Showing posts with label salary. Show all posts
Showing posts with label salary. Show all posts

Tuesday, December 12, 2017

Sunday, February 15, 2015

Hourly to Salary: The Good and The Bad

Featuring a guest contributor, Amy Klimek of ZipRecruiter.  The Pros and Cons of being salaried

Hourly to Salary: The Good And The Bad
Many hourly employees aspire to earn a salary. A salary, after all, represents guaranteed income in a sense, and this can give you peace of mind in knowing that you will have a steady source of income as long as you have the job. You may have been offered a salary position, and you may be wondering if you should give up an hourly job. Perhaps you are searching for a new job, and you are wondering if you should look for an hourly or salary position. There are pros and cons associated with both types of pay structures, and you may need to look at each position carefully. In addition, you should consider your personal financial situation before you make a final decision about which pay structure is best for you.

What to Expect From an Hourly Position 
With an hourly job, you are required to log your hours at work using the employer's preferred method. This may be a standard punch card system, a paper log sheet or even a computerized system. At the end of each pay period, your total hours worked will be calculated. You will receive compensation at the specified hourly rate for the exact amount of time that you worked. This means that the amount of your paychecks will most likely fluctuate from pay period to pay period. You will receive no guaranteed income, and if you are late to work or if your shift is cut short, your take-home income will reflect this.

Steady Income From a Salary
With a salary, your employer will specify how much money you will earn over the course of a year. This amount is divided equally by the number of pay periods for the employer's pay schedule. If you arrive a few minutes late one day, if the office is closed due to bad weather or if some other event prevents you from working your full shift one day, you generally will not be penalized. Both full-time hourly and salary positions may qualify for sick time and vacation time, but you may find that many employers are more lenient or flexible with time off for doctor's appointments or if you are running a little bit late one day for salary employees. This is not the case with all employers, but it is rather common.

A Word About Overtime An important difference to note between hourly and salary positions relates to overtime. A standard work week is considered to be 40 hours. The hourly rate that non-salaried professionals receives applies to the first 40 hours worked during a week. Any time that you work beyond this 40 hours during a week may qualify for overtime pay. There are some exceptions to this, but generally, you will be well-compensated if you are required to work extra hours during a week. Some hourly employees count on the availability of overtime to pad their paychecks, and they actively seek out overtime hours. With a salaried position, you generally will not be compensated for overtime pay. Essentially, hourly employees are paid an annual salary in exchange for a specific job being done. If it takes you longer to do your job, you will not receive extra income. In some cases, salaried employees may regularly work as many as ten or 12 hours or day, and some may even work six or seven days per week.

Making a Decision That is Right For You 
Each job position is unique, and each employee is also unique. For a position where overtime is common or even expected, a higher than average salary may be adequate compensation. However, if an average salary is offered and the employee likely will be required to work more than 40 hours per week, this may not be financially beneficial to an employee. An job applicant may need to ask questions during the interview and hiring process to determine how many hours he or she will reasonably be expected to work before making a decision. In addition, the job applicant's personal financial situation should also be taken into account. Those who have some flexibility with regards to the amount of their take-home pay each pay period may more comfortably accept an hourly position.

In some cases, job applicants will not be able to choose between an hourly or salary position. The pay structure will generally be determined by the employer rather than the employee. However, if you are in the enviable position of being able to select between two job offers or if you want to make sure that you will be compensated well for the work that you are being asked to do, you should understand the differences between hourly and salary positions. While the face value of a job offer may seem attractive, it is always important to determine if it is generous based on the work required of you and if it is ideal for your financial situation. 

Amy Klimek is an experienced HR recruiter and VP of Human Resources for ZipRecruiter, a company that simplifies the hiring process for small to medium size businesses. Prior to that Amy has held similar roles at Rent.com, eBay and US Interactive.

For Amy, corporate culture isn't about dogs and free lunches, it's about empowering employees and creating an enriching environment for people to excel.

