This is not a rant, genuinely curious how people view the whole comp/benefits package since this forum seems to only focus on base/bonus potential.
TLDR: How much value do you personally put on these ancillaries like PTO, 401K contributions, etc. vs. just your base/bonus comp? Possibly more of a factor these days if you keep switching every 3-5 years before full vesting opportunities and you leave $$ on the table...
Remove COVID and WFH from the equation for the moment. What's the best/worst benefits package you've been offered in your first 1-2 years at the new firm? I'm still surprised at the amount of firms that offer terrible vacation/PTO packages, retirement, etc.
Anecdotally, I made a switch about 2 years ago after being somewhere for 6 years and had built up about 30 days of vacation every year, plus 10 that rolled over from prior year. When I switched to the new firm, I went back to 10 days the first year and 15 days the second year after the switch. That was for all levels, not just a "lowly analyst". That's horrible and felt like a slap in the face for choosing the new firm. More than half of my new PTO balance was allocated to weddings before my first day and then I carried a negative balance until I built it back up.
I get why firms do it, to try and retain employees and reward them for longevity. And, yes - the new firm was better for my career/exit ops, provided better base and bonus. But still, seems kind of backwards in a way and almost like a punishment for switching to the new firm.
I wouldn't consider this an immediate deal breaker if looking again, but have seen some target companies of mine have pretty bad reviews when it comes to PTO, 401K contributions, etc. At what point do these ancillary benefits outweigh the comp/bonus/prestige of a new firm/role?
Thought?
Personally, only total compensation mattered for my first few years. Sure 401K match percentage is great and all but I've got bills to pay. As I've progressed, things like PTO and 401K started to matter more. I can't say how much since it depends on the total package but I probably wouldn't have taken the deal you presented. I would've definitely tried to negotiate more PTO commesmerate to the level I was at. 10 days even as an analyst seems rough. To each their own though
Usually they matter to me “annualized pv /annual earnings” much
Match matter more when you get more disposable income.
Everyone analyst and above should be getting 15 days PTO standard, plus floating holidays etc, sick.
My wife gets unlimited days off, and you what she doens't abuse it. People take off what they are comfortable taking off.
Unlimited PTO is a mind trick. If they give you 5 days. Then it's like you have to use it or lose it. If its unlimited then you may feel that even 3 days in a year is too much.
Really depends on the company and your boss. Also depends on your life situation.
But, if I'm getting my work done I feel totally comfortable taking a day off here or there.
Yep. Good firms seem treat it as "if you're busy, you better be here" and if you're not, feel free to take some time off. My industry has a very seasonal cycle for closings, so you better be at your damn desk in June and December to make sure you get the financing done, but if you want to take 10 days in August and February that's fine.
Tbh I personally place pretty high value on a good 401k package, since it shows how they value employees overall. I think vesting schedules should only be stock options instead of in 401ks, people in the US already have a huge problem saving for retirement as it is so vesting schedules are just annoying.
In the future access to a good health insurance plan is also going to be really important. I like my PPO a lot currently, but at my previous firm the top plan was significantly worse.
Could not care less about most of the ancillary stuff early on aside from a decent 401K match. Like Pierogi Equities said, it's a semi-reliable proxy to judge how much the firm values you as an employee and cares about your future. Aside from that I'd prefer it all in cash + bonus because I think I know what I want more than my company does. I'm sure that'll change as I get older though and the income hits a solid 6 figs after taxes, but till then it's all about the green baby.
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