Negotiating Salaries Compensation Packages · Chart A: CY2013 Medical Coverage Plan Chart B: CY2013...
Transcript of Negotiating Salaries Compensation Packages · Chart A: CY2013 Medical Coverage Plan Chart B: CY2013...
Copyright 2015 X Corp Solutions, Inc.
2015 Residency Conference
College of Graduate & Continuing Studies
Norwich University
Presented By:
Cesar Nader
President/CEO
X Corp Solutions, Inc.
Negotiating Salaries
&
Compensation Packages
Why Negotiate?
• CareerBuilder.com surveyed 875 hiring managers
and found that
• Over 60% of managers leave some room for offer
negotiation
• A SHRM survey found that 8 out of 10 recruiters are
willing to negotiate salary and benefits, yet only 33% of
applicants negotiate.
• Managers want to hear candidates explain why they're
worth more by highlighting specific accomplishments.
Key to every Career Transition
• Know your priorities:
• Salary
• Location
• Job Satisfaction
What is your “Need” Salary vs. “Want” Salary
How to Prepare
• Make Assessment of Your Skills and
Experience
• Evaluate the Overall Offer
• Make a Salary Negotiation Checklist
• Negotiate Compensation not Salary
• Be positive with the outcome
Make Assessment of
Your Skills and Experience
• What Do You Offer?
• Level of Experience (Years)
• Education (BS, MS, PhD)
• Special Training
• What Makes You Stand Out Compared with
Others?
• Professional Strengths
• Core Competencies
• Management Skills
https://info.aiaa.org/SC/YPC/YP%20News%20letter/News%20Letter%20Articles/YP%20Article%20-%20LAfflitto.pdf
2008 AIAA Survey
What You Are Worth
Evaluate the Overall Offer
• Base Salary
• Hiring or Signing Bonus
• Benefits package (ANSER example)
• Location
• Relocation Assistance
• Cost of Living Allowance
• Job Satisfaction (Opportunity for growth)
• Commute Time
• Company Discounts
Benefits Available to Analytic Services Inc.
Employees
401(a) Employer Funded Retirement Plan
Employer contribution = 5% during 1st year of service, with annual increases of 1% to the maximum of 10%
100% immediate vesting Employee-directed account with TIAA-CREF
403(b) Employee Funded Retirement Plan * Pretax or Roth, Employee-directed account with TIAA-CREF Pretax Employee-directed account with T. Rowe Price
Paid Time Off Accrual based on hours worked, with maximum of 15 days for first year One extra day per year of service, with maximum of 25 days per year
Paid Holidays 10 holidays per year – 6 scheduled & 4 “employee choice”
Work Schedules Opportunities, business need permitting, for flexible schedules such as a “9/80”
Medical Plans * Plan Choices of Aetna HMO, PPO or CDHP w/HSA
- See rates in Chart A
Dental Plans * MetLife Copay and Insured plans
- See rates in Chart B
Opt-out Credits (Employees & Retirees) Extra cash if not enrolled in medical and/or dental plans
- Requires proof of other coverage- See rates in Chart C
Medical & Dental Benefits for Retirees
Medical administered by Hartford, dental by MetLife
- Employer subsidized health/dental benefits for retirees and their spouse
- Retirees: Minimum age = 55, Minimum service = 10 years and age + service >= 70
Vision Insurance * Administered through Vision Benefits of America
- Standalone plan – 100% employee paid
Flexible Spending Accounts *
Employee contributions up to $2,500 each for medical and up to $5,000 for dependent care expenses
NOTE: Benefits are available to all full-time regular employees and are generally effective on the first day of active employment. Certain restrictions apply to employees with alternative work schedules, e.g., part-time, on-call, and those with a planned termination date. These summaries are also subject to the detailed provisions of the associated Plans.
