How to Compare Two Job Offers Properly

Start with the same definition of pay

Two offers can look comparable while describing different things. One employer may quote base salary, another may include fuel support, and a third may headline compensation that includes a conditional annual bonus. Before calculating a percentage difference, write down what arrives reliably each month. Separate regular pay, reimbursements and uncertain payments. Ask whether the offer is before or after payroll deductions and whether the quoted package includes employer contributions that you cannot spend today.

Build one worksheet with a column for each offer and a row for each component. Use the written offer as your starting point. Where a condition is unclear, write “not confirmed” rather than converting it into cash. This makes follow-up questions specific: does medical cover dependants, is fuel paid against receipts, and does the bonus depend on still being employed on a particular date? An unanswered question is part of the comparison, not a zero-cost benefit.

Compare monthly cash after the cost of working

The OfferCheck Job Offer Calculator subtracts your entered tax deduction and work-related expenses from monthly gross salary. It does not estimate your personal tax obligation. Ask payroll for the expected deduction, and account for any other payroll deductions consistently. Then estimate the commute, food bought because of office attendance, parking and other job costs. Reimbursements should reduce the expense they cover; do not add them to salary as well.

All figures in the following example are illustrative PKR amounts, not typical salaries, current fuel prices or tax rates. Offer A pays Rs 150,000 for six eight-hour days per week. The assumed payroll deduction is Rs 10,000. A 25 km one-way commute, 12 km/litre and Rs 280/litre produce a monthly fuel estimate of Rs 30,333 at 26 workdays. Lunch at Rs 350/day adds Rs 9,100, and other work costs add Rs 2,000. The monthly remainder after those work costs is about Rs 98,567.

Offer B pays Rs 125,000 remotely for five eight-hour days. Assume a Rs 5,000 deduction, no commute, no additional work lunch expense, and Rs 3,000 of extra electricity and internet costs. The comparable remainder is Rs 117,000. Under these assumptions the smaller headline salary leaves about Rs 18,433 more after work expenses. It is not a claim that remote jobs always pay better; changing the inputs can reverse the result.

Include the hours that the job occupies

Offer A also requires an hour of travel each way. Its monthly work-and-travel commitment is 26 × 10 = 260 hours, giving roughly Rs 379 per hour after the listed work costs. Offer B requires about 173.33 hours per month, giving Rs 675 per hour. This hourly measure describes money relative to time committed; it is not the employer’s contractual hourly rate and should not be used to assert a legal entitlement.

Ask about unpaid overtime, weekend availability and whether breaks count within the quoted working day. Use an ordinary week, then test a demanding week separately. If a role is hybrid, record office days and working days separately in your worksheet. The current OfferCheck form uses the same weekly schedule for work and travel, so a mixed schedule needs a separate commute estimate rather than reducing working days and accidentally ignoring remote work.

Compare benefits without inventing a cash value

Some benefits replace a bill you would otherwise pay. A reliable shuttle can reduce transport costs; lunch can remove a daily expense. Other benefits are valuable without being spendable income. Medical coverage may have exclusions and limits. Paid leave protects time away from work but is usually already funded by a monthly salary. Adding the value of leave on top of that salary can double count it.

Compare the number of paid days, approval practices, carry-over rules and likely ability to use the leave. Treat a performance bonus as a separate scenario until its conditions are clear. OfferCheck shows an after-tax annual bonus divided by twelve separately from regular monthly value. Retirement contributions, training and equipment deserve their own rows because eligibility, ownership and access conditions matter. Record both what is promised and what you have verified.

Evaluate the career trade-offs explicitly

Money alone cannot tell you whether a manager will support you or whether a project develops useful skills. For each role, write one concrete piece of evidence about mentorship, responsibilities and progression. “Good growth” is too vague; regular technical reviews with an experienced lead and responsibility for a complete project are more assessable. Ask how promotions are decided and whether the role has a clear scope during the first six months.

Consider job stability and probation alongside the monthly calculation. A switch may require a pay gap, relocation deposit or equipment purchase before the first salary arrives. These are transition costs, not permanent monthly expenses. Keep them on a separate list and test whether available cash covers them. Avoid converting a hoped-for future promotion into guaranteed income just to make a preferred offer look affordable.

Turn the comparison into a decision you can explain

Run both offers through the calculator using consistent assumptions and save the summaries privately. Next, use the Budget Calculator with each take-home amount to check rent, family spending, debt and potential savings. Enter work expenses once in that household budget. A favourable work-cost result can still leave too little for essential commitments.

Finally, choose the uncertainties that would change your decision. Request clarification on those first, and compare a cautious scenario as well as the expected one. The useful outcome is not a universal winning score. It is a clear account of the cash difference, the time difference, the non-cash advantages and the risks you are prepared to accept.