sc23 Wrote: ------------------------------------------------------- > And then there’s adjustment for Boston/NYC > locales. Of course starting salary in those > places should be 10-20k higher on avg, just to > compensate for cost of living differences. Yet another AF misconception that employers pay people based on “cost of living differences” as oppose to profitability and supply and demand of labor. Call it the AF Exaggeration Amended for Cost of Living Discount (AFEAFCOLD for short).
^Agreed. I made sub-40k first year out in Boston. My salary was in line if not higher than most people I graduated with.
AFEFACOLD & AFED are two powerful tools, use them wisely.
40 all in is pretty light unless you are talking about ALL people in finance (ie tellers, etc) straight out of uni… If you are talking about someone from a decent school, 4 yrs relevant experiance and a CFA its absurd. In fact… thats less than starting for teachers http://www.teachinla.com/Research/documents/salarytables/ttableannual.pdf Maybe those San Diego ppl need to move and seek careers in other industries. I know secretaries that are paid better.
But, employers do pay different salaries based on cost of living, if only because cost of living affects supply of labor. For instance, not many people would be willing to work for $X of dollars in the San Francisco Bay Area because the cost of living is really high. In contrast, many people would be willing to work for $X in Atlanta, GA, where cost of living is lower. Because of this, employers have to pay more money for people to work in San Francisco than in Atlanta. Seriously, the average salary + benefits for BART (San Francisco commuter train/subway) employees is close to $114,000. This is more than many “finance” people in other cities make. San Francisco transit workers are not super talented. They are just paid a lot because everything here is expensive. http://www.bart.gov/news/articles/2009/news20090702a.aspx
Hello Mister Walrus Wrote: ------------------------------------------------------- > They are just paid a lot because everything here is expensive. I think you’ve got cause and effect backwards.
justin88 Wrote: ------------------------------------------------------- > Hello Mister Walrus Wrote: > -------------------------------------------------- > ----- > > They are just paid a lot because everything here > is expensive. > > I think you’ve got cause and effect backwards. +1
Hello Mister Walrus Wrote: ------------------------------------------------------- > But, employers do pay different salaries based on > cost of living, if only because cost of living > affects supply of labor. For instance, not many > people would be willing to work for $X of dollars > in the San Francisco Bay Area because the cost of > living is really high. In contrast, many people > would be willing to work for $X in Atlanta, GA, > where cost of living is lower. Because of this, > employers have to pay more money for people to > work in San Francisco than in Atlanta. > > Seriously, the average salary + benefits for BART > (San Francisco commuter train/subway) employees is > close to $114,000. This is more than many > “finance” people in other cities make. San > Francisco transit workers are not super talented. > They are just paid a lot because everything here > is expensive. > > http://www.bart.gov/news/articles/2009/news2009070 > 2a.aspx well San Diego isn’t exactly cheap. Not at NYC/SF level, but still very pricey.
nuppal Wrote: ------------------------------------------------------- > AFEFACOLD & AFED are two powerful tools, use them > wisely. Nupps, try to write the AFEAFCOLD and AFED Excel VBA code to impress your new employers.
Part-time Crook Wrote: ------------------------------------------------------- > nuppal Wrote: > -------------------------------------------------- > ----- > > AFEFACOLD & AFED are two powerful tools, use > them > > wisely. > > Nupps, try to write the AFEAFCOLD and AFED Excel > VBA code to impress your new employers. Duly noted.
SMIRK Wrote: ------------------------------------------------------- > sc23 Wrote: > -------------------------------------------------- > ----- > > And then there’s adjustment for Boston/NYC > > locales. Of course starting salary in those > > places should be 10-20k higher on avg, just to > > compensate for cost of living differences. > > Yet another AF misconception that employers pay > people based on “cost of living differences” as > oppose to profitability and supply and demand of > labor. Call it the AF Exaggeration Amended for > Cost of Living Discount (AFEAFCOLD for short). Of course they pay based on labor market fundamentals. But employees’ willingness to sell (supply curves) are dictated by their cost of living, so it is built in to the model. Many people would take jobs right now in Finance for $20k/yr if it weren’t for the high value of leisure (esp. with perks such as unemployment).
Let me also add… If it costs $50k/yr just to get to and from work (lets say that gasoline is $30/gallon), the labor supply curve wouldn’t be willing to provide anything until $50k+some just for even the most pathetic job. Extreme case to show cost of living affects labor supply, and does affect clearing prices for labor.
SMIRK Wrote: ------------------------------------------------------- > justin88 Wrote: > -------------------------------------------------- > ----- > > Hello Mister Walrus Wrote: > > > -------------------------------------------------- > > > ----- > > > They are just paid a lot because everything > here > > is expensive. > > > > I think you’ve got cause and effect backwards. > > +1 Doesn’t matter. The fact is, if you get a job in San Francisco, you will be paid more than you would at an equivalent job in Atlanta. This is partly because of high living costs, regardless of why the living costs are high to begin with.
Hello Mister Walrus Wrote: ------------------------------------------------------- > The fact is, if you get a job in San Francisco, you will be paid more than you > would at an equivalent job in Atlanta. I’m sure this could be easily disproved.
What are the hourly rates of an operations employee at AT/T in San Fran? I can compare that to my hourly rate currently, lets compare. I bet AT/T shafts the $hit out of people in Cali.
Does anyone actually have a FO job with a salary and bonus he can post? It seems like everyone on here these days works in BO in Canada making $35K/year…yikes!
It surprises me what people will put up with while holding out for that “dream” finance job. Why not go into something in business that doesn’t have as steep a compensation curve, and make a good living, rather than trying to get into an overcrowded/intensely competitive industry. I know a lot of people in Calgary that make decent coin who work great hours, get all kinds of perks, and don’t have to deal with even 10% of the headaches that FO jobs, and those trying to get into FO jobs, deal with.
hh Wrote: ------------------------------------------------------- > Why not go into something in business that doesn’t > have as steep a compensation curve, and make a > good living, rather than trying to get into an > overcrowded/intensely competitive industry. Yeah, why didn’t I think of that before. I’ll just go grab that steady, flat compensation $500K/yr job that’s of bountiful abundance while the rest of you suckers are inexplicably making 35K/year.
hh Wrote: ------------------------------------------------------- > It surprises me what people will put up with while > holding out for that “dream” finance job. > Why not go into something in business that doesn’t > have as steep a compensation curve, and make a > good living, rather than trying to get into an > overcrowded/intensely competitive industry. > I know a lot of people in Calgary that make decent > coin who work great hours, get all kinds of perks, > and don’t have to deal with even 10% of the > headaches that FO jobs, and those trying to get > into FO jobs, deal with. Work for the Feds. 40 hr weeks, lots of vac, sick leave, flex schedule and job security. ANd do cool stuff if you join an agency like NASA.
I have many friends in San Diego who have recently graduated and have entry level jobs in San Diego. 40k seems very realistic here. Two of my closest friends do essentially data entry for a start-up and make 35k + low 4 fig (~1k) bonus… so really don’t believe the CFA charterholders going for 35-40