Life Insurance Administered by MetLife
- 100% employer paid premiums- Three times annual salary up to $1,000,000- Matching Accidental Death & Dismemberment (AD & D)
Supplemental Life Insurance Administered by MetLife
- 100% employee paid premiums- Up to $500,000 for employee & up to $250,000 for spouse- Child rider available- Will Preparation - employees who enroll in Supplemental Life coverage are
eligible to complete or update wills for themselves or their spouses for free
Business Travel Accident Insurance 100% employer paid premiums $100,000 AD & D
Short-Term Disability (STD) Administered by MetLife
- 100% employer paid premiums- 100% of salary (up to $3,500/week) for 1st 8 weeks, 80% for next 6 weeks, 60%
for final 8 weeks
Administered by MetLife
- 50% employer & 50% employee paid premiums- Benefit coordinated with the end of STD- Pays 60% of salary (up to a $ 15,000 monthly maximum benefit) until age 65
Educational Assistance
Up to $5,250 for tuition & eligible expenses per school year, paid in advance Additional $2,000 interest-free loan available
Training and Development Employer paid seminars/non-degree courses available Annual employer contribution toward professional association membership
Long-Term Disability
*Employee contributions made on a pretax basis
Benefits Available to Analytic Services Inc.
Employees
Employee Assistance Program Administered through INOVA
- 100% employer paid- Available to employees & households for specified assistance with
personal, legal, and/or financial challenges
Computer Purchase Program
Up to $3,000 interest-free loan for hardware and software
Employer Paid Parking or SMARTRIP Benefits Paid parking or $120 per month SMARTTRIP
Employee Recognition Programs
Quarterly/annual recognition for excellence, published contributions
Associated monetary awards up to $5,000
United Buyers Services Discounted automobile purchases
Pentagon Federal Credit Union (PFCU) Employees are eligible to join the PFCU
Health Facilities Free fitness facilities in Shirlington, VA and Colorado Springs, CO Corporate discounts for The Energy Club, Shirlington, VA
Pet Insurance Provided through VPI http://www.petinsurance.com/affiliates/anser_npr
Additional Benefits Administered by MetLife
- Metdesk – free service which focuses on the financial concerns of families who have special needs children and/or dependents
- MetLife Advice – specialist to help beneficiaries foresee and resolve many ofthe issues they may face during a sensitive time
NOTE: Benefits are available to all full-time regular employees and are generally effective on the first day of active employment. Certain restrictions apply to employees with alternative work schedules, e.g., part-time, on-call, and those with a planned termination date. These summaries are also subject to the detailed provisions of the associated Plans.
works, & extraordinary
Chart A: CY2013 Medical Coverage Plan
Chart B: CY2013 Dental Coverage Plan
Chart C: CY2013 Opt-Out Credits (Available with proof of coverage)
Plan Semi-monthly
Employee
Semi-monthly
Analytic Services
HMO Individual 0.00 202.58+child(ren) 87.91 300.88
+spouse 101.78 348.28family 139.61 476.89
PPO Individual 70.28 202.58+child(ren) 222.88 300.88
+spouse 258.02 348.28family 353.63 476.89
CDHP
/HSA
Individual 0.00 188.90+22.50+child(ren) 87.03 275.57+32.50
+spouse 100.74 319.00+35.00family 138.00 436.98+45.00
Plan Semi-monthly
Employee
Semi-monthly
Analytic Services
Copay Individual 0.00 11.35+child(ren) 6.19 21.93
+spouse 5.68 20.13family 9.33 33.07
Insured Individual 9.67 11.35+child(ren) 23.59 21.93
+spouse 21.48 20.13family 32.72 33.07
Plan Annual Payments
Analytic Services
Medical/Dental 650.00/130.00
Make a Salary Negotiation Checklist
