Need Advice on Job Situation

[stats45]

Thanks in advance for any responses/assistance/criticism. All are appreciated.

I'm graduating in the next few months, and I was offered a job today. I haven't discussed the salary with human resources at this time, but the salary range is between $110k and $140k, and it is a analyst/management position that is very specific to my educational credentials and experience. I know a lot about these positions because multiple professors in my department have sent students to these positions in the last five years.

That said, graduates with my skill set often operate as consultants and make more money with more flexibility. I have done this at times while completing my degree, and I think that I would be able to make a good career doing this. Some of the advantages to this are increased flexibility and the ability to take on the jobs that I find interesting. Obviously, a disadvantage to this career path is not having the security of a consistent paycheck and benefit package. Sucessful consultants easily make two to three times what I would make in the offered position.

I've spoken about this with two of my professors already, and they are (surprisingly to me) encouraging me to take the position. They say that I can still do certain categories of consulting work in the meantime. Both of my professors (who are over 50) say that my age (I'm 26) is a real variable to consider in my decision, and one of the main reasons they are encouraging me to take this path.

What would you do?

[shanendoah]

I would take the job. (Of course, at 35, I'm thrilled with 80k, but the money's not the reason.)
You are 26. Yes, you have an in demand skill set, but I have found that many companies don't really like to hire consultants who don't have a resume to back them up. At your age, you don't. You also don't have the "maturity" (I put that in quotes, because it has nothing to do with how mature a person you are) that most companies look for in their consultants.
Do the salaried gig. Get the experience, make the contacts, build the resume and network that will help you go in to the consulting field completely on your terms in another few years.
In addition, right now, a steady paycheck is not something to discount.

[The Walk of the Penguin Mich]

You need to sit down and figure out what those benefits that you lose as a consultant are going to cost you. I think you may be surprised as to what they're worth.

You can still consult on the side to build your resume, but taking the job may make more sense for you. During this time, you can make connections and learn how to work with a wide group of people.

[stats45]

Shahendoah, this is what I assumed they were saying, but they did not say it directly. I've seen students in my situation do well consulting directly out of school, but I guess I don't really know exactly how they are doing. I tend to not trust things that I can't verify on my own, but I have felt that if they could do it why couldn't I? I think you are right in your assessment of the situation.

Mich1, the benefits that I would receive from the job are excellent. My professor has sent a student to this agency before and said that they are around 40% - 50% of the total salary if you wanted to attach a dollar figure to it. He is trying to do his best to present the security of this position against the higher upside yet more risk of consulting. He said today as he has many times that he thinks I should look to be a consultant in the future.

[Savoir Faire-Demogague in NJ]

I did consulting back in 1999-2001. Earnings range was similar, though a tad higher.
I loved the freedom to move from job to job, meeting people, learning new techniques, processes etc. It is very career enhancings and you get to see a lot of ways of doing things.
I'd love to do consulting again. It would fit in good at my stage in life.

[daylight]

I wonder how much your professors know about your background and the contacts you may need to make the amount of money in question. (The 2X, 3X of your current offer.) And, I'm not sure how well they know you but this advice may also be character-based. You could have exhibited signs that suggest that you'd somehow need that security of benefits or that you would need the daily presence of your colleagues. Please don't take this as an insult, I'm just trying to tell you that your professors probably think that it'd be to your benefit to take that job without wanting to hurt you by specifying that you would need more contacts, or would suffer from working independently (because you seemed very socially interactive).

Is there a way you could find out more about working independently? Do you have any prospective clients lined up? Best of luck with your decision!

[phil5185]

In addition to the benefits and putting some corporate time on your resume - there is a financial factor.

In wealth building, a steady moderate income stream trumps sporadic high income. Eg, steady, never missed $10,000/yr incremental investing in an 11%/yr fund equals $2,200,000 in 30 yrs.

If you need to maintain a $50,000 reserve account to cover 'dry periods" and skip a few investment inputs, it will be hard to match the power of uninterrupted compounding of steady investing. Don't know your skills - but if it involves stats, you can probably calculate the probable outcome, knowing the standard deviation of a product, and it's convergence on a statistical mean over 30 yrs.

[stats45]

Sroo, I understand that strategy, and I guess I thought that my degree would function as that signal in many ways. I think that experience with a reputable company is something to consider when thinking about long-term opportunities.

Savior, I like those elements as well.

Phil, this is an important thing to consider, and I'm drawn to the job a bit for emotional reasons too. I didn't grow up with many resources, and it seems odd to push away a near guaranteed opportunity for financial independence.

Daylight, I think you are on to something here that I've always noticed though I didn't know how much it would impact me. Many of the people in my department seem to be perfectly happy to never interact with anyone but their students. They are like mini-grant and consulting machines and really don't need to interact with any people besides their project contacts. I really do like to talk to people and problem solve in groups at times. I have no problem working alone, but I'm a little concerned about being 'on my own' in a way. I've gravitated to other faculty members who work that way, and I know that this is just part of my personality.

