The key to evaluating job offers

When you receive a job offer, there’s a great chance the first thing you look at is the total compensation. And for good reason.

Your salary dictates where you live. Where you eat. What car you drive and what clothes you wear. The people you spend time with, and the vacations you’re able to take. Heck, it even has some weight in social circles.

The point is that salary is important. But is it everything?

No.

There are other factors you should look out for during the application and interview process that can have just as much of an effect on your life as the total compensation number attached.

Namely, the value you think you can drive at a given place of work.

The point is this: the amount of leverage you have is directly correlated to the amount of value you drive for the company.

Let’s paint an example:

Say you have two job offers on the table: Job A pays $80K per year, and Job B pays $70K.

While it may look enticing to automatically pick Job A because of the $10K in compensation difference, it’s worth evaluating what your role would be in each scenario.

If Job A would have you stuck at the bottom of the company chain, with little (or no) opportunity to demonstrate your value, you’re in trouble.

If you know you can drive outsized value for your role at Job B due to team size, job description, or overall opportunity — that may be worth taking.

This’ll give you negotiating power in the future with that company and others, and the $10K “loss” in compensation up front may prove to be worth it in the future.

TL,DR:

Take jobs at places where you can drive the most value. If they happen to be paying you the most money out of all your offers, great.

If not, don’t stress it.

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