Small Company #1 Medium Company #1 Medium Company #2 Small Company #2 Large Company #1 Medium Company #3 Large Company #2 Large Company #3
Title
Base Pay $150,000.00 $155,000.00 $150,000.00 $162,500.00 $150,000.00 $172,000.00 $140,000.00 $130,000.00
Variable Pay
(Revenue Based)
1% of Gross Revenue
(~$100,000.00) $50,000.00 None $12,500.00 None None
7% of Base exceed target
($10,000.00) None
Incentive Bonus None
$50,000.00 per
(WPPL/ECCS/Ku BW) $52,500.00 $20,000.00-$25,000.00 25% of Base ($37,500) Discretionary (~10K) 25% of Base ($35,000.00) Minimal
Re-Lo/Signing
Bonus $30,000.00
$30,000.00+$10,000.00 tax
free $30,000.00 $25,000.00 $30,000.00 $18,000.00 $30,000.00 $10,000.00+move expenses
Stock Options None
25,000 Shares
($40,000.00 per year) None None None 500 Shares (~17K) None None
401(K) Matching
5% Employee/4% Company
match
Match 40% of employee
contribution Match up to 4% None ($16,500.00/year) Match up to 6% Match up to 5% Match up to 4.5% $14,500.00 match per year
Company Equity
Stock % Based on Performance None None
300 Units vest over 4 years
($20,000.00 currently) None None None None
Vacation 3 Weeks 3 Weeks 3 Weeks 15 Days 4 Weeks 3 Weeks 3 Weeks 23 Days
Estimated Annual
Income: $250,000.00 $245,000.00 $202,500.00 $200,000.00 $187,500.00 $176,000.00 $175,000.00 $130,000.00
Retirement
Income: $48,400.00 $48,400.00 $48,400.00 $48,400.00 $48,400.00 $48,400.00 $48,400.00 $48,400.00 Total Estimated
Income After
Taxes $191,000.00 $185,000.00 $161,000.00 $159,000.00 $151,000.00 $144,000.00 $143,000.00 $123,000.00
Risk High Medium Medium High Low Low Low Low
Business Diversity Low Medium Medium Low High High High High
Family Time Medium Low Medium Medium High High Medium High
Promotions Low Medium Medium Low High High High Low
Location
Travel 20%-50% 25-30% 30% 50% 50% 50% 50% 20%
PROS
*hands on engineering
*less oversight and politics
*compensation grows
directly with revenue
*minimum status reporting
*work from home or office
*innovation *Projected
growth for 2010 is 15M,
2011 is 25M
*Good middle management
and sales staff
*Well known product lines
*Promotion opportunity
*Future pay and
compensation *Growth
pattern *Engineering
centric *Guaranteed 8% pay
raise in Feb 2011
*Diversity *Growth
pattern *Outstanding upper
management *Engineering
centric *Promotion
opportunity
*max flexibility
*minimal supervision *work
from home
*Good middle management
and sales staff
*Well known product lines
*Promotion opportunity
*Future pay and
compensation
*Engineering centric *Every
other Friday Off
*Well established company
*Diverse
commercial/government
business units *Low
stress company culture
*Good middle management
and sales staff
*Well known product lines
*Promotion opportunity
*Future pay and
compensation
*Solid engineers
*Engineering centric *Direct
MC/Army comm support
CONS
*promotion opportunities
limited
* no diversity, niche market,
limited customer base
*high risk *97%
Revenue from government
*Possible
micromanagement
*Possible reputation
problem *Office
politics
*Geo location *Not
well structured *No
product lines *No direct
link to Marine Corps
communications
*IA Business *Contingent
offer *no equipment or
product lines *Create
something out of nothing
*Pay and comp structure
*Limited growth *Minimal
impact *Office politics
*No incentive/bonus
structure
*Minimal impact potential
*Pay and comp structure
*Limited growth *Minimal
impact potential
*Office politics
*No performance bonuses
*No incentive structure
*No pay raises
*Very little promotion
opportunity
Negotiate Compensation not Salary
• Is there room for negotiating the base salary
• Can you get more money for less benefits
(military retirees
• Is the pay cut worth the career move
Questions