Wednesday, August 20, 2014

Great infographic: 200 Jobs Compared

The folks at Degreequery.com sent me a really cool infographic this morning that shows various jobs and the amount of education, stress and flexibility each job has.  Great visuals of pay versus stress levels and education requirements alongside average salaries per profession.

Play around with it a bit, and you'll be intriqued that not all jobs that require a high level of education have high stress levels, or salary potential.  Might be a good tool for parents of college bound children to look at when they are choosing their field of study.

You can link to it here: http://www.degreequery.com/job-match/# 

Monday, May 6, 2013

WineTalent's Upcoming Webinar: WAGES & WINE: Making sure your blend of pay practices complies with California law.


Next week WineTalent will be teaming up with Attorney Barbara Cotter, Partner of the employment law firm Cook Brown LLP to present a webinar about pay practices in the wine industry.  We will be presenting an overview of roles in the wine industry, discussing classifications of employment (salary, hourly, executive, management, consultant, contractor) and providing some case studies from real world situations.  If you are hiring or managing employees or consultants in the wine industry this webinar will provide you with useful information.  Stay on top of employment issues and up to date on new legislation.  We will also be having a question and answer session at the end in case you have specific issues you need addressed.    I hope you can join us.

WAGES & WINE: Making sure your blend of pay practices complies with California law.
Join us for a webinar on May 15, 2013 at 9:00 AM PDT.
COOK BROWN LLP TEAMS UP WITH WINETALENT FOR A "RATE YOUR PAY PRACTICES" WEBINAR

Attorney and Cook Brown LLP partner Barbara Cotter teams up with wine industry recruiter and WineTalent President Amy Gardner in discussing compensation issues confronting the wine industry employer. Attendees will be provided with a convenient checklist, a primer on wage and hour law for the wine industry, and a common sense guide that will answer a multitude of questions such as:

1. How do you classify employees correctly under California law?
2. What happens to an employer when an employee is misclassified?
3. What constitutes a salaried position? An hourly position?
After registering, you will receive a confirmation email containing information about joining the webinar.

Thursday, April 11, 2013

Cranky Recruiter: Just tell me what you are making.

Asking a friend at a social gathering "How much do you make?" most likely will make him very uncomfortable.  We all know how much we make--often down to the penny.  Lucky folks out there can say how much they will be making this coming year and the following one.  Sales people and self-employed people can always hope for a stellar year, and have a good idea where their compensation will likely come in at.

I think I ask people about 5 times a day how much they make.  For me it is a benchmark on where they are coming in for a position I'm recruiting on.  If their pay is lower than I expect, I wonder why they aren't making more money--but also think that they may be very interested in moving to a better paying company.  If their pay corresponds to what they should be making, I'm happy and move forward with the discussion.  If their pay is significantly higher than I expected, I'll dig a bit deeper to find out about their salary history, their responsibilities, and what types of roles they want to move into next.  

With all this discussion about salary, I am quite numb to the fact that most people rarely discuss their compensation.  Thinking it over, it probably makes others a little unnerved to talk about money with a stranger.   You immediately think, should I say what I am really making, should I inflate the number to look better, should I tell them to stick it?  Hopefully when you have this question come up there is a reason--a new job opportunity, a raise or a promotion.  What should you do when someone asks you how much you make?  Well, I appreciate the truth.  If you tell me how much you are making, and include any bonuses, commissions and perks, we'll have a baseline to work from.   I won't use this information against you, and will always gain your approval in discussing any compensation information with a potential employer.

