July 26, 2011

What You Make: Yearly vs. Hourly

"What do you make?" should always be answered as an hourly rate.

Let's say you make $35,000 a year. And you decide to switch jobs for a nice 20% pay bump up to $42,000/yr. That's a hard increase to turn down. A number that might take you 5 years in annual mini-bumps at your current company. So, you switch, knowing that the new job is going to be quite a bit more demanding. In fact, you are now consistently putting in 60 hours a week. Whereas, at your old position, it was a pretty regular 40.

Are you getting paid more at the new position? Sure, if we're looking at annual income. But, we shouldn't be.

60 hrs/wk x 50 wks/yr = 3,000 hours
$42,000/3,000 hrs = $14/hr

40 hrs/wk x 50 wks/yr = 2,000 hours
$35,000/2,000 hrs = $17.50/hr

Sure, that $7,000 bump is a lot. But, it's not a pay increase. And there might be a more efficient way to increase your income.
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July 25, 2011

I Am Going to Hit a Kid With My Car

I am going to hit a kid with my car.

Driving through my subdivision this summer has become a constant game of chicken. I'm not sure if children are getting dumber, or if there's some sort of leak in our drinking water. But, the children in my neighborhood speed out in the middle of the street - completely blind - all the time.

I am going to hit a kid with my car. The odds have determined it. The only question is, when? And how fast will I be going?
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