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On Job Openings the Minimum Wage and Being Middle Class

Bruce Krasting's picture





 

 

I had lunch with a friend, he was bitching and moaning about business. He’s having a very hard time closing deals – and he only gets paid when there are deals.

 

This fellow is a headhunter. He specializes in supplying people for the medical industry. One of his clients has given him a sweet assignment – they have a dozen job openings that need to be filled - yesterday. The job description is OT – PT (Occupational or Physical Therapist). Some additional details:

 

Compensation: $100 per hour.

 

Location: Metro NY.

 

Terms: This is Per Diem work. There are no benefits.

 

Job Requirements: The applicant must have a graduate degree and at least two year of work experience.

 

Hours per week: Minimum of 40. There will be the opportunity to work more hours, but the $100/hr rate stays the same.

 

Long Term Prospects: Most of the jobs will be converted into full time positions with an excellent benefit package in less than one-year. The per diem option will remain open. (Full time work with benefits is less than $100/hr)

 

Micro Economics: There are no benefits and the taxes will be high. One should expect to pay 40% taxes (11% NY State/City and this income will be subject to the new, top Federal bracket). In NY, the out of pocket cost for medical insurance is $1,000 per month ($2k for a family plan). This brings the take home, after tax and after medical insurance to $55/hr. At 45 hrs a week, 50 weeks a year, it means a take home of $123k – call it 10 grand a month of spending money. Not bad at all.

 

Macro Economics: To get this job you must have six years of education - four years of college, two more for the graduate work. What does that cost? It could cost over $200,000. I’ll assume only $100k. The payback on that is $1,000 per month for ten years. In addition, there is the lost income for the six years that it takes to get an education; I’ll exclude that. When you factor in the debt, it brings the real disposable income down to $9k a month.

 

 

So what’s my friend groaning about? It’s been two weeks, and he hasn’t filled one of the jobs. There is a big shortage of people with these skills.

 

I checked a few online sites. There are plenty of ads for the jobs I describe. It’s not just in NY; it’s all over (pay varies significantly by location). None of this is either startling or new, but taken together, I thought it was interesting. Some observations:

 

 

- This part of the economy is red hot. It’s not just OT – PT, the shortage of qualified workers is across the hospital industry.

 

- In 2014 (10 months) Obamacare will kick in, and millions of people will have medical insurance. What will they do when they finally have benefits? They will go see a doctor. The demand for medical services is going to grow substantially as a result.

 

- Supply and demand says that today’s personnel shortage will get worse very soon. My conclusion is that this will translate into an overwhelmed system where patients do not fair well.

 

- A substantial portion of the rising demand for medical services is Medicare and the aging population. More Federal debt is the driving force for the high paying jobs.

 

- With personnel costs rising this fast, you have to believe that all of those estimates for what Obamacare was going to cost, were just noise. If you thought Medicare was in financial trouble today, wait three years. The costs will be double what what sold to the public in 2010.

 

- Want a good job? Get six years of education. I see this as a very big barrier to entry. The “good life” will remain elusive.

 

- If six years and $100k are required to get a good job, doesn’t that mean that the problems with unemployment today are structural? Can ZIRP or QE fix this?

 

- Healthcare is a big chunk of the economy. Clearly there is wage inflation in this sector. There are potential monetary policy implications to this. I would not “short” 2014 CPI at 2.5%....I suspect the new boss at the Fed will have to grapple with this.

 

- All of the jobs offered are per diem only. This is not new, but the trend is increasing. Hospitals don’t want the burdens of full time employees. It’s easier for them to write a big check, and let the employees deal with paying taxes and obtaining insurance. We will see more and more of this. You’re on your own…

 

- These jobs are very much full time. But because they are per diem, they statistically fall in the category of part time or temp workers. I'm not sure there is spin to this as far as the employment numbers we look at. If there were, it would suggest that the economy is a tad hotter then thought.

 

 

Now assume that have the skills and you're willing to move to the Big Apple. Assume you also have two young kids. You need that $100 an hour to pay all those bills. Including:

 

- An extra $1,000 a month for insurance for the kids.