Last year I was working on some wine sales roles.  I had reached out to a Director of Sales with a winery group.  Her first sentence to me was "I don't mean to sound arrogant, but you probably can't afford me."  What a breath of fresh air.  I told her I wish everyone would approach it this way--and asked what she needed to make.  Well, unfortunately she was right, I couldn't afford her.  She also wouldn't have been right for the role.  With job titles often being different from company to company, her title didn't convey how expansive a role she had.  My sales role would have been something she had done 15 years ago.  On that same recruitment I was talking with a VP of Sales for a boutique winery and his salary was half of that first gal's, and below the pay range my position was paying.  Once he and I discussed his current role, I found out that the winery was using brokers in most states, and the sales role wasn't as involved as it would have been at some other wineries.  He was highly involved in the winery's hospitality and marketing programs and has excellent experience in that area.  The role I had would have required a lot of travel, and this was something he did not want.  Both of these people are great contacts for me to work with, and now that I know where their compensation is coming in, I can approach them about the right roles.

When you are talking with a recruiter, or a potential hiring manager, lay it out about what you are making now, and what you would need to take a new job.  Speaking from a position of truth gives you a firm foundation to discuss compensation, and allows you to discuss different compensation scenarios with your future employer.  

And make sure you visit Wine Business Monthly's 2012 Salary Survey for specifics on wine biz salaries.

Wednesday, October 13, 2010

2010 Salary Survey

In this month's Wine Business Monthly the 2010 Salary Survey Report was presented. To summarize, the data showed that salaries declined for key positions, but that bonuses increased, leading to an overall increase in total compensation.

If you are working in the wine industry, or thinking about making a change, you need to read the report. For a summary, visit the preview . You can also find the entire article in the current issue. Click on subscriptions to get your own copy.

Wednesday, June 16, 2010

Negotiation Technique #1: Going Out on the Balcony

Salary negotiations are always nerve-racking, nail-biting and perhaps exhilarating. Being a recruiter, I've probably been involved in more salary negotiations than the average Joe. Negotiating your salary is always stressful because you are down to the final step, you most likely are very interested in the position, and don't want to sound too greedy or too needy. So once you are at the final stage, and most likely have at least addressed potential salary ranges and compensation models, you may want to have one last weapon in your negotiation arsenal. One of the best techniques to employ is the "going out on the balcony" tactic.

What is this technique you ask. One of the best ways to get a little breathing room once a true offer is on the table is to take a moment before accepting the position. At this point, the company wants you, and you want the job. Now you need to see if the salary is in line. Upon getting the offer, tell your contact that you want to look it over and think about it. Next you can do a few different things. 1. Go out on the balcony and scream "woo-hoo" at the top of your lungs, 2. talk over the position with your family, or 3. completely disregard it because it is so out of the realm of possibility for you in terms of salary.

By taking this moment to consider it, you are telling the company that you want to carefully weigh the opportunity and the salary that accompanies it. You are able to discuss the new role with your family to make sure it fits in with your needs and lifestyle choices. This break during the negotiation also puts the situation in your hands, perhaps making the company realize how much they want you. If you come back from your break on the balcony to tell them that while you are interested in the position, you need $X to really make the necessary sacrifices to your personal life, etc, it will be received understanding that you really considered all elements of the offer.

Now how long you need to hang out "on the balcony" is your call--there really are no rules. If you are sure the offer is fair and what you are looking for, tell them you are accepting the offer as soon as you can. If you are really struggling with an element of the offer, you can take several hours, or a day or two. But you want to keep the negotiations alive, and as you take longer to decide, the potential employer starts feeling that you may not be as committed to the company as they would like. So taking your time can help but taking too long can possibly hurt your negotiations.

I think the best rule of thumb is to let the employer know how long you need to think it over. That way they know when they will hear back from you, and can start planning accordingly.

Friday, January 8, 2010

What is that Degree Worth

I've written in the past about whether or not a degree is worth it. Here are some numbers for you from the College Board, New York. These are typical full-time worker median annual income figures.

High School Graduate: $31,500
Bachelor's Degree: $50,900
Master's Degree: $61,300
Professional Degree (law, medicine, engineering, etc): $100,000

Over a 40-year career a degree has similar earning benefits. For a bachelor's degree you will earn 73% more than without one, 93% more with a master's and 187% more with a professional degree.

