Career calculator
Job Offer Comparison Calculator
Compare two job offers by stated total compensation, workload, and effective hourly pay.
Offer A
Offer B
Benefits are shown at your estimate, not treated as guaranteed cash.
Higher stated annual package
Offer B
How the job offer comparison calculator works
The calculator accepts salary, bonus, and estimated benefits value for each of two offers, along with weekly hours and PTO days for each. For each offer, it sums salary, bonus, and estimated benefits to calculate stated total annual compensation. It then calculates effective hourly compensation by dividing the total by the number of scheduled working hours. Working hours are computed as (52 weeks minus PTO days divided by 5) multiplied by hours per week. The division by 5 converts days of PTO into weeks, since most jobs assume five working days per week. The tool displays which offer has the higher stated total, along with both totals and both effective hourly figures for full comparison.
All inputs must be zero or positive. Weekly hours must be greater than zero to avoid division by zero. The calculator shows the offer with the higher stated total compensation and lists the detailed totals and effective hourly rates for both, enabling a side-by-side evaluation.
Effective hourly pay calculation with a detailed example
Using the default Offer A: $90,000 salary, $5,000 bonus, $12,000 estimated benefits value, 40 hours per week, 15 PTO days. Total stated compensation is $90,000 + $5,000 + $12,000 = $107,000. Working weeks are 52 − (15 ÷ 5) = 52 − 3 = 49 weeks. Scheduled working hours are 49 × 40 = 1,960 hours annually. Effective hourly pay is $107,000 ÷ 1,960 = $54.59 per hour.
Offer B in the defaults: $85,000 salary, $10,000 bonus, $18,000 estimated benefits, 37.5 hours per week, 20 PTO days. Total stated compensation is $85,000 + $10,000 + $18,000 = $113,000. Working weeks are 52 − (20 ÷ 5) = 52 − 4 = 48 weeks. Scheduled working hours are 48 × 37.5 = 1,800 hours annually. Effective hourly pay is $113,000 ÷ 1,800 = $62.78 per hour. Offer B wins on stated total ($113,000 versus $107,000) and also on effective hourly ($62.78 versus $54.59).
Understanding estimated benefits and work-life tradeoffs
Benefits value is inherently subjective because insurance, retirement contributions, and perks vary in worth to each person. A healthcare plan is worthless if you are covered by a spouse's policy but essential if you are self-insuring. Equity vest schedules create risk: a startup offering $50,000 salary and $200,000 equity is not the same as $250,000 guaranteed cash. A 401(k) match of 5% represents more value to someone with 20 years to retirement than to someone retiring in 2 years. This calculator treats all benefits input as a single estimate because you are the expert on your situation; the tool does not assign value to insurance premiums, matching limits, or equity risk.
PTO days interact with workload to produce effective hourly compensation. An offer with lower hours per week but fewer PTO days may pay more per working hour than an offer with higher hours and more time off. A role with 35 hours per week and 20 days PTO often feels better than 45 hours per week with 10 days PTO, even if the hourly rate is similar, because the actual hours worked and time available for personal life differ significantly.
Comparative scenarios for different career stages
- An early-career candidate comparing a startup offer of $70,000 + $0 bonus + $5,000 benefits at 50 hours/week with 10 PTO days ($75,000 total, 50 working weeks × 50 hours = 2,500 hours, $30.00/hr) to a corporate offer of $80,000 + $8,000 bonus + $15,000 benefits at 40 hours/week with 20 PTO days ($103,000 total, 48 × 40 = 1,920 hours, $53.65/hr). The corporate role provides $28,000 more stated compensation and $23.65 more per hour.
- A mid-career manager comparing two similar-paying roles: Offer A is $100,000 + $20,000 + $10,000 at 45 hours/week with 15 PTO ($130,000 total, 49 × 45 = 2,205 hours, $58.96/hr) versus Offer B at $105,000 + $15,000 + $12,000 at 40 hours/week with 20 PTO ($132,000 total, 48 × 40 = 1,920 hours, $68.75/hr). Offer B is only $2,000 higher in total but $9.79/hr higher because it reduces working hours and adds PTO.
- A senior engineer evaluating a large-company offer at $180,000 + $50,000 + $25,000 benefits at 40 hours/week with 15 PTO ($255,000 total, 49 × 40 = 1,960 hours, $130.10/hr) against a smaller tech company at $150,000 + $30,000 + $8,000 at 42 hours/week with 20 PTO ($188,000 total, 48 × 42 = 2,016 hours, $93.25/hr). The larger offer is $67,000 higher in total and $36.85/hr higher despite similar roles.
- A senior manager deciding between a $160,000 + $40,000 + $20,000 offer at 50 hours/week with 10 PTO ($220,000 total, 50 × 50 = 2,500 hours, $88.00/hr) and a $140,000 + $50,000 + $15,000 offer at 40 hours/week with 20 PTO ($205,000 total, 48 × 40 = 1,920 hours, $106.77/hr). The first pays $15,000 more in total, but the second pays $18.77 more per working hour, a case where the stated-total winner and the effective-hourly winner disagree.
Frequently asked questions
How should I estimate the value of benefits?
List your actual benefits: employer health insurance premiums (look up typical costs), 401(k) match, stock options at an estimated vesting value, professional development budget, wellness credits, and remote work allowance if applicable. Be conservative; use a value only if you will actually use the benefit.
What is not included in this comparison?
The calculator ignores taxes, commute costs, job security, growth opportunities, management quality, work culture, remote work policy, and career risk. These factors matter for your decision; compare them separately.
Are bonuses included in the effective hourly rate?
Yes. The calculator adds bonus to salary and benefits to find total compensation, then divides by working hours. If bonus is discretionary or performance-based, you may want to calculate the effective hourly with and without bonus to see both scenarios.
How much does PTO impact the hourly rate?
Each additional PTO day reduces working weeks by 0.2, which trims annual working hours and raises effective hourly pay. Five extra PTO days remove one working week, or 40 hours on a 40-hour schedule. On a $100,000 package, moving from 15 to 20 PTO days cuts annual hours from 1,960 to 1,920 and lifts effective hourly pay from $51.02 to $52.08.
Should I compare the stated total or the effective hourly rate?
Both provide insight. Stated total shows gross earning power; effective hourly accounts for time commitment. A lower-paying job with fewer hours often offers better quality of life, while higher hourly rates may require working more hours.
What if one offer includes equity or stock options?
Equity is speculative. Assign a conservative estimated value if you have a reasonable basis (e.g., a secondary market price), but enter it as an estimate, not as certain value. Consider vesting schedules separately.