 

- $3,000 for rent. (The Apple is expensive - You will live in Brooklyn, not Manhattan)

 

- Pre-School/baby sitters will cost another $2,000 a month. (Forget about private schools, that starts at $20k per child)

 

Now the monthly take home has fallen from 9k to $3,000. Then there is the cell, cable, Internet and electric. You’re making $225,000 a year and have no 401K. You have kids – and they need an education too. So savings is a question in this. Put a $1,000 a month into the market (minimal for this person) and what’s left falls to $1,500.

 

Can you put food on the table and buy clothes and all the other stuff kids need on $1,500 a month? Yes, but not by much. It comes to $50 day of spending money. That goes very fast these days. You’re not living the high life, forget about a vacation, there's no chance for a car. And you're making a quarter mil a year.

 

 

Bottom line? $100 an hour is the minimum wage for a person with a family in NY. The Prez is offering $9.

 

nyt

 

banksy-streetart-london-lifestyle-624x416

 

 

 


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Thu, 02/14/2013 - 14:24 | Link to Comment mind_imminst
mind_imminst's picture

I wouldn't call this trend a sign of an economy that is a little "hotter". If it was "hot" and if there were no structural problems, the companies would be offering full time positions, not trying to skate by, by hiring "independent contractors".

Thu, 02/14/2013 - 09:05 | Link to Comment ZeroAvatar
ZeroAvatar's picture

Wow!  $9.00 per hour.  Yee Haw.  Just think....that'll put you into the next higher TAX bracket, and you'll take home LESS than you did at the previous wage.

 

#LOSING

Thu, 02/14/2013 - 08:21 | Link to Comment thisandthat
thisandthat's picture

Problems hiring? Here's a tip: Portugal, Spain, Italy, Ireland, Greece...

Thu, 02/14/2013 - 08:09 | Link to Comment SmallerGovNow2
SmallerGovNow2's picture

Great post Bruce...

Thu, 02/14/2013 - 08:02 | Link to Comment nmewn
nmewn's picture

Here's the problem. Its in NY.

All O'Barry has to do is sign yet another Executive Order authorizing the kidnapping of medical personel from neighboring states. Water board them into signing work agreements with the state of NY. If they try to run back to their home states he unleashes the drones on their ass.

Problem solved.

Next!

Thu, 02/14/2013 - 07:23 | Link to Comment espirit
espirit's picture

The way I see it, $100/hr for a top notch Zumba Instructor is like scraping the inside of a garbage can.

Unless of course, they look like Nancy Pelosi or Hillary Clinton.

Get real and offer 10X that amount, then maybe the dude will be able to satisfy those high end clients.

Thu, 02/14/2013 - 06:34 | Link to Comment Sudden Debt
Sudden Debt's picture

I'm against minimum wage and I live in the socialist empire of Europe!

The reason why I'm against minimum wage is because it alows people with no skills to make a descent living.

still I hear you say: yes but not everybody has skills...

okay...

but why should a low skilled person develop skills when you offer him a job that offers a good living?

and than I hear you say: yes but 9$ a hour is not much...

NOW LET ME TELL YOU WHERE THIS IS GOING NEAR TERM!!!!!

1. In Belgium for example, the minimum wage is 12.8 euro a hour.

And that is for low and unskilled people who don't even bother to develop a skill.

2. A bacherlor receives 16 euro a hour!

SEE THE DIFFERENCE ALREADY?!

IT DOESN'T PAY THAT MUCH MORE TO HAVE SKILLS!!!

AND THE KICKER?!!!

UNEMPLOYMENT BENEFITS ARE AT A COMPAIRABLE 12 EURO A HOUR!!!

SO WHY WOULD THIS UNSKILLED PERSON EVEN BOTHER TO WORK?! THEY DON'T!!! AND THAT'S WHY THERE'S A WORKER SHORTAGE IN THE MIDDLE OF A CRISIS!!!!

At work we constantly have between 10 to 15 vacancies. And to say it bluntly.... if a monkey with a hat enters, he's hired....

"WE'LL SEE AFTER 6 MONTHS IF WE CAN DO ANYTHING WITH THIS PERSON!"

And That's what's making the employment costs so high and profitability per person so low!!!

 

SO:

MINIMUM WAGES DRIVE SKILLED JOB WAGES DOWN!!!!

 

Don't take my word for it. Let's just talk in 5 years from now...

From the "no child left behind" to the "no worker left behind", all you get is a bunch of idiots who don't explore their capabilities.

 

Yeah... AND IF YOU MAKE MINIMUM WAGE AND THINK "IT'S ONLY FAIR"...

