Being paid by the hour more rewarding than a salary, claim researchers

[HuckleB]

Money can buy you happiness – especially if you are paid by the hour, claim scientists.
http://www.telegraph.co.uk/science/science-news/6789461/Being-paid-by-the-hour-more-rewarding-than-a-salary.html

"Researchers found that being paid by the hour had a greater impact on your wellbeing than getting a salary as you feel a greater connection between effort and reward.

They believe the more direct relationship between time and money focuses your mind on your pay which if reasonably high makes you happier.

However the equivalent total paid as a salary, seems to have little or no effect on your happiness levels.

The researchers at University of Toronto and Stanford University analysed long term population studies in various countries including Britain.

..."


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I'm not sure I buy any of this, but maybe I'm just broke.

Any thoughts?

[Romulox]

1. Salaried people are the new indentured class, in a lot of cases.

Why are some people entitled to overtime for their efforts, and not others?

[HuckleB]

3. You do have a point.

Most of the salaried people I know work rather large amounts of overtime.

[Oregone]

6. Its nice knowing what you will make each year

And its your right to slack you ass off too.

[HuckleB]

16. In my experience, the opposite usually happens.

It's the "right" of your supervisors to make sure you work as many hours as possible.

[Oregone]

22. I guess its different for everyone

I never worked per hour. I went from a business owner/CEO to a salaried employed (and Id NEVER go back). Some weeks I log 65+ hours. Some weeks I log 5 hours. Sometimes I have emergencies or generally don't feel motivated. Its nice to know I don't have to be on the clock always. But then again, I have a very strange job (I sit at home in pajamas behind a computer).

[SteppingRazor]

2. I think they both have their advantages.

Hourly employees get overtime. Salaried can work 25 hours a week and get paid the same as if they had worked 40, and no one seems to notice.

[Nicholas D Wolfwood]

4. Psychologically, I do buy the argument.

As someone that sees his salary drop 20% if you factor in actual hours worked as opposed to the standard 40 hour work week, I can understand that. Still, there's a lot of security involved with having a salary.

[PassingFair]

5. It then follows ....that working on commission really SUCKS. n/t

[HuckleB]

11. I agree.

That's not something I'd handle well.

[Lucian]

7. I work at Walmart, and I don't feel rewarded when I leave.

I bust my ass, do more work than others, and I still only make $8.30/hr. Some people stand around and talk 1/2 their shift and make the same amount I do, but doing a lot less work.

I'd feel more rewarded if I got a salary.

[dusmcj]

8. paying a salary is inconvenient for big business, so wages have to go. /nt

[randr]

9. Hourly workers are sometimes offered salarys

greater than their hourly wage in order to reward them and keep them if their work merits.
Salaried positions also more often come with benefits.
Regardless, I think that the more you like your job the happier you are.

[Ozymanithrax]

10. It depends on the hourly wage.

$5.75 an hour to do backbreaking labor probably won't go as far in the wellbeing department as $100,000.00 a year with perks.

I wonder what the relationship is between doing physical things with your hands and body vs. buying and selling stocks might be?

[goldcanyonaz]

12. I'm salaried employee, but I rarely work any overtime.

I'm a permanent hire and am very fortunate to receive bonuses and other incentives throughout the year.

I've known many salaried restaurant managers over the years that were salaried and ended up making a bit above minimum wage because of all the hours they had to put in.

[HuckleB]

15. Yeah, restaurant managers do tend to get abused something fierce.

I was happy that I noticed that while dishwashing, bussing and waiting tables in high school. That kept any thoughts of restaurant management from creeping in to my confused young head.

[DesertFlower]

13. i worked as a temp for

a large company for 9 years. i started at $6.00 an hour. when i left in 1988 i was making $18.00 an hour. i took a salaried job that paid me $27,000 a year plus benefits (paid holidays, etc). i got 1-1/2 pay for anything over 35 hours and if i worked a sunday i got double time. holidays were triple time. needless to say i tried to work as many sundays and holidays that i could.

i worked a lot of hours with both jobs. the temp job also paid 1-1/2 after 35 hours.

