So would you take an 8% pay cut in exchange for one more week paid vacation and a pension, that after 20 years will pay you 80% of the average of your 5 highest grossing years for the remainder of your life? Of course knowing that you would leave those that you have grown close to, including your mentor, over your career to this point? (you really enjoy where you work?)
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Lifes full of hard to make decisions. Ita not all about securing your future and making more or in this case less money. It's what's gonna make you and your family the happiest. I you think you'll be happier at the new job, I say roll with it. If you are happy where you're at, don't fix whats not broke.
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From a purely financial standpoint, I would lean towards the new opportunity. It starts less, but being that is has a pension, I'm gonna bet that it is a government position. If so, you are looking at cost of living raises each year in addition to any performance raises. This would make your 8% pay cut negligible in pretty short order. Pensions are tough to come by and they are like a warm blanket. Combine that with a decent IRA savings plan and you can really build a nice retirement package for yourself.


Just my :-)
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I would take the job with the pension. Lets face it the way things are going, financial stability after retirement is going to be very important, jump on it if you can.
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I'm pretty sure the only person who can answer that is you. The option you laid out sounds good to me, but you are the one who is ultimately going to have to take that leap of faith into the unknown to the new job. Money is not everything, but there is really something to be said for security in the future.
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It is not a government position, and they have the pension, plus a 401k which they will match up to 7% of your salary. Those two things alone are huge. I feel movement in the wind.
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Will the pension by itself pay you the 80%, or are they including social security and 401k projections in that total?

If the pension alone will pay 80% of your highest earnings, that's huge.

But many companies add in SSI and the 401k when they throw out numbers. Be careful.
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Also, make sure the stability of the company will still be there after 20 years. Anything can happen (enron).

Don't go after the golden goose only to find out she lays brown eggs.
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Those two things are huge, and they'd seriously make me consider jumping ship. But those benefits have also hamstrung large firms with all the medical increases over the past ~10 years. I'd echo what a couple others have said: carefully consider the firm's long-term viability.
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If you are comfortable and happy where you are, don't screw with it. There are more important things than money.

:-)
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How long does it take to be fully vested in the pension? 20 years? If so, can you see yourself at this company for 20 years? Are there more or different career growth opportunities at this company than your current company?

Your mentor and friends will be understanding. Not all will be happy. But you need to have more reason than another week of vacation time.

On a related note, I know companies that offer similar benefits. And these companies aren't for everyone. PM me if you want to discuss.
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There's obviously more variables that just those two. On top of money, we haven't heard about a change in hours or a change in location. We don't know what the company is, and whether or not it even is going to exist within 20 years.

Finally your current salary determines what 8% is. 8% of $40k as opposed to 8% of $100,000 are two completely different numbers and should be treated differently.
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An open door of opportunity that would allow more time with family and any job that is being offered is better than a lot of people are getting I would jump on it in a second:-)
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Regardless of current salary, an 8% change isn't a big deal if it's traded for lower employee contributions to medical benefits or for better company contribution to retirement plans. Plus it should lower tax rates since the base wages would be lower.
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How far are you into the 20? My dad is a govt retired on pension. He did pretty well, but he could've made a lot in in private sector and not had a pension or security? It's a toss up. Pensions are becoming rarer than hen's teeth.

I would worry that my role and employer will continue for until I could be vested. There's a lot of uncertainty as roles are being moved to contractors in every industry. Luckily, I am that contractor.
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Pension has got to be the kicker here.
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I would have already packed my ****.

Pension, more vacation, 401k > 8% pay cut

I would just leave on good terms and be honest. Keep in touch with your friends and mentor. You never know.
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The background check is in the works, and once I get the go-ahead, I'm out of my current job!! I have the tentative job offer/acceptance pending the background check. Man I'm pumped, although I'm not looking forward to telling my current employer that I'm leaving. They are going to be hurting in the short term. An extra two weeks vacation above what I get now (for a total of 24 days), pension, 401k, same commute (but possible it could be cut in half when the lease is up in 2012), ... .
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Thats BadAss Brother! Best of luck to you!
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Good luck to you! What's your first day of work cigar gonna be?
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