only valuing your self at industry norm.

Talk to your boss. If he does not start his offer in the high 90s counter with ---- I was hoping your first offer would come close to match or at least offer industry norm with some sort of profit sharing incentive.---ball in his court

The short answer is Family Responsibility First.

I would also compare your chances for upward advancement at both workplaces, and security for the position. If the new workplace offers better chances to move up and your current workplace offers few or none, then that is a big plus for the new place. Also, which experience will further your longterm experience and make you more marketable going forward. These considerations may be as important as the immediate salary boost.

On money terms alone, i would definitely go for the salary boost. And i bet the exposure to new things would help fill out the resume.

Software Engineer wrote:

I have friends at another software company in the same area and they are offering me $120,000 a year to join them.

How's the job security like in that company? If you get laid off after their major project is done, you'll be screwed.

Also, how are the working hours like? If you're working 40 hours a week now but will have to work 60-70 hours a week in that new position, your hourly wage will actually decrease.

the 4:29.99 miler wrote:

Software Engineer wrote:

I have friends at another software company in the same area and they are offering me $120,000 a year to join them.

How's the job security like in that company? If you get laid off after their major project is done, you'll be screwed.

Also, how are the working hours like? If you're working 40 hours a week now but will have to work 60-70 hours a week in that new position, your hourly wage will actually decrease.

The company I have the offer from actually has slightly better benefits. I'm not sure what the job security is like but that can be something that is hard to predict. After reading all of the advice I think the best course of action is to take the offer to my managers and see if I can get a raise. Below standard pay is a common complaint from everyone at my work but people stay because of the work life balance, environment, and product that we work on is great. They are trying to hire more software engineers right now because we are understaffed.

Also I forgot to mention that leaving will be a promotion. My current title is software engineer, at the new company I will be considered a senior software engineer and will be helping mentor other devs.

Ideal situation is that my company agrees to pay me more and that once we hire more software engineers I will be promoted to senior software engineer. But I realize the chances of that happening are probably pretty low.

How should I approach my manager for a raise? I've already talked to them about money this year and they have stated that they know I'm underpaid but they've only gotten approved for x amount of dollars for all of engineering.

Yes absolutely take the new job. Inform your current employer in a manner that allows them to graciously make a retention offer. But don’t be shy about making the jump. It happens all the time.

I’ve been in the corporate workforce for 30+ years, worked at 5+ companies. Don’t ever get sentimental about a company, because they certainly don’t about you. Working conditions might be great now, but that could change on a dime.

40 grand is a lot of money. It’ll take you at least 8 years to get to 120k at your current company

Even if things don’t work out with the new company, your resume will be better off showing upward mobility and you will also have a chance to expand your network

Old timer worker wrote:

Yes absolutely take the new job. Inform your current employer in a manner that allows them to graciously make a retention offer. But don’t be shy about making the jump. It happens all the time.

I’ve been in the corporate workforce for 30+ years, worked at 5+ companies. Don’t ever get sentimental about a company, because they certainly don’t about you. Working conditions might be great now, but that could change on a dime.

40 grand is a lot of money. It’ll take you at least 8 years to get to 120k at your current company

Even if things don’t work out with the new company, your resume will be better off showing upward mobility and you will also have a chance to expand your network

+1. get out of your comfort zone.

Software Engineer wrote:

Flagpole wrote:

I need to know more before I answer:

1) How old are you and how many more years do you expect to work?

2) What would it take moneywise to stay at your current company? $110,000? $100,000? You can always ask.

3) What is your goal with the extra money? More fun? Earlier retirement? Wealthier retirement?

1. 30, I expect to work for a while, I enjoy building software

2. I'm not sure what I would stay for, but according to a few sites the average salary in this area for my position is $108,000

3. I would support my family with the extra money, my pregnant wife wouldn't need to have a part time job anymore. And could stay at home with our child once it is born.

Sounds like it's time to move to the better-paying job then. You can always search for your dream job later on if that doesn't end up being it.

Old timer worker wrote:

Yes absolutely take the new job. Inform your current employer in a manner that allows them to graciously make a retention offer. But don’t be shy about making the jump. It happens all the time.

I’ve been in the corporate workforce for 30+ years, worked at 5+ companies. Don’t ever get sentimental about a company, because they certainly don’t about you. Working conditions might be great now, but that could change on a dime.

40 grand is a lot of money. It’ll take you at least 8 years to get to 120k at your current company

Even if things don’t work out with the new company, your resume will be better off showing upward mobility and you will also have a chance to expand your network

This is the correct answer. I'm on the other side. I manage a small business. There's no one who could negotiate their way to a 50% pay raise. It's not even feasible without causing so many other problems for me that it just wouldn't be worth it. Don't even ask.

Let your current employer know that you have accepted a job offer, you're sorry to go because you've really enjoyed working there, that you'll do everything to help with the transition, and that you hope to work together again in the future.

They always have the offer to make a counter, but at least this way you're not making it a confrontation.

But at the same time it's hard for me to imagine how you got into your current situation. Falling that far behind the industry norm is pretty surprising. You were either hired way below the industry norm or you've essentially never received a raise. I wouldn't let someone fall behind the industry norm unless there was a reason for it.

I will standby my original recommendation, but the additional information makes this sound way more appealing.

Have you looked on sites like Glassdoor which is sort of like Yelp for businesses in terms of work environment, etc?

You also have to consider what the benefits are. Big-name companies in big cities usually offer Cadillac health insurance plans, public bus passes or private company buses, plenty of vacation time, "floating holidays", "fitness reimbursement" (they'll pay for your gym membership, race fees, etc.), 50%+ 401(k) matching, educational reimbursement, paternity leave, employee stock purchase program, etc.

Here are all the pros and cons of both jobs for anyone else that wants to weigh in.

Current Job:

Pros:

- Good leadership, focused on growing and getting more users and being profitable

- Working on a cool product that I use everyday

- Some very smart older devs that I can learn a ton from and grow in my profession

- Ton of PTO built up from being there for a long time

- A lot of users use the product that I work on everyday and many people I know outside of my work use it or are familiar with it

- Relaxed environment with gym and treadmill, working out and staying fit is encouraged. I am able to get out of the office for a run everyday.

- Flexible hours, no one cares how much you work as long as you do a good job

Cons:

- Was hired straight out of college so I was willing to work for any offer ($55,000) at the time. I currently only make $80,000 even though the standard pay for my position and area of country is around $108,000.

New Job Offer

Pros:

- 50% increase in pay to $120,000

- I would be seen as a more experienced dev and would have a senior role that would mentor other devs

- Company is very profitable

- Unlimited PTO

- Relaxed environment but fitness is definitely not encouraged as much

Cons:

- Not as many experienced devs so not as many people to be mentored by or learn from

- Product doesn't have many users at all, they are making money through different avenues and think the users will come through the relationships they've built. This concerns me because I've seen first hand that users use a product because they need its features, not because of the relationships they have with the company.

True about medical benefits. My company maxes the contribution to a fixed dollar amount. With the increase in recent years, I now pay 700 out of pocket per month to cover my wife. If I move to a company that covers spouse, that's an automatic 8400 raise.

The key factor is work hours. If the other place is a sweat shop, and most tech companies are, it is not worth switching.