What’s better: a job that pays €50,000 per year, or a job paying €55,000 per year? It sounds like a simple question, but the real answer depends on much more than just the money that hits your bank account every month.

As well as the company culture, commute time, hybrid working policy, and whether or not your manager is sound, there are a lot of things about a job offer that could be a dealbreaker.

If you’re lucky enough to be weighing up multiple offers, then there are a few things you should take into account beyond the pay. We spoke to Ellie Doyle, the co-founder of TalentHub Recruitment Agency, to find out more.

Employer pension contributions

A lot of people don’t give this as much thought as they should, because the idea of retirement seems so far away, but a generous employer pension contribution can make a huge difference to the value of a salary package.

Typically, the employer will contribute a percentage towards the employee pension once the employee contributes a certain amount themselves.

“Based on what I’ve seen, a good pension contribution is around 4 or 5 per cent,” Ellie says. “In my experience, younger candidates don’t tend to value this as much.”

This makes sense, because if you’re in your 20s (or even 30s and 40s) then retirement doesn’t even feel as though it’s remotely on the horizon. But the earlier you begin saving for a pension, the better – especially if your employer will be topping up your retirement fund.

Health insurance premiums

A typical benefit offered in many jobs is a health insurance plan. This could cover you, your spouse, and any children.

“If you don’t already have health insurance through your partner’s job, this is huge,” says Ellie. “If the policy includes your partner and children as well then it could be an incredibly valuable benefit.”

Even if you already have a health insurance provider that you’re happy with, there are two things to note about a policy from your employer: first of all, you don’t have to pay for it. The second bonus is the income tax relief.

While Benefit in Kind tax is paid on many company benefits, there is income tax relief of up to €1,000 per adult and €500 per child on health insurance coverage – which means a couple don’t have to pay tax on the first €2,000 of their company health insurance, and that ceiling increases if they have children.

What else should I look out for?

Many different employers offer a wide range of benefits and perks beyond just a nice coffee machine or communal fruit. Apart from the major ones outlined above, here are a few other benefits you might want to look out for in a job offer.

Other common employer benefits

• Income protection is something that many companies offer to employees. Essentially, if while you are employed you become too ill to work, or are unable to work as a result of an injury, your employer may continue to pay a fixed percentage of your salary (less social welfare benefits) to support you as you recover.
• Death in service benefit is offered at a wide range of roles, not just for high-risk jobs. It’s similar to a life insurance policy, in that the company will give a lump sum (usually a multiple of your salary) to your estate if you die while employed by them.
• Share schemes give you the opportunity to purchase shares in the company. It shouldn’t require you to brush up on your investment knowledge but instead be deducted from your salary automatically. Often these can come with tax incentives or an employer contribution, too.

Other considerations: it’s not all about the money

All of these financial considerations are obviously massively important – after all, that’s why most of us are working in the first place! But apart from compensation, what else should you be looking for in a job?

• Practical considerations such as commute time and hybrid/flexible work policies are also very much worth looking at when comparing jobs. A job that requires five days a week in the office with a one hour commute each way takes up a lot more of your time (not to mention travel costs) than a job within walking distance or with three days working from home.
• Company culture is a huge part of happiness at work. A healthy work-life balance, being aligned with the company values, and getting on well with your team can all be worth much more than a salary increase.

Don’t forget career progression

A job might not necessarily be for life, but most of us will be working until at least age 65 – that means that you need to think beyond just your next job.

“I always advise clients to look at job opportunities in the context of their wider career,” Ellie says. “Look at the springboard potential of the job. Maybe one offer comes with a higher salary, but the other has more opportunity to progress.

“If you have career ambitions to be the Head of XYZ in five years, look at which role gets you there first.”

Of course, sometimes finances make the decision for you if one offer is significantly better, but even then Ellie advises really looking at the salary and what that means for you.

“One role might pay €4,000 more than another, but break it down over a year,” she says. “If you’re a 40% taxpayer then that €4,000 could be a take-home pay of around €2,100.

“That’s €40 a week in your pocket – is that going to make a big difference to your life compared to the chance of reaching your career goals?”

Accepting a job offer

If you’re considering changing jobs, or you’re fortunate enough to have multiple offers on the table, remember to zoom out and consider the broader picture.

The salary is important, but it’s only one piece of the puzzle. Remember the monetary value of pension contributions, the benefits of health insurance, and whether or not other perks like income protection are included with the job.

Not only that, but not every part of the decision to accept a job offer can be expressed in quantitative terms. Cultural fit, work-life balance, and growth opportunities are huge parts of the decision.

Evaluate the job offer through this holistic lens and you can make a well-informed decision that may not only benefit you financially but can also lead to greater overall happiness and a better investment in your future.