Pay cut against time gained.
A worked example
Starting figures
- Salary
- $82,000
- Pay reduction
- 10%
- Commute cost per day
- $14
- Childcare saved per day
- $60
What it returns
- Net cost of the change
- $4,796
- Pay reduction
- $8,200
- Costs avoided
- $3,404
- Effective hourly change
- 12.5%
How to read the results
With the defaults above, net cost of the change works out at $4,796.