Friday, November 21, 2008

Sing Your Own Praises

I was settling down to work after the morning household rush, and got a call from one of the kid's carpool drivers. My first instinct was to think, "Oh no, what happened?"

I quickly called the dad, a neighborhood big wig who knows all the right people, is president of all the local boards, a lawyer, and the host of great music for the upcoming turkey trot. I of course did not want to look bad in front of such a powerful person. I went on the defensive, "So, what terrible thing did he do today?" The dad laughed and said he was calling to say how nice it is to have my son part of the carpool.

What? Someone calling to say positive things? Unheard of. And it made me think. In the work world, you are rarely told about your accomplishments. And when you are accomplishing things, don't you want people to find out about them?

I'm prepping right now for a talk at Women for Winesense. The roundtable discussion I am presenting at is about salaries. I was going over the topic with the host, and asking about the audience. Women for Winesense is an industry group that meets regularly at various wineries and discusses different topics. My presentation will be for several women winemakers. Topics that I'll be bringing up include salary surveys, salary negotiation, performance reviews, promotions and severence packages. One reason the roundtable was proposed was because several of the women wanted advice on negotiating their salaies and to make sure they were being paid what their male counterparts are.

This was an important piece of information for me in preparing my topic. I deal with salaries all day, every day--and have always been up for negotiating my own salary. But many women aren't comfortable addressing the issue, and many times leave money on the table.

What does this have to do with my carpool call this morning? It reminded me that unless you sing your own praises, most of the time no one else will. Women generally are great communicators, but not braggards. It is not ladylike. Going into salary negotiations or performance reviews women need to be ready to talk highly of themselves. When you are preparing yourself, write down your accomplishments, and be ready to speak to them. Although you may think everyone knows it was your actions that caused a great outcome, make sure you mention it. Having these items in your mind, you should feel more confident, and realize you are a major contributor to the organization. No manager wants to have you leave, or not take the job. They will want to compensate you fairly, so that you are happy and want to stay with the organization. And most likely compensate you better.

Thanks for the call Peter!

Wednesday, October 29, 2008

Salary Ranges

Staying on top of your industry salary ranges is always helpful, both when you are going for a performance review and when you are scouting for a new position. The annual salary survey Wine Business Monthly puts out is a must read in this industry. While the most recent survey is still available only to subscribers, here is a link to the latest press release . Another site to browse is Salary.com. This site usually aggregates data from many industries, but can give you a guideline. Some more specific sites are Glassdoor.com and PayScale.com. When you are thinking of asking for more money--have your information and homework done using any of these helpful sites.

Friday, September 14, 2007

Talking about Compensation at Work

Yesterday Sue Shellenbarger's Work and Family Q&A column in the Wall Street Journal addressed talking with co-workers about compensation. While Ms. Shellenbarger confirmed my thought that it is inappropriate to discuss salary directly with your co-workers, she had a very interesting insight about people who do discuss salaries at work. Ms. Shellenbarger stated that "bringing up salaries, bonuses or raises can be a veiled power play, a way to belittle or intimidate others, or just a way to stir up trouble." I do encourage people to do their research on what market salaries are, but agree that it is never helpful to talk about it with your co-workers. It has only led to trouble among co-workers and feelings of resentment either of peers or management.

Friday, April 6, 2007

Money, Money, Money

Proper etiquette both at work and at home is to not discuss salaries. While it is always nice to have good manners, not talking about salaries can leave you in the lurch when it comes time to address your own compensation. Here are some resources to use the next time money is brought up with your present or future employer.

Every year Wine Business Monthly publishes their salary survey which is the best one out there. Click here for the 2006 survey,.

Another tool to review your salary and calculate your possible compensation for different geographical areas is salary.com.

Monster.com and Careerbuilder.com also have salary information.