Author Topic: Avoiding the "part-time" trap  (Read 19609 times)

dragoncar

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Re: Avoiding the "part-time" trap
« Reply #50 on: January 08, 2015, 10:59:49 AM »
Revisiting this one, because I'm trying to negotiate a part time situation right now.  Not sure how it will work, because this isn't commonly done here. 

Where do you think the sweet spot is for part time work?  25%  50%?  75%?  I probably can't go below 50%, but I might be happy doing it indefinitely. 

"I" am FI, but my wife is not (i.e., together we're not, but I saved a bunch before marriage).  So I'm looking for something in between outright retirement and working like a dog well past my original target.


First question is whether you need benefits.  If you need benefits, there will be a minimum number of hours they expect you to work to get it.  If you don't need it, or if they don't want to give them to you for part time work, there will be a number of hours BELOW that number they will want you to work.  After that, it's generally what gets things done promptly enough for them.  What's the minimum caseload you can take and how many hours a week would it take you?  Is that less hours than you'd like to work or more?  If more, that's your minimum, if less, then multiply by 2 or 3 or whatever as needed.  Also, part time work is often feast or famine, so keep in mind that there may be weeks or working more or less.

Thanks guys, I missed these responses during the holidays.  Looks like we are moving towards 70% pay, 70% billable hours.  I'd probably shoot for taking one day off a week, so I don't have to commute that day although I'd probably still be on call for random emails and such. 

My biggest concern is as Totoro said: I have to be very mindful of keeping my workload down.  They mentioned something like "there will probably be a bonus for hours above quota but it won't be formulaic."  Meaning if clients I work with get really busy I may need to bill say 80 or even 100% of normal quota.  But there would be absolutely no guarantee my bonus would bump me back up to a full time salary.

On the other hand, 70% salary for 70% billables is less profitable for my firm once you look at overhead.  Luckily you wife has a great health plan so I don't need those benefits.

I was hoping for a different arrangement, such as profit sharing (40% of revenues is common at smaller firms in the area).  Of course if they had agreed to those terms, I could have worked 70% time and earned my full time salary.  I can see why they didn't go for it, but maybe I should try to find another firm that will go for it.  I like where I am, and my clients in general, but I often feel like I'm staying out of sheer momentum.  My paychecks keep rolling in, they are way more then I spend, and my NW grows.  Why rock the boat just so my NW Could grow a little faster? 

Also, as much as I believe more free time will maker happier than more money, there's something stressful about looking at my salary * 0.7, even though it's still quite a lot of money. 

I'm sure these are all common problems people have transitioning to fire, so hopefully this works as a test run and emotional stepping stone For me.

Edit:  I'll just put this link here since its relative to the discussion http://www.mrmoneymustache.com/2011/10/25/the-joy-of-part-time-work/
« Last Edit: January 08, 2015, 11:05:18 AM by dragoncar »