[daylight]

Am glad that my message come across. You sound like an excellent team player. Suppose your professors not only think high of you because you have excelled in your studies, but they also see you as someone who'd be appreciated at this particular company in more than one way because of his ideas. (Many people would be afraid to speak up or be too egoistic to share their ideas and work towards a common goal.)

I think it is important to consider what people (esp. highschoolers, college kids) would really like to do in their professions as in an everyday routine sense. Such as getting up at X hour, having the chance for a decent breakfast and snacks/lunch during the day. Consider whether they want to work indoors/outdoors, whether they are afraid of talking to a stranger. I think this can be especially helpful if you have a variety of jobs/college majors to choose from in slightly different fields.

And there is a lot you can learn at your first regular job about working environments that will come in handy later on.

[debtheaven]

Stats, one thing that sticks out to me is, your professors seem to be encouraging you to accept that job, and telling you that consulting is a great idea for the future. Consulting does indeed pay more, but it is uncertain.

They know you, and your employment situation, so much better than we do. I would accept that job, and do it for a year or two or more. Once you can put that co on your resumé, once you've gained that much experience, gleaned that many contacts, there will always be time to go out on your own.

At your age, you could even work for that co for four or five years and STILL become a consultant by the time you are 30.

Best of luck!

[stats45]

Daylight, I've worked quite a bit in my field (consulting and interning) during my time in the doctoral program, but I completely understand that the experience is different as a full-time employee.

Debt, I know that my professors have my long-term interests in mind, and I think that Daylight's comments about fit, personality, experience, and maturity are important as well. I guess I just needed to think out loud for a bit, and after talking with my partner and some friends, I still felt a bit unsure.

Thanks to everyone for the honest responses.

[The J]

I would take the job, for at least a few years. Having experience under your belt makes you more valuable as a consultant. Plus, it would give you a better financial footing for making the transition to consulting.

[Clifford]

If you choose to take the sure thing, you can still structure aspects of your life to help transition to consulting later. Renting vs buying, stockpiling fewer household items, no pets. Basically, you can make sure that you are ready to consult by remaining as mobile as possible.

[stats45]

Thanks J and clifford. I'm going to finish everything by the end of this week.

[Deleted]

I'm a little late but I agree with the J and Clifford. We may be in a comparable line of work (I'm an actuary, you've got stats in your screen name). Starting out in a wage slave job will help you get your bearings and build up a network. You'll get an idea what you like and don't like to do. It will also help you build credibility. You know the stereotypes of people coming out of academia with little corporate experience. I've got a friend who does the type of freelance work you envision in the engineering field and he seems to love the variety and the flexibility, but he spent many years working for corporations. So give the sure shot a try first.

[stats45]

I took the job, and I'm going to start in April. The pay was at the higher end of the range I expected, and I think that I made the right decision for many reasons. Thanks for the feedback.

Has anyone else felt nervous after being in school for a long-time? I've worked full-time or near that my entire 9 years in college, but this feels different. I don't feel like my primary identity is that of a student anymore, which is great, but it just feels weird.

If you are out there Daylight, I restated what you told me to my professors when they asked what I was thinking trying to decide, and they all said that they were trying to say that without accusing me of being immature.

[debtheaven]

Stats I think you made the right decision! I can't help with your other questions, but all the best to you!

[daylight]

Stats, thank you for the follow-up and congratulations on your first-time completely adult full-time job! I'm out there, just making some transitions in RL.

I'm glad to have been of help. I was also glad to hear that you were able to talk to your professors openly about your decision. I found that in certain cases closure is important.

And sure, almost everyone is nervous before starting, but this sort of helps you prepare for the job. Whatever the dressing code, you will adapt to it quickly, whatever the manners of communication, you will be more alert because this is being a central question in your life. You are going to be treated differently, and yes, your identity will definitely shift. If you go in for some sports, keep at it, it helps you relax and deal with the increased stress. These are turbulent but very interesting and personality shaping times.

I saw you over at the Things I Wish I Knew Before I Was Hired thread, which was a bit inspired on this thread. This thread absolutely deserves to end on a high note, so I'm not reiterating any of the advice given there, just ask you to go over the thread one more time before you start and try to take the things said to heart.

Hope to see you around on the board. And enjoy yourself at the job, for which you must be cut out.

[formerexpat]

Stats - first, congrats. second, I agree with the others - excellent move.

It would be good to come up with a plan to try to get as large of an asset base built by the time you're 35 so you can have the freedom to do consulting and work the way you want.

Not sure your personal situation but shooting for 50% savings rate on gross should be your goal at a minimum. You've got plenty of practice living like a college student so you can extend that lifestyle while slowly loosening the strings to enjoy the fruits of your labor and hard work [pretty impressive to have the PhD at 26!]. What line of business are you going into? I'm assuming too that you've got the stats background.

I'm 30 now and our plan since I was 26/7 was 50% of gross until I'm 35. At that age, I will reduce it down to 35-40% of gross and then at 45 reduce it again to 25-30% of gross. With your background in math and understanding of statistics, it's simple to see the advantage of this philosophy.

I too would entertain consulting later in my career but right now while I'm young and have a young family, it's pretty nice to be in a stable environment where I don't travel often and get paid pretty nicely.