When I accepted my first permanent job, I based the choice on starting salary, the type of work and job familiarity. I didn't think about job security and satisfaction, health care benefits, company culture and retirement benefits. I didn't expect to ever stay the minimum 10 years to be vested in retirement benefits.
In hindsight, my choice of employment and staying until retirement is, perhaps, the one of the biggest factors in our successful retirement. Health care was free when I first started, although I didn't use it much when I was younger. Just before I retired in 2007, family health care was about $125/month for family coverage. Retiree health insurance is excellent but much more expensive. I pay a subsidized rated for my spouse and me and pay full price for the kids. I was not aware of these benefits when I was deciding on a company.
The company contributed stock starting at 5/% of salary to our retirement plan each year and increased it by 1% a year until a maximum of 23% per year. When I started, employees vested at 10 years, then 5 years, and now immediately. The company was a Fortune 50 or higher company all the years I worked and the stock did very well. In addition, I received stock options which vested after 1 year. I did not know all this when I was decided on which company offer to accept.
However, I did know jobs security was high since some employees had been working over 40 years when I interned for the summer. This was not a deciding factor, since I didn't expect to be there over 5 years, but it was good to know.
The company whose offer I accepted was the lowest salary offer, but as much as 10%. The company culture was great and I liked the worked. The companies whose offers I turned down had big layoffs in the next five years due to a recession, all of them. My company didn't have any mass layoffs. I ended working there 27 years, achieving a senior management position, and retiring at 49.
At the time, I didn't know that my first and only permanent job decision would have such a major effect on my future life.
This is not financial, employment nor career advice. Please consult a professional advisor.
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