FUCK OFF WITH YOU'RE IT'S ONLY FAIR SHIT!!!

GO LIFE IN SOME COMMUNIST SHIT COUNTRY IF YOU WANT IT TO BE FAIR!!!

 

I WORK HARD, I KNOW SHIT, AND I MAKE A LOT. IT'S ONLY FAIR TO ME TO.

AND IF YOU WANT MORE THAN ME????!!! COOL, BEAT ME AT MY GAME AND IT'S YOURS!!

Thu, 02/14/2013 - 11:57 | Link to Comment thisandthat
thisandthat's picture

So why don't you put your money where your mouth is and go get better qualifications so you can get a job that pays what you want, instead of complaining about the end of slavery?

No one will give you a good job (if any) with just a bachelor's degree. In Portugal, the minimum wage is 485€/mo, yet, retail is full of bachelors working for minimum as cashiers, and there were even people trying to hire doctors for LESS than that - what does minimum wage have to do with it, besides exposing the exploitation?

Thu, 02/14/2013 - 08:09 | Link to Comment SmallerGovNow2
SmallerGovNow2's picture

Good post, thanks for sharing that...

Thu, 02/14/2013 - 06:12 | Link to Comment nathan1234
nathan1234's picture

It's time that Obama's salary is reduced to $9 an hour.

 

Thu, 02/14/2013 - 06:23 | Link to Comment Sudden Debt
Sudden Debt's picture

OH MY GOD!! THAN HE WILL BE FORCED TO LIVE ON HIS 2 BILLION DOLLAR A YEAR "DONATIONS"!!!

THE HOROR!!

Thu, 02/14/2013 - 06:18 | Link to Comment taeonu
taeonu's picture

"'Sure, it's an objectively large sum of money,' they say. 'But it is far smaller after I spend it.'"  - Hamilton Nolan

 

6 Things Rich People Need to Stop Saying

#6. "Well, $500,000 a Year Might Sound Like a Lot, but I'm HardlyRich."

 

What They Think They're Saying:

"Come on, we're all in this together! It's not like I have infinite money."

What We Hear:

"When my family's Aruba vacation went over budget, that was exactly like you being unable to afford medication for your child's excruciating chronic illness!"

I'm going to try to only quote politicians and pundits and other public figures for this article, but don't take that to mean they're the only people saying this stupid shit. Regular rich folk aren't exactly reluctant to offer this as a defense (here's an article on why it's hard to get by on $500,000 a year in New York, and here's one on why $200,000 a year isn't rich in Toronto), and you can go to the comment section of any article that mentions taxes or welfare or income inequality (including this one!) and hear this same bullshit.

Hell, you've probably heard it in real life, from a boss or some guy sitting nearby at Starbucks. "I guess I'm considered rich now! Well, if I'm so 'rich,' why am I broke at the end of the month?!?" Uh, I think it's because your mortgage is $3,000 a month, since you live in a fucking palace. And because you took your family on that Disney cruise last summer. And because you pay for your kids' college, so that, unlike us, they won't be crushed under six figures of student loan debt at age 22. And because you eat all the best foods and drink the finest liquids.

Or, as Hamilton Nolan at Gawker put it, "'Sure, it's an objectively large sum of money,' they say. 'But it is far smaller after I spend it.'"

For people who are grinding through overtime just to keep up with their bank's late fees, this induces an urge to storm a gated community with pitchforks and torches and make those people go spend a year in a trailer park or in a city apartment so small that when you flush the toilet, little droplets of piss splatter onto the bed.

But don't get too mad at the rich for saying this -- we shouldn't, as a rule, get as angry at people for being oblivious as we should when they're being intentionally evil. Besides, they can't help it -- that obliviousness is hard-wired, a product of evolution that, really, kind of explains all class tension in the world. The rich, along with all of us, are biologically programmed to not notice their advantages.

This came up a while back in a previous Cracked article. Basically, your brain drains the pleasure from the current things you own and do in order to motivate you to keep hunting and gathering. And I don't care where you are on the economic ladder, you've experienced this yourself.

You remember that scene from Big, where the boy-in-an-adult-body Tom Hanks gets his first paycheck at his shitty data entry job and screams in celebration, "A HUNDRED AND EIGHTY-SEVEN DOLLARS!" When you're a kid begging mom for 10 bucks at a time so you can buy some stickers for your Trapper Keeper (this is still 1984, right?), $200 seems like the kind of money that should come on a huge novelty lottery check. But then just a few years later, you get that first fast food job and watch your paycheck evaporate on just one car payment (the insurance takes the next one).

