I started a new contract and apparently different people with the exact same position through the same recruiter are making different wages and have different benefits. Fine. I was not aware of the big picture initially but the rate was right.
What I know: If I were to take a $1 or $2/hr rate decrease I could get PTO (Paid time off). This includes 5 paid holidays a year and 40 hours sick/personal time per year. Not great benefits but better than nothing.
Assuming those holidays are also holidays for the company I do work for (not my recruiter who actually pays me), PTO people get a paid day off, I get a non-paid day off but get paid at a higher rate on normal days.
I know that in the end the higher rate will end up paying more money over all, but there is also value in being able to take days off on holidays with friends and still getting paid if an emergency arises.
My question is how do I do a cost/benefit analysis on this? There are too many variables for me to be able to see it plainly as an algebraic situation. I did a few calculations and ended up with very small numbers that lost their meaning in the end.
It may not be an apples to apples comparison but maybe someone can can help me weigh the pros and cons mathematically.
No, it is pretty simple. First, assuming 8 hrs/day, you’re getting 80 “free” hours at the lower rate.
Next figure out how many hours you plan on working (5x8x52=2080 max for working all 8 hours every day). If you take the higher rate it’s 2080 minus 40 (5 holidays company is closed & you can’t work) - 20 hours (2½ {?} sick days) - other holidays you want/need to take off (if you need 2 days at Thanksgiving to go to family, that’s an extra 8 hours for Black Friday) - expected vacation days/hours should put you in the 1900+ hours range; let’s say 1950 for arguments sake.
Multiply 1950 hours times the higher rate.
Multiply 2030 hours times the lower rate.
Which is higher?
P.S. I’ve consulted for years. It sucks being forced to take off a holiday that you don’t really care about & also not get paid for it. It’s not even like, “Yippee, I’ve got a day off, let’s go do something fun.” because I’m already only getting paid 80% of normal salary this week & therefore, extra expenses may not be in the cards.
I only care about 3 of the 8 traditional holidays; those that I do something special on. The other 5 were, “Damnit, short pay week. :mad:” & not, “Cool, short work week. :)”
There is something to be said for the intangible of lower rate/paid time off, whether it’s a holiday or a day that you really should stay in bed - which will help you recover quicker. Only you can put a value on that.
I would always go for the higher rate. If you apply for a loan or need to declare your income anywhere, it’s the annual rate that matters, not the benefits.