Hey everybody welcome to the final official video of the mock of the Red Team blueprint.
Now we're going to be going over the offer.
So now after you've gone through the onsite you've gone through the whole headache of interviewing building
your resume and building your personal brand you've kind of got it all together.
You went through the on site you crushed it and now you're on the offer stage.
So somebody a recruiter has talked to you and handed you a piece of paper with an offer.
Now we're gonna break down what the offer is and what you should do with this.
Now the breakdown there is the base pay bonuses stocks and then any relocation that might need to occur.
So the base pay is what you will be paid per year.
So this is before tax so any paycheck calculator which we've used in previous videos we'll give you
your estimated income per two weeks or per month per week whatever your pay frequency is that this is
what you should build your budget off of when you're looking at relocation or any new job in that predicament.
You need to base your what your budget off of and make sure that you can if you can afford to move or
change jobs.
So it wouldn't make sense if at the end of the day you saved let's say a thousand dollars every month
and moving to this next job would save you four hundred dollars every month.
So that might not be ideal for you but it might be ideal for somebody who wants to get there.
That specific job title to help them through their career path and if that's what it is that's what
it is.
But make sure that your budget can handle it.
You don't want to go in a negative obviously and again double check your numbers to make sure they make
sense.
Make sure every all the budgets make sense.
Make sure that what the recruiter told you is your offer is actually what's on the piece paper.
Sometimes they might have looked at a different offer and given you to the offer verbally of let's say
a hundred and fifty one hundred fifty thousand.
But the actual offer was for one thirty.
That's on the piece of paper.
Make sure you double check and everything double checks and lines up.
Now bonuses bonuses are not guaranteed and you should not rely on these when looking at your offer or
or your total compensation which is what the offer is considered a total compensation package.
And because of that it includes a lot of different things.
And there's going to be some that are not on this list such as paid time off.
If your company gives unlimited paid time off so there's a little bit that kind of goes involved with
that.
Or free food as an example.
But don't rely on bonuses and they're a good offer filler.
So if somebody is like OK your total comp is two hundred thousand one hundred and fifty of it is for
I'm sorry one hundred forty of it is for your base and then let's say another thirty thousand is for
potential quote unquote bonuses and then the rest of it is for benefits of like PTO or whatever the
case might be.
Or stock options whatever it is.
Right.
So keep that in mind.
It's no bonuses ever guaranteed.
It's just something that most companies will do unless they have a policy for it.
But even still there's no legal requirement.
This is they have to give you a bonus.
So just keep that in mind.
I tend to leave the bonuses out of the equation when looking at total compensation.
So for stocks most stocks they give you a set amount of stock if you get this option and what happens
is as it goes into investing period now the vesting period determines is determined based on the company.
Most companies it's a full year and then you get you know 20 to 25 percent or maybe 30 percent of your
total stock available to you.
That's called investing.
So when it hits that point your stock vest and you are awarded let's say 30 percent of whatever your
total number of shares is not the price but the number of shares.
And keep in mind that when this vest it's considered income.
And as soon as it vest to you.
You'll already have your taxes taken out of it.
So to keep that in mind.
So if you got a ten thousand dollar vesting coming in it shows ten thousand on whatever site they use
for their for their stock then you're probably only going to see six of it.
So just keep that in mind.
Now if your company is not IPO and it's not public yet but it's estimated to be public it's good to
ask them what the shares because they might say OK yeah you're your total compensation is two hundred
forty thousand but sixty thousand of that is estimated shares that they might estimate you know 25 30
bucks a share and you might have gotten 10 or 15 thousand shares as an example.
So you want to keep that in mind and your estimated cost per share will always go up or down depending
on what the stock market's doing.
But the initial point of it is do not rely on it because it might be valued at twenty five dollars and
go down to five dollars.
So don't rely on it either.
Also ask does it refresh after a few years.
So sometimes organizations will have a something called a refresh which means every two three years
four years instead of years the amount of stock that you were provided on unemployment.
Sometimes they refresh that and give you a new set of you know four thousand or whatever and then after
the next year you get another twenty five percent of that just depends on the company always just double
check that next is the relocation offer.
Spend a day once you get your offer in hand.
So your actual work offer with the relocation money in check and get your quotes for your movers your
transportation for your car plane tickets move out costs move in costs get the whole thing pre calculated
in round up not down.