It is apparently entirely possible to stay in that mindset, ignoring each new asset, right up until you're sleeping on a platinum bed under covers made of fur from a cloned woolly mammoth. If someone tries to offer you a little perspective and remind you of the tremendous advantages you no longer even notice, you'll reply with something like ...

 

http://www.cracked.com/blog/6-things-rich-people-need-to-stop-saying/

Thu, 02/14/2013 - 04:47 | Link to Comment AnAnonymous
AnAnonymous's picture

The story about hot economy due to a shortage of applicants is one recurring topic in 'american' economics.

As shown many times before, in an 'american' economics environment, the more a work market tightens, the more hirers can come with extravaganza demands.

It is all part of the 'american' masquerade.

There are very small risks in floating job ads that you know to be hard to fulfill, just for the sake of pretending as they are so unlikely to be tested in reality.

If by tough luck, the workforce was to catch up on the demand, suddenly, the actuality of the job offers will appear for what it is and the supposed hot sector will shrink in a minute.

But the explanation would be already made in this case: too late. The jobs existed yesterday, they no longer exist today. 'Americans' have learned to do without that in the mean time.

'Americanism' at work.

Thu, 02/14/2013 - 06:58 | Link to Comment malikai
malikai's picture

Uh.. What?

Thu, 02/14/2013 - 04:41 | Link to Comment AnAnonymous
AnAnonymous's picture

What's wrong with setting a minimal wage level that is ten times lower than an estimated living wage?

Obama is an 'american' president so as an 'american', he masquerades things as they are not.

If indeed, $100 per hour is needed to make it in NYC, how would 'american' economists keep explaining that setting a minimal wage is killing the economy? Ratio is one to ten.

Again, an honest and faithful servant to the 'american' middle class is bashed for 'american' reason.

Thu, 02/14/2013 - 04:35 | Link to Comment FunkyOldGeezer
FunkyOldGeezer's picture

Well, the guys on minimum wage must be able to live in NYC, otherwise there would be no need for it, as they'd all be dead.

Isn't this article rather like the middle classes moaning that they're poor as a church mouse when they get down to their last 250K. It certainly shows the lifestyle Bruce K is used to. High on the hog?

It also shows very clearly why austerity could never work in the USA until it's forced upon everyone. The USA has collectively forgotten how to budget for so long, they have little to no comprehension of the word.

 

Thu, 02/14/2013 - 06:29 | Link to Comment Sudden Debt
Sudden Debt's picture

People need to realize:

1. NOT EVERYBODY CAN JUST PUT THEIR KIDS IN COLLEGE!

In the past, it was a rare thing to put your kids in college because of the cost.

And now you have to many college kids so the waist is absurd.

2. EVERYBODY THINKS IT'S ONLY FAIR THAT EVERYBODY CAN TAKE 2 BIG VACATIONS A YEAR WITH A SHITTY JOB!

In the past, people went to the seaside, in a 5 hour drive and everybody found it to be a big vacation. Now it's concidered "a citytrip"

 

AND OMG!! YOU CAN'T LIVE ON 9$ A HOUR IN NEW YORK????!!!

I BET YOU CAN'T LIVE ON MARS IN A SPACEHUB WITH ONLY 10.000$ A HOUR EITHER!!

 

BOEHOEHOE!!! I DON'T HAVE A 4 CAR GARAGE, 6 BEDROOM 2000m² HOUSE!!! BOHEOHEOEHOE!!!

RIGHT!!! THAT'S NOT MEANTH FOR EVERYBODY TO HAVE!!! GET OVER IT!!

Thu, 02/14/2013 - 04:01 | Link to Comment ebear
ebear's picture

"There is a big shortage of people with these skills."

Wait till the current cadre of mining and petroleum geologists retire (they're in their 50's and 60's right now with no one to replace them). Then the REAL shortages will begin.

Thu, 02/14/2013 - 15:38 | Link to Comment Greshams Law
Greshams Law's picture

My sons chose Electrical and Civil Engineering as majors, but I'm still making them take the first four Petroleum Engineering courses. Nobody lays around my house complaining about unemployment benefits except me.

