[Vlak]

I’m hoping for some advice on what I should do and also wanted to vent a bit. I am a staff accountant in the Chicago area and I recently found out that my two co-workers (both staff accountants) are making more money than I am. It wouldn’t bother me as much, except for the fact that I’m the senior employee and I’m the one showing them what to do. Some background:

I hold a masters in accounting and am a CPA. I worked for 4.5 years in accounting (industry) before moving to my current job. The company I am in right now is international but not public. I’ve worked at my current job for over a year now. Though it is challenging, I do enjoy the work. I’ve gained a ton of experience in forecasting/budgeting along with month-end/quarter-end close.

I was originally the new accountant working with one staff accountant who was there for 3 years and a senior accountant who was there for 4 years. The company hired another staff accountant a month after they hired me, so there were 4 of us. The two accountants that started before I did quit and that left me as the next senior employee. I stepped up. I put in a lot of extra time trying to support the company and keep us afloat until they hired a new employee.

To make the long story short, they hired a new employee after two months and I was tackling on the harder stuff while also training him. The other staff accountant occasionally comes to me with questions and for help. I am basically the person they look to for leadership, which is fine with me. All my managers noticed the work I was putting in and how I was taking the extra time to train the new employee and they told me how they appreciated it.

One day, I was on my computer and came across invoices from the staffing agencies for all the accountants. I wasn’t supposed to have this information, but curiosity got the better of me. I found out that the other two accountants were being paid a lot more than I was. The accountant who started around the same time as me is making $5K more, while the new person I’m training now is making $14K more! I just feel a bit betrayed considering the long hours I put in and the fact that the two other people come to me for help. The new person I’m training hasn’t even earned the CPA and their job experience is not greater than mine. I don’t blame the other two co-workers for being much better negotiators than I am, but what can I do?

How do I start a conversation about money to my managers? Should I bring it up in the next review? There was talk that they might make me a senior accountant in due time, but it’s a bit strange that two non-CPA’s make more than the only CPA in the building? Do I have a just reason to want a raise?

[watermelon]

I think a lot of companies don't match salary for internally promoted personnel to the industry or externally hire, and switching jobs is easier to get a salary bump (that's how your coworkers got higher pay then you). I think what will help is that you should get an idea of the avg pay of your similar role in your industry instead of telling your manager that your coworkers are making more than you do(What i did was searching on glass-door, asking my friends, and interviewing similar positions in other firms).

I got 2 counter offers last year. and they both offered me a good % of raise. but since I didn't really want to leave my current job, I brought these offer to my managers(I thought it would be super awkward because I told them I got counter offers), I didn't mention my coworker makes more than i do though. They eventually agreed to match my salary since they didn't want me to go. But it's case by case and I was pretty lucky. But i knew for sure if i didn't ask for a raise, I wouldn't be happy working there anymore since I was so obsessed with this. Good luck!!

AUD - 77
BEC - 89
FAR - 91
REG - 84

I AM not DONE yet!!

[Nate]

One thing to consider is that since they're from staffing agencies they may not have any benefits which is why they're getting paid more than they otherwise might. I worked at a Fortune 500 company and I remember a lot of employees were upset when they were hired full time from temp positions and their pay decreased because the company now covered benefits. In today's economy, benefits cost a lot so that could possibly explain why they're getting paid more, but I do understand that's frustrating to see.

AUD: 54 (10/31/15); 83 (12/02/17)
BEC: 70 (01/31/16); 90 (07/02/17)
FAR: 73 (10/03/15); 88 (02/17/18)
REG: 83 (06/09/18)
AICPA Ethics: 91 (06/28/18)
Licensed: 08/16/18

[Kerias]

Nate, if they are permanent employees the staffing agency receive a 1 time fee after the 90 days. The invoice will typically be 20% of the placement salary.

AUD - 82
BEC - 77
FAR - 79
REG - 76

This is a marathon not a 100 yard race!!!!!!!

[livealittle]

I ended up getting a $4K mid year bump after a $3K annual review raise when I presented a similar case to what you are stating to the partners in my annual review. I had researched average salaries for my zip code, years of experience, etc. I was making about the lower 25%. I said that here's what my research shows is the average for our area. If this is the bell curve with average at the top, I'm here (on the lower side), aren't I at least an average employee? so, less than 4 months later, I'm 7k higher in salary. Don't mention what others make, that has nothing to do with what YOU make. Talk about what you bring to the table and what that's worth.