[izzybeans]

14. If I got paid hourly, I'd be a wealthy man.

As a salaried employee I get paid for 37.5 hours despite the fact I work 50.

[HuckleB]

17. My guess is that's about an average differential.

But it's just a guess.

[DesertFlower]

20. my husband has the same problem.

he sometimes gets phone calls in the middle of the night from people in india. many times on weekends there's and emergency and he has to go in. on the bright side, he's well paid.

[juno jones]

18. The salaried chefs I have worked for

work 50-70 hours per week. When we've compared numbers, they've made a whole dollar or two an hour more than I for vastly more responsibility and work.

Salary seems to be a way of screwing people whose talents would otherwise cost much much more in an hourly sense.

[FreakinDJ]

19. DOUBLE TIME SUNDAY

besides - saleried people are "Kiss Asses"

[RebelOne]

21. I am paid by the hour and I much prefer it.

I get overtime for every minute I work past my 40 hours.

[MineralMan]

23. In my own web content and custom blogging business,

I state an hourly rate, but also offer to make a flat rate bid for a job. Most customers want the flat rate. I make more money when they opt for the flat rate, since I generally over-estimate the time I'm going to spend when I quote the rate. When I'm working on an hourly basis, I tend to underbill, just because I tend to underbill.

It's interesting. I think the psychology of the customers is that I'll overbill if I work by the hour, and under-estimate for the flat rate bid. It works just the reverse, because of how I am.

I don't really care which one they choose, really. It's just interesting.

If you hire me, though...take my advice. Let me bill by the hour...it's cheaper. Don't tell the boss I told you that, though...:evilgrin:

[HuckleB]

24. Now that's good information!

[MineralMan]

28. I'm chuckling at that.

It's just one data point. I have no idea whether that's typical or not. As you may have noticed, I'm often atypical. :evilgrin:

[HuckleB]

29. Well, it just sounds like the philosophy I might take, if I had a similar business.

Oh, and, uh, my brother-in-law has a similar philosophy, with a similar business.

Two anecdotes are just two anecdotes, but they are more than one!

Cheers!

[Ignis]

25. Hell yes, it is!

Having done both for decades each, I can firmly say I'm in the "pay me hourly" camp.

Want me to stay late? No problem! Please see the overtime clause of my contract for my time-and-a-half rate.

Need me to work all weekend to meet some (real or imaginary) crunch-time, drop-dead deadline? No problem! Please note that my contract kicks into overtime rates for anything more than 40 hours/week. Don't forget to read the double-time after 12 hours/day fine print!

Want me to waste days and days and days sitting in unproductive meetings? No problem! It's your dime, buddy--I'd rather be doing real work, but I'm happy to be paid to sit and drink coffee while C-levels bloviate.

Of course, this is from the perspective of a white-collar technical person who's been on both sides of the consulting fence. Given the reprehensible state of health care in this country, I'm extremely fortunate to be in great health so that I'm not stuck to a salaried job for health insurance. Having watched managers of FTEs with sick spouses directly threaten them with dismissal unless they work 60-80 hours/week, I know exactly how dangerous that carrot-and-stick game can be.

That being said, I'm overjoyed when I find a great boss, and I'm happy to become a salaried employee in cases where it actually gets me something: training, experience, certifications, etc.

[Blue_Tires]

30. now that i think of it from that perspective, i agree...

[tjwash]

26. Salary sucks.

I had to quit a job because they "promoted" me to a salaried position, which meant that I got screwed out of a good 40K a year in overtime. Nice...went from 8 to 10 hours of paid OT a week to 20-40 hours of unpaid OT.

That was in Arizona of course. A "right to work" state, which is 1984 speak for they can fire your ass with no consequences to themselves, if you try to organize. I moved back to California where they at least can not do the screw-you on overtime thing as blatantly as other states can.

[Trillo]

27. It could help to explain "the hole" executives may perceive,

the one filled by more, more, more money.

[cowcommander]

31. It certainly keeps nurses working

A lot of LVNs and RNs would just simply give up and quit if they were paid salaries, overtime is a big incentive to keep working and put up with the enormous, soul-crushing stress of the job.

[bridgit]

32. Seems they want people to think those are the only two ways to be paid...