Thu, 02/14/2013 - 06:54 | Link to Comment Vuke
Vuke's picture

The Chinese are waiting.  I hear they're graduating people like this by the tens of thousands while the West shovels them out as pencil pushers, keyboard artists and musicians.

Thu, 02/14/2013 - 03:19 | Link to Comment Hobbleknee
Hobbleknee's picture

You can blame the AMA for the lack of doctors.

https://mises.org/daily/4276

 

Thu, 02/14/2013 - 08:16 | Link to Comment SmallerGovNow2
SmallerGovNow2's picture

no, you can blame litigation, obamacare, medicare, and medicaid...

Thu, 02/14/2013 - 02:22 | Link to Comment b_thunder
b_thunder's picture

SickCare is the biggest scam going.  Prices are controlled by cartels: doctors, dentists, big pharma, etc.

The prices are grossly inflated.  There's no way this country can afford diverting almost 20% of GDP to sickcare. 

Cost to put in braces in USA:  $4500-5000.  In Colombia or Costa Rica :  $400-600.  Same materials, only spanish-spoken orthodontist trained in Europe.

Add to the existing cost the cost of Obamacare.  If somethign can't go on forever, it will stop. Once peopel have had enough, the cartels will be busted and the prices (and salaries) will collapse.  An average orthodontist collects approx. $300k/year and has average work day of 5 hours.  There's  no freakign way this is sustainable in this economy.

As far as OTs and PTs - most of them work with "elderly", most covered by medicaid and medicare.  First of all, a huge % of the cost billed to the programs are scams and frauds. Second, there's no money to fund these proograms. Third, these PTs don't cure cancers, you know...  they're "feel good" folks who don't do anything that a regular nurse couldn't.

By the time your 6 years of study is over (i'm not even talking about 2 years of experience)  these jobs will pay nothing like they pay now.  Once the medical cartels are busted, the supply (including foreign doctors) will more than meet the demand.

 

Thu, 02/14/2013 - 02:20 | Link to Comment joego1
joego1's picture

The incentive is to not make much money and leach off the system as much as possible. I watched the state of the union address and thats what O said. In fact O said he could do everything in the world with smart government.

Thu, 02/14/2013 - 02:11 | Link to Comment ptoemmes
ptoemmes's picture

You know the "old saw" that a broken window stimulates the (local) economy.  I never bought it either.

But it occured to me given that health care is such a large part of the economy....if people got sicker and went to the doc/surgeon/etc under Obamacare insurance would that cause upward pressure on GDP?

Not asking if it makes sense - it doesn't - just figuring in todays' upside down (statistcal) world whether it might "stat" that way?

Of course if one followed the "money" it might lead to increased government borrowing and deficits - a form of increased transfer payments perhaps?

 

 

Thu, 02/14/2013 - 04:34 | Link to Comment The Heart
The Heart's picture

The poor get poorer as the costs for everything goes up and wages stay the same.

What to do?

"Buy extra food to stay ahead of inflation."

John Williams Fed Money Printing will Trigger a Sell-Off Providing Start to Hyperinflation:

http://www.youtube.com/watch?v=vHjugfczIjQ&list=UUHzM9y-HbV8Gz2uc1vhYobQ...

 

Thu, 02/14/2013 - 08:21 | Link to Comment SmallerGovNow2
SmallerGovNow2's picture

That's fucking four months old...

Thu, 02/14/2013 - 01:30 | Link to Comment hannah
hannah's picture

i think the reason this guy has problems finding people is because they are temp jobs...maybe at $100hr but stll a temp job. temp jobs usually dont pan out and people give up and take shit 'regular' jobs. if a company needs employees why dont they hire full time for real jobs...?

Thu, 02/14/2013 - 01:27 | Link to Comment tony bonn
tony bonn's picture

this is the price of globalization, fascism, and zirp (aka capital destruction)....there is a concerted effort by the plutocrats to suppress wages and ensure poverty.....the asshole .1% take nearly 40% - 50% of the national income....the reason why the headhunter can't fill the jobs is because the gluttonous .1% want to keep it all to themselves...they don't want to pay...and hence scarcity ensues...fuck the plutocrats...

Thu, 02/14/2013 - 15:42 | Link to Comment SamuelMaverick
SamuelMaverick's picture

suppressing wages also plays into keeping inflation in check,  no one has  money to spend.

