Cogito
Consumer Math · Chapter 1 · Lesson 3
Comparing Job Offers
Salary is only part of the package.
12 problems · about 21 minutes · TEKS M.M.1.C
What this lesson teaches
The student compares total compensation across job offers, including benefits and costs.
- Total compensation is salary plus benefits minus job costs.
- A retirement match and paid insurance are real money.
- Divide by hours worked before deciding which job pays better.
Warm Up
Straightforward practice. Get the method working first.
5 problemsA 6% match on a $40000 salary. Annual value in dollars?
Answer 2400
Why $2400.
Why can the higher salary be the worse offer?
Answer Benefits and job costs can outweigh the salary difference.
Why Total compensation, not salary, is the comparison.
A 4% match on a $60000 salary. Annual value in dollars?
Answer 2400
Why 0.04 × 60000.
Salary $50000 plus $2500 benefits. Total compensation in dollars?
Answer 52500
Why Add them.
$53000 salary minus $3000 commuting. Real value in dollars?
Answer 50000
Why Subtract the cost.
Build It Up
The same ideas with more to keep track of.
3 problems$10 a day for 250 days. Annual cost in dollars?
Answer 2500
Why 10 × 250.
$52000 salary for 2600 hours a year. Hourly rate in dollars?
Answer 20
Why 52000 ÷ 2600.
$52000 salary for 2080 hours. Hourly rate in dollars?
Answer 25
Why 52000 ÷ 2080.
Stretch Yourself
Mixed problems. Work out what kind of question it is before you start.
4 problemsWhich belong in total compensation rather than salary alone?
Answer Employer-paid health insurance; Retirement match; Paid leave
Why One of these is a cost of the job, not a benefit from it.
Salary $45000, benefits $5000, job costs $2000. Net value in dollars?
Answer 48000
Why 45000 + 5000 − 2000.
The Match: A 5% retirement match on a $50000 salary. How much per year, in dollars?
Answer 2500 dollars
Why $2500.
The Commute: $12 a day for 250 working days. Annual commuting cost, in dollars?
Answer 3000 dollars
Why $3000.