Author Topic: what to negotiate in a contract  (Read 3262 times)

Abe

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what to negotiate in a contract
« on: March 30, 2014, 11:53:25 PM »
Hello everyone, I have a question about what to negotiate in an employment contract.
Background: My wife is about to finish her medical training and have her first job where the benefits are negotiable. I have a rough idea of what is sometimes included, please advise if there are any things left out that we should ask:

Salary - base salary provided
Bonus - based on number of patients seen (minimum time per patient is set, so would be increased by working more hours in clinic)
Paid vacation - 2 weeks
Educational time - 1 week
Health insurance - premiums paid by clinic
Malpractice insurance - clinic has group coverage, pays for this
Disability insurance - not sure who pays, I think we do

Is there anything else that we need to consider for employment in general? There are some medicine-specific things I've left out for simplicity.

Thanks!

fixer-upper

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Re: what to negotiate in a contract
« Reply #1 on: March 31, 2014, 01:13:57 AM »
Continuing ed costs - including travel expenses, hotel stays, course fees, and food per-diem

Cell phone if used for work

Indio

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Re: what to negotiate in a contract
« Reply #2 on: March 31, 2014, 07:18:14 AM »
Do they offer a 401k or retirement plan savings?
Do they offer free or low cost access to investement advisor?
How much does vacation/ sick days increase over time?

kkbmustang

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Re: what to negotiate in a contract
« Reply #3 on: March 31, 2014, 08:58:55 AM »
Be sure to negotiate the contract termination provisions. How much notice is required by each party? Severance to be paid upon termination without cause by the employer, including COBRA.  A non compete and non solicitation?

Any equity in the company? If so when, how much and under what conditions?

Daleth

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Re: what to negotiate in a contract
« Reply #4 on: March 31, 2014, 02:45:44 PM »
Also look at noncompetition provisions, if there are any. They're also called covenants not to compete.

Abe

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Re: what to negotiate in a contract
« Reply #5 on: March 31, 2014, 05:30:54 PM »
Thanks everyone for your advice, here's what I found out after re-reading the contract for each of the points you raised:

Continuing ed costs - the time is paid at base salary, so while not technically paid for by the clinic, she still gets a paycheck including the week of conference.

401k - they have one, but there isn't that much detail in the contract itself. I'm going to see if we can have the clinic contribute employer max to it. We won't miss that money, and will invest the equivalent of the tax savings into my 401k. Eventually, will roll the 401k into a Vanguard IRA when we move after my training finishes. Does that seem like a safe plan?

Vacation/sick days - they are 2 weeks per year and don't accumulate every year. However, they will pay for the hotel for vacations! I'm going to see if they'll just give us some money if we stay at a budget hotel like sane people.

Contract termination - This says 90 days, which sounds like the standard for physicians. Good point about severance, there isn't anything about that other than they will pay the remaining 90 days' salary. What is COBRA, I didn't find it in the contract.

Non compete covenant - she wouldn't be able to work within 10 miles of the clinic for 3 years, which isn't a big deal for us. My hospital is just outside of the radius, so she could potentially get a position there if needed (but pay would be less).
 
Equity - no equity, she gets a salary plus the other benefits only.

Overall it seems like a good deal. I'll have to ask about cobra and the vacation payment. Thanks everyone.

AlmstRtrd

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Re: what to negotiate in a contract
« Reply #6 on: March 31, 2014, 05:41:42 PM »
Abe,

If her new job requires that you move to a different town, she can also negotiate for moving costs and/or $ for furnishing a new place. Would have never had the cojones to do this for myself but a friend's daughter did so recently.

TomTX

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Re: what to negotiate in a contract
« Reply #7 on: March 31, 2014, 06:13:32 PM »
Everything is negotiable. When you value something more than they do (or vice versa), both sides can benefit.

grantmeaname

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Re: what to negotiate in a contract
« Reply #8 on: March 31, 2014, 07:00:29 PM »
COBRA refers to your right to continue buying group health insurance from the employer after you are no longer employed by them for some temporary length of time.

kkbmustang

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Re: what to negotiate in a contract
« Reply #9 on: March 31, 2014, 07:25:10 PM »
COBRA refers to your right to continue buying group health insurance from the employer after you are no longer employed by them for some temporary length of time.

Thanks, Grant.