Thu, 02/14/2013 - 01:04 | Link to Comment CheapBastard
CheapBastard's picture

Good article. Thanks for emphasizing there issues. I often think about what the person at Kohls (or Macy's, etc) earns and wonder how they support themselves. This is another reason why house prices will continue to fall. With terrible (very sticky) wages it is unreasonable to assume any stabilization of house prices. The prices will steadily continue to decline with tiny blips up along the way. True, some areas for very unique circumstances will fall slwoer, but overall, for the foreseeable future, house prices will fall...correct...revert to the mean..or however you want to describe it.

Thu, 02/14/2013 - 01:24 | Link to Comment Renewable Life
Renewable Life's picture

if its a $100/hr to survive in NY, its $150/hr in California!  These idiots I live with out here, voted for a retro active state income tax increase to 13.5 fucking % in November!!  

So if you make more then $200,000 per year as a family or $100,000 as a individual, bend over that's 4% more out of your ass then last year, and 7% more then three years ago!! 

So if your making more then $250,000 a year now in California, here's what the GOV is getting!

-Local property tax, melruze, and park dist/water dist taxes, school dist taxes = 4-7% of your assesses value of your property!

-Local (library, police, mil taxes) and state sales tax on every fucking thing you buy = 9+%

-State Income Tax =13.5% 

-Federal Income Tax = 36.5%

-Federal Payroll SSI/Medicare Tax = 7.65% on the first $110,000 income!

TOTAL PAYROLL & INCOME TAX = 57.5% + Property and Sales Taxes

 

WHY THE FUCK WOULD ANYONE STAY HERE???? I'm OUT before the end of 2013, Washington State, here we come!

Thu, 02/14/2013 - 08:25 | Link to Comment SmallerGovNow2
SmallerGovNow2's picture

My wife is there at a conference right now.  $15 fucking dollars for a glass of house wine.  WTF...  would get you three or four glasses here in south texas...

Thu, 02/14/2013 - 02:31 | Link to Comment Nobody For President
Nobody For President's picture

By-by.

Thu, 02/14/2013 - 01:03 | Link to Comment Freddie
Freddie's picture

Hey Bruce - how do your libturd buddies, friends and relatives like them apples?  That little shit junior mafiaosi Coumo also disarmed those dimwitted NY'ers.   Hope and Change - Bruce. 

Thu, 02/14/2013 - 00:48 | Link to Comment Vlad Tepid
Vlad Tepid's picture

If they remove the requirement for "two years experience" I bet there'd be a million people who qualify.  What the hell is the paranoia about having to give someone an introduction to the workplace?  After 6 years of training, you can bet they are at least competent in the day-to-day.  This obesssion with "currently employed" or "x-years experience" is killing the supply side of the job market.

Thu, 02/14/2013 - 05:07 | Link to Comment ebear
ebear's picture

"What the hell is the paranoia about having to give someone an introduction to the workplace?"

So just lie about it.  Who checks references, and anyway, what are they gonna do?  Fire you?

I've puffed myself up to god-like status on every resume I ever wrote, and guess what?   I almost always got the job.

Competence?  The people hiring you aren't competent to judge whether or not you are, so fuck that shit.

Ferengi rule of acquisition # 239:  Never be afraid to mislabel a product.

Thu, 02/14/2013 - 00:41 | Link to Comment bigmikeO
bigmikeO's picture

I know the guys (and girl) that own a medical supply company called rehabmart.com, the owners are all occupational and physical therapists. They were telling me that reimbursement for therapy services was about 50% less now than it was 10 years ago. I'm surprised NYC is paying that much for OT and PT services.

On another note, they were also talking about how the majority of their vendors have already contacted them about passing on the Obamacare 2.3% medical equipment excise tax on to the products they sell.

Thu, 02/14/2013 - 00:30 | Link to Comment SamuelMaverick
SamuelMaverick's picture

$100 /hr is chump change in NYC, esp with no perks / benefits.  The per diem scam will end once the IRS gets around to classifying these health care positions as employee positions - because they actually are.    Also, you forgot to add work traveling expenses into your math,  the guy will gross 250k/year and be fucking dead ass broke at the end of the year.  I just turned down a contract position in the utility industry for the very exact same reason.  The guys doing the hiring cannot do basic math.  Oh yeah, the utility co. cant fill their positions either.   

