Calculating the cost of a new job

Congratulations to you if you’ve just accepted a new job offer! Often, the motivation behind accepting a new job is a bigger salary. However, have you stopped to think about the costs of accepting a new job offer? New employment can also arise in the following costs:

Commuting expenses – The cost of petrol is rising, so if your new job involves an hour’s commute whilst the old job was only ten minutes away, you will undoubtedly face higher costs. If you plan to travel by train or public transportation, ticket prices often increase on an annual basis. Factor in your annual transportation costs before accepting a job offer or see if the option of working at home at least some of the time is possible.

Lunch and entertainment costs – Eating out on a regular basis can often add up financially, so there are significant savings to be made from bringing in lunch made from home. Get creative with your cooking skills or just take leftovers from the previous night’s dinner. The savings can add up! Buying coffee each morning or having regular lunches with colleagues is also an expensive habit.

New professional clothes – If you are expected to dress more professionally in your new role or if you’re a recent graduate or new to the working world, a new wardrobe may be needed. New clothes of good quality aren’t always cheap, so shop around and look out for sales at your favorite clothing stores to ensure you look the part.

As with all costs, it’s important to balance them with the overall benefit to your career path. If you feel that the new job is a significant boost to your career, there may be some costs that you’re happy and willing to accept although it makes sense to keep them minimal.

Written by Pardeep.