So I always tack in for example if I do if I get quotes equaling five thousand dollars I'm going to
assume eight.
Just double check make sure that there's more.
Make sure the numbers make sense for the move and make sure you can cover any negatives that might occur
during that point in time.
But now's a good time to make sure if it's pre or post tax they give you ten thousand dollars.
Make sure it's not a pretext or a post-tax because you want to make sure that you get as much as possible
and if you're expecting 10 you get 10 you're not expecting 10 and get six.
So just keep that in mind if you and if that is the case where they do pre-tax it before they hand it
to you then you need to make sure that you know that and you plan accordingly.
You don't want to go and you know oh somebody for thousand dollars you can't pay out of your own pocket.
Keep that in mind.
And then again make sure the numbers make sense.
And if you need to negotiate a little bit now's the time to do it.
Now when deciding whether to renegotiate an offer you need to first look at the market value for the
position and the level that you're looking for and what you believe your market value is worth.
So if you have a very unique skill set that may be far advanced but you're applying for a position that
might not cater to that but it could but it will definitely be used then you need.
That needs to be brought up in conversation but you should know what the market value is in general.
First because if they're below market value on base pay as a bare status I would always just argue that
point make sure that they're aware and try to adjust accordingly.
Sometimes they're willing to go up you know five six thousand dollars to kind of compensate a little
bit for any sort of under market value for the position.
Now if they're already at market or above my rule of thumb is as long as that number is at or above
what you are expecting it to be and that you're willing to accept.
I wouldn't argue too much with the offer itself.
So if you go in there with the expectation of one hundred and thirty base.
Right.
And they offer you one twenty five.
But market value is between one twenty five and one thirty five for where you're supposed to be.
I would then push back and try to see if you can get one 30 or 130 asked for one thirty five and then
most of the time sometimes I'll meet right in the middle at 130 and they get you pretty much what you're
expecting.
However if they're if the market value is 1 30 and they're offering you 1 40.
But in your mind you wanted 150 then you need to take that into consideration that the market value
will most likely trump what you want it to be.
And you just need to keep that in mind.
Now that you can play hard and fast with with the recruiter on negotiating sometimes there's wiggle
room and sometimes there's not because every position internally has a cap has has a bare minimum and
a maximum that they can pay.
And the closer they get to either end the spectrum can be good or bad.
So but in most cases the offer will be adjusted accordingly to where you fall in that position.
So for example if you fall into the higher end chances are you might be up for a promotion relatively
quickly after the first year or so instead of being at the lower end where you might sit there for a
year and a half two years.
So it really just depends on the level where you fall in between like let's say if you're looking at
a level to a position where do you fall between 2 and 3.
And that's that's kind of where the pay generally comes into play.
But just keep in mind that if you're getting what you're asking for.
So if you asked for one 130 and they gave you one thirty or eighty one thirty five I would let it sit
as is and not bother doing the negotiation back and forth because it looks pretty bad if you ask for
one thirty and they give you one thirty five and you complain about wanting more.
Kind of keep that in mind.
Normally with it if it's within five thousand or so of what you're asking for it plus or minus in most
cases it might not be worth trying to get that negotiation unless there's some unless you are at the
bottom end of what you expected such as you know for if market value is 130 and you were and you were
expecting one twenty five at the lowest and they gave you one twenty then I would definitely try to
try to up it a little bit by but you'll have to provide some sort of proof on your end and some sort
of information as your arguing point to try to get that pay to be bumped up so take that with a grain
of salt in everybody's situation is slightly different but as a general rule thumb if you get what you
ask for I don't even bother negotiating it's I asked for it they gave it to me.
Fair enough but keep in mind that that you might ask for one thirty in your total comp is one thirty
but your base is not so you need to make sure that when you say when you give a number you're referring
to base pay.
Make sure that they are aware that you're referring to base pay and not total comp so that there's no
confusion down the line because they might be like OK yes for one forty and you got one forty yes he
got one forty with bonuses with a five thousand dollar possible bonus per year and some stock and that
was pretty much it but their base is like 115 so it's not going to be what you're expecting always double
check and make sure that you're referring to base base salary when you're talking with a recruiter on
on on compensation in general.