Thu, 02/14/2013 - 01:43 | Link to Comment RafterManFMJ
RafterManFMJ's picture

I'm a deul major PT and Utility contractor via University of Pheonex; I leaned to do utilities repairs and PT for less than 100K, all while at home on my computter.  I do house calls, give you hand message and rewire your table lamp, same day.  Thanks you again, University of Phoenix!

Thu, 02/14/2013 - 02:58 | Link to Comment Dealyer Turdin
Dealyer Turdin's picture

now alls you gotsta do is toorn awn spelchek.

Thu, 02/14/2013 - 01:25 | Link to Comment Some Bloke
Some Bloke's picture

BUD:
50 K don't get you to first base in the Big Apple, Dad, not any more. I pay 40% in taxes, I got a rent of 15,000, I got school loans, car
loans, food, park my car costs me 3 bills a month, I need good suits, that's $500 a pop, shoes...

CARL:
So come home and live rent free, 'stead of that cockroach palace you live in. $50,000 Jesus Christ, the world is off its rocker. I made
$37,000 last year and you...

BUD:
It's Queens, Dad and a 5% mortgage and you rent the top room--I gotta live in Manhattan to be a player, Dad. There's no nobility in poverty anymore, y'know. 

Thu, 02/14/2013 - 00:17 | Link to Comment malek
malek's picture

Wow, Bruce, too much shooting from the hip!

With that income the effective overall tax rate will never get close to 40%, even if the state tax were 11% (I can only find 8.82%)
However 100$/hour without benefits may be not bad at all but for sure nothing to write home about.

You need 6 years education, but you forgot the 2 years experience. And done that with only $100k student debt? Good one.

Most of the jobs will be converted into full time positions with an excellent benefit package in less than one-year. Promises, promises... most likely bull

Hours per week: Minimum of 40. How much overtime expected? How many nightshifts and weekends?

In 2014 (10 months) Obamacare will kick in, and millions of people will have medical insurance. What will they do when they finally have benefits? They will go see a doctor. The demand for medical services is going to grow substantially as a result. Bullshit. As a result doctors will get squeezed even more. As a doctor make sure you save enough today, as things will only go downhill for most of them.

Thu, 02/14/2013 - 04:18 | Link to Comment Maos Dog
Maos Dog's picture

Malek, New York is one of those *Wonderful* places that has a CITY tax on top of the state tax on top of the Federal tax, total rates are actually over 40% for the top brackets. There are good places ito live in the suburbs, but, you lose 1 - 2 hours of your day for the commute. I lived there for 27 years, the place is a fucking hole, and the women suck as well (Southern girls are the best!)

Nuke it from space, it's the only way to be sure.

 

 

Thu, 02/14/2013 - 00:13 | Link to Comment mt paul
mt paul's picture

costs me more than 9. $ hr

to smoke a cigar...

Thu, 02/14/2013 - 15:03 | Link to Comment SmoothCoolSmoke
SmoothCoolSmoke's picture

Switch to pipes.  Good smoke, less cost.  And, It's chick magnet.

Thu, 02/14/2013 - 00:29 | Link to Comment willwork4food
willwork4food's picture

Not to mention good beer.. fuck that.

Thu, 02/14/2013 - 00:11 | Link to Comment sangell
sangell's picture

OT-PT have been in short supply for decades. The job must not be very pleasant. Nursing homes, accident victims etc. This is probably something economist don't consider when they wonder why some jobs skills are in short supply despite high demand. Not long ago underground coal miners were in short supply. Well, OK but even earning $75k even $100k per year with only a high school diploma sounds great until you realize you will be hundreds of feet under the ground in a less than glamoress area in Appalachia doing dangerous work. Money isn't everything.

Thu, 02/14/2013 - 00:05 | Link to Comment moonstears
moonstears's picture

it will catch you all(me too) via inflation 9-12 mos out. 16-20%

Thu, 02/14/2013 - 00:04 | Link to Comment the grateful un...
the grateful unemployed's picture

if this is per diem, so your day might be 10 hours in order to get to those 8 hours of appointments. and they guarantee you 40 hours? (if you work nights and Saturdays probably) considering what some mds and lawyers charge by the hour it sounds generous, which makes me think getting those 40 hours won't be easy. (one suspects the reason the headhunter (your words) is having trouble is that the job is scam. how about that possibility bruce?

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