[USER]

I know without exact numbers it will be hard to give advice but I need some type of sounding board so here it goes. I’ve worked for a company for 26 years, I am now comfortable with my wage at $70,000.

I’m 48 and originally planned to work until 60. I max out Simple IRA and company contributes 3%. Another company is interested in buying us, it’s mainly for the employees and wanting to grow in an area they are not in.

I’ve been offered a position but a wage of $52,000 is a drastic cut.

The company that is interested in us is Union so I know overhead expenses look different for each company.

After one year I am eligible for 401K and they will match up to 6%, I will not be able to max out because of the almost $20,000 salary decrease, I can’t afford that.

I’m struggling wrapping my head around whether in the long run having an increase in employer contributions, some pension benefits after I retire if I work 5 years, but after taking a pay cut, will I be able to recoup financially in the long run.

This is a company decision and a possible buyout that I would receive, those numbers have not been confirmed but it may be $5,000-10,000.

Is there an online tool where I can try and compare, plug in some numbers to see if in the end with the pay cut what things would look like for my future?

Thanks for your time!

[Kevin]

Your employer match is netting you only $1020 more but your losing ~$20k in gross, or effectively losing $19k

Hard no from me, especially since you’re losing a year of 401k and match

[Danny]

You should be looking for a new job. In my opinion you probably should have years ago

[Amanda]

What about other areas of benefits, like PTO, sick time, insurance costs? Would you be gaining benefits in those areas? And what would the pension benefit look like?

If you were planning on 12 more years and you’d be eligible after 5, it *may* be worth it (maybe not, but something to consider).

I’m so sorry that you’re stuck between a rock and a hard place

[Tony]

The underlying issue here seems to be that you are resistant to change.

You should not only be making 70K after 26 YEARS with the same company!

Loyalty goes both ways, and you should have left years ago.

Pull your resume together, do some mock interviews, and start looking for a company that values you instead of trying to make your current terrible work situation justifiable.

[Wilbur]

I am close to your age and understand the mentality with being loyal, and how hard it is to leave somewhere after this long, but I would be looking for another job for sure.

You could take the job while you search…

[Jamie]

Get a new job even if for the sole reason that they clearly don’t value you and are probably assuming you will leave at that low offer.

[Author]

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