New York is NOT equal to San Francisco, which is NOT equal to Columbus!
When weighing job offers, you have to weigh multiple factors into the job offer. For instance, let’s say your salary averages out to $29/hr (how did we get that? Let’s take a salary - $60,000/year, divided by 52 weeks in a year, divided by a 40 hour work week = Our hourly rate, rounded up). That’s assuming our employer pays for insurance, medicade, 401k, etc - and with that we can say it averages to $36/hr).
When we compare a job offer from city A to city B, we can use a formula to determine whether the increase (or decrease) in salary actually is worth it!
(Where do we get the Index? From Sperling’s Best Places!)
Salary in city 1 X (index city 2/index city 1) = equivalent in salary in city 2.
So, for Columbus, Ohio’s $70,000 would equal $138,960 (roughly) in San Francisco, or $120,733 in New York City. Crazy!
What should be noted, is these figures are living in those cities - if you made that salary but lived outside the city limits, you could see a substantial jump in income!
This is particularly relevant to me as I’ve started to weigh job options - the perks weigh into the total worth of the package, and the location determines if it’s worthwhile or not. Lots of options and factors to consider!
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