As you pointed out, perhaps they are better negotiators than you. I mentioned that I had discussed what I should expect as an offer when I started with a well known CPA in the area, She said X. The initial offer was $13K less than that. I came back with that I didn't need any medical benefits, and got it bumped up by $5K. I still think my starting salary with the firm was low per industry averages. I mentioned that I realize I started low and that I know I'm not a great salary negotiator. That being said, here's industry average and I'm still $5K below that. Aren't I at least an average employee?

this put the burden on them to explain to me how my technical abilities are well above average, my work ethic is excellent, etc, etc, yet my compensation is below average. They began talking about where they get their industry average salary numbers from, etc and 4 months later 2 of the partners asked to speak to me in a conference room and explained they were bumping my salary up to “industry average”. That's when I got the $4K mid year raise AFTER getting a $3K annual review raise. Most people get a $2K raise if they get one. I got a $7K raise in 1 year.

anyway, all that to say, bring your research to the table, present what people like you in your area are making as industry average and then stop talking. Let them explain how your research is wrong and you are only worth what they are currently paying you.

and good luck

BEC - 8/8/16
REG - 66, 77
AUD - 81
FAR - 9/8/16

[DM]

This whole thing sounds shady. What were you doing snooping around in payroll files? That is a big red flag! Do not act on this information. Someone will get fired for allowing you access to CI. It would be one thing if external auditors accidentally showed you the comp and payroll by person, but you actually went digging. Not good man. Either transfer into a higher paying department or start selling your hair. Do not bring this up in performance talks! Livealittle breaks is down great for how to get a raise.

[Missy]

If you're providing more value to the company with training, etc then search salaries in your area and present a case as livealittle suggested.

I'd highly recommend NOT mentioning you know others' salaries.

Unfortunately raises over and above cost of living adjustments generally only come with either promotions or changing employers which is why the art of knowing your worth and negotiating an acceptable salary before starting a position are key. These other staff had an agency negotiating on their behalf which makes a difference if they otherwise would have accepted any offer at all.

Old timer,  A71'er since 2010.

Finance manager/HR manager

 

 

Licensed Massachusetts Non Reporting CPA since 2012
Finance/Admin/HR Manager

[jombe]

I experienced something similar very recently. I didn't snoop around though.
I bonded w/ my peers (six of them) and got them comfortable enough to share what their raises were.
I found that I was getting $1k – $2k less than my peers. I never thought I was better than any of them, but I felt I was comparable to my peers and just couldn't understand why mgmt thought I deserved less.
I spoke to head of Audit Dept and said that I made a mistake of asking what my peers made and unfortunately it hurt my pride. He said he'd look into it and he came back in two weeks and said that he would adjust my salary to match my peers.
What he didn't know was that as soon as I found out that I was making less than my peers, I started submitting resumes all over town. By the time he got back to me, I already had a offer on hand and decided I'd counter offer, which my new employer accepted. Gave my two weeks notice and said, well it's too late.
Now I am out of public accounting, no more busy season, no more traveling, and am making 20% more than what I used to make. But that also means, I get 3 weeks of PTO now vs. 5 weeks of PTO I used to have in public. 🙁

AUD - 99
BEC - 91
FAR - 94
REG - 96

--------------------------------------------
Done with exam. On with life.

FAR - 94 (10/4/15), Local Prep Online Lectures, BISK & NINJA MCQ
AUD - 99 (1/19/16), Local Prep Online Lectures, BISK & NINJA MCQ
REG - 96 (4/19/16), Local Prep Online Lectures, BISK & NINJA MCQ
BEC - 91 (7/19/16), Local Prep Online Lectures, BISK & NINJA MCQ

581 days of listening to lectures, reading texts & 10,000+ MCQs...

[Jimmy Dugan]

This is a major reason why it's important to negotiate your salary upfront. Know what you are worth and know what other people with your experience and skill set are worth in your area. As someone else pointed out, cost of living raises are always going to be just that; and it may be awhile before you see much advancement that would generate a substantial bump in pay.

Salary ranges are huge at most places. If the range for your position was $45K to $60K (that kind of gap is pretty common) and you took something at the low end, it's pretty easy for someone else to come in and interview for the same level and negotiate the mid or even high end with less experience. All of this of course depends far more on interview skills and how urgent the employer is to fill a position than paper attributes like education and experience.

AUD - 95
BEC - 87
FAR - 84
REG - 90

You're killing me Smalls

 

[fsugirl2005]

Staffing agencies always bill more than the employee is actually getting paid. I worked temp jobs for years and the employer was getting billed $25/hr(for example) but the temp was only getting paid about $12/hr.

That being said, your co-workers are getting paid less than what is on the invoice. So relax and forget about it.

REG - 78
FAR - 79
AUD - 76
BEC - 75

I have been on this journey off and on for over 10 years. I think it's about time that I wrap this up.

AUD - 10/21/16 (75----07/2010 expired)
FAR - 10/28/16
BEC - 11/2016
REG - 01/2017

Using Gleim CPA Review, Ninja Audio, Ninja Book

[ultrarunner]

@Fsugirl2005 already said what I wanted to say. Temp agency usually takes 30%. Please relax and enjoy the holidays.

CPA/ MST/ Roger CPA Review

FAR 72,67,79 (Roger+Wiley test bank)11/15
AUD 80 (Roger)10/15
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REG 63,78 (Roger+Ninja MCQs)5/16

[Author]

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