Take the promotion?

[BingoHeeler]

Hi all, just after some advice on whether I should take a promotion that has been offered to me, particularly in light of the pay.

So I’ve been offered the opportunity to become the team leader of my team. I would still continue with my workload but would also line manage 5 people.

Currently I am at the top of my pay grade which is £49k. The team leader post is the grade above so only a small pay rise (which would take me over £50k). The grades are quite small so the top of that grade would be £52.5k (meaning my pay wouldn’t go any higher than this without another promotion).

So I have 2 questions:

1. Would you take a promotion, more responsibility, line management etc for a small pay rise? (Although as I am at the top of my grade now my pay won’t go up at all without it).
2. What are the implications of going over £50k, I’m thinking tax and also child benefit (and anything else I’ve not thought of). Does this mean the pay rise is even less significant in real terms? Is there a way to calculate this?

Thank you.

Think it depends if you're trying to move up the ladder? I would personally say no, so much more stress and workload for basically no reward as after tax etc it won't be much based on current salary and as you say you're hitting over 50k so you could actually end up worse off. Put it into salary calculator and see what comes out. But will child benefit stop also? My husband has done similar role move for little reward but potential to move up in his company and pay will increase within the year but not near 50k so little impact on him except he finds it tough mentally having such a hard workload but not being properly compensated as others on similar pay to him are coasting along

Wow Im a TL managing 20 and on £34k.
Are you in London ??
I moved for an extra £1k a year to manage 20 staff however the jumps in spinal points is greater than you are or would be getting.
I didnt really do it for the money.
It's alot more than that for me.

You're only going slightly over £50k, so the tax and child benefit implications will be minimal.

Tax will be 40% on everything you earn over £50k, so a max of £2.5k will be taxed at 40%. I don't think you'll lose child benefit, assuming you have a pension, as your pension contributions will take you under the threshold. I think you will have to do an annual HMRC self assessment form to declare that you won't have to pay anything back, but it's easy.

For the small increase in salary, it doesn't seem worth it, unless you want line management / team leader experience to move on to other roles in the future.

Wow where do you work where the differential between grades is only £3.5K!

how do they attract and retain people and get them to take on more responsibility when the additional pay is quite frankly not worth getting out of bed for.

With those pay grades, I’m guessing it’s local government. Depends if you want to climb the management ladder? Just for the money, it’s probably not worth it.

The thing that would swing this for me would be, 'if not me then who?' Would you be happy not being the team leader, if so then totally not worth it for the money alone.

Hi @BingoHeeler
Sorry i'm not sure about the tax part, i'm crap at pay stuff but hun i personally wouldn't take the promotion. Too much stress for not alot of money. All the best with your decision x

As a path to longer term bigger promotions and pay rises yes

but I would try to negotiate some decrease in existing workload to free up some time for your new direct reports. You will need at least a couple of hours a week for that.

Alternatively ask for management training if this is your first Team Leader position. It’s not money in your pocket but still investment and will make your new responsibilities easier.

if you’re only doing it for more money right now, it’s not going to be very much more money. How much difference will a couple hundred more a month make to you? For some people that wouldn’t have much impact and the extra stress wouldn’t be worth it. For others that’s the difference between always being behind and starting to get ahead. Or having a proper holiday. Or a nice meal out a couple of times a month.

I have made that very same move, in an almost identical situation. I was TL for just under a year, and gained a huge depth and breadth of experience, which helped my step up a grade - and a much bigger pay rise - a year later.

I probably wouldn't as you won't be much better off after tax for extra responsibility. I'd only consider out for the experience and if I planned to change company.

If you want to increase your earning potential in the future go for it. I would suggest asking for management training so you would have the qualification not just experience would would help you to get your foot in the door in some sectors.

Yes, I'd take it for the future potential.

No, I wouldn't take it. Still carry on with your same workload and manage the team, for that pay increase, not a chance. Been there, done it and walked away and I did get a good pay increase. Bonus was I could walk away to another role in the organisation with no management responsibility and keep my current pay, as they wanted my skills.

I'd want a minimum of £10k more and have dedicated management days to even consider it. You soon find out what team members are like when you start having to manage them, 99% of the time, there are generally a couple of arseholes who behave like kids and take up too much time.

Thanks everyone for your thoughts, a good range of opinions for me to consider.
I agree it doesn’t seem worth it for the money alone but I think I need to look at it for the future potential jobs once I’ve got some management experience.