Free Money Finance

Is Clutter Costing You Time, Money, and Your Career?

Crown Financial Ministries has some thoughts on the high cost of clutter. Some highlights:

National studies have shown that the typical executive spends four and one-half hours a week looking for lost papers. At a salary of $30,000, the cost of searching for important papers, measured in lost time, is $3,376 per year. At $60,000, the cost is $6,752 per year. At $100,000, the annual cost jumps to $11,250.

As staggering as these costs are, the majority of managers and business owners with whom I've worked report that they lose even more. I have found that the cost often jumps to 15 percent of their yearly income.

Just think—at this rate, nearly two years of each life is lost looking through clutter.

Oh no, I think she's talking to me.

My desk is always a mess at work, though I don't spend a lot of time looking for lost papers (or at least I don't think I do.) I have a fairly firm grasp on what's under each pile. ;-)

That said, I'm sure I do lose some time because I have a messy desk. And lost time means lost productivity -- which can lead to a lower job performance, income, etc. In fact, Penelope Trunk thinks that simply having a messy desk alone can undermine your career.

What are your thoughts on the issue? Is a messy desk costing you? Or maybe it's at-home clutter?

Perhaps we all should make some extra money by selling our old stuff and de-cluttering our lives!

Top 10 Overpaid Jobs

Career Journal has a listing of the top overpaid jobs in the U.S. that contains the following:

10) Wedding photographers. Photographers earn a national average of $1,900 for a wedding, though many charge $2,500 to $5,000 for a one-day shoot, client meeting and processing time that runs up to 20 hours or more, and the cost of materials.

9) Major airline pilots. While American and United pilots recently took pay cuts, senior captains earn as much as $250,000 a year at Delta, and their counterparts at other major airlines still earn about $150,000 to $215,000 - several times pilot pay at regional carriers - for a job that technology has made almost fully automated.

8) West Coast longshoremen. Next year, West Coast dockworkers will earn an average of $112,000 for handling cargo, according to the Pacific Maritime Association, their employer. Office clerks who log shipping records into computers will earn $136,000. And unionized foremen who oversee the rank-and-file will pull down an average $177,000.

7) Skycaps at major airports. Many of the uniformed baggage handlers who check in luggage at curbside at the busiest metro airports pull in $70,000 to $100,000 a year -- most of it in cash. On top of their salaries, peak earners can take in $300 or more a day in tips.

6) Real estate agents selling high-end homes. While most agents hustle tail to earn $60,000 a year, those in affluent areas can pull down $200,000-plus for half the effort, courtesy of the fatter commissions on pricier listings.

5) Motivational speakers and ex-politicians on the lecture circuit. Former President Reagan raised the bar back in 1989 when he took $2 million from Japanese business groups for making two speeches. Bill Clinton earned $9.5 million on 60 speeches last year, though most of those earnings went to charity and to fund his presidential library.

4) Orthodontists. For a 35-hour workweek, orthodontists earn a median $350,000 a year, according to the Journal of Clinical Orthodontics. General dentists, meanwhile, earn about half as much working 39 hours a week on average, in a much dirtier job.

3) CEOs of poorly performing companies. CEOs at chronically unprofitable companies and those forever lagging industry peers stand as the most grossly overpaid. The ultimate excess comes after they're finally forced out, usually by insiders tired of seeing their own stock holdings plummet. These long-time losers draw multimillion-dollar severance packages as a reward for their failed stewardship.

2) Washed-up pro athletes in long-term contracts. NBA player Shawn Kemp, for instance, earned $10 million in a year he averaged a pathetic 6.1 points and 3.8 rebounds a game. Atlanta Braves pitcher Mike Hampton earned $9.5 million -- in the second year of an eight-year, $121 million contract -- while compiling a 7-15 won-loss record for the Colorado Rockies with a pitiful earned-run average of 6.15.

1) Mutual-fund managers. Stock-fund managers can easily earn $500,000 to $1 million a year including bonuses -- even though only 3 in 10 beat the market in the last 10 years.

If you look over this list, the reasons they are so highly paid are:

1. Unions. #9, #8, and #2 are impacted by unions. A couple of the others may be as well.

2. Supply. In some cases, there's simply a lack of people who want to do these jobs or only a few who CAN do these jobs, so the pay needs to be high. For instance, Shawn Kemp may have only scored 6.1 points per game, but that's about 6.1 more points per game than most people could have scored.

3. The system. Part of #3 and #1 is simply because that's how the system is set up. Not saying it's right, but that's often how things are done.

And a few other thoughts:

1. If I had to choose among these, I'd like to be #5. Now that's a sweet deal.

2. Unfortunately, I'm only qualified for #7 and #6.

3. I LOVE #1!!!! This is why I invest in index funds.

4. I KNEW I should have been an orthodontist. Man, what a sweet deal!

You Should be Paid an Extra $133k for a Long Commute or Lots of Travel

In discussing how to decide if your commute is too long, Penelope Trunk points to some research that says you should be paid a significant amount extra if you have a long commute to work -- otherwise, it's not a good deal for you. The details:

Nattavudh Powdthavee of the University of London published research to show that if you are going to take a job where you will give up seeing family and friends on a regular basis, you would need to earn $133,000 just to make up for the lack of happiness you feel from being away from those people.

She uses this data in arguing for a shorter commute, but it could also be used to argue against a job that required lots of travel (or anything else that takes you away from loved ones for long periods -- like lots of hours on the job.)

I've never been in a job that has had a long commute or a significant amount of travel. My longest commute was half an hour (my shortest was 10 minutes or less -- I walked to work) and the most I ever traveled in a job was once every two or three weeks or so. That said, I HAVE had jobs that have required 60+ hours a week, and they get really old, really fast.

I had a friend who used to live in New Jersey and commute to New York City every day. It was two hours each way. Yep, four hours a day. He left home at 5 am (in by 7 am) and left work around 6:30 pm (home at 8:30 pm.) He hardly ever saw his family and was exhausted on weekends so he slept a lot. He did this for years, all because he couldn't afford a home closer to work. Eventually, he quit that job and moved to a company that offered a bit less pay (about $20,000 less a year) but had a 15-minute commute. As you might imagine, his family life was significantly improved.

How about you? Any of you ever had a very long commute? How did you deal with it?

Thoughts on Becoming Wealthy

My post titled Three Simple Steps to Financial Security included a few comments along the lines of "you need to make a ton of money" to become wealthy as well as some thoughts that making more money wasn't that difficult. I had to laugh since one of the people saying making more money was the only way to get rich was at a loss for how to recommend people do it. :-)

Anyway, I shared my thoughts on the issue of becoming wealthy as a response and wanted to list them here with a bit more detail. That said, here are my thoughts on becoming wealthy:

1. Of course it's easier to become wealthy if you make $500k per year versus $50k per year. Simple math can tell you that.

2. I believe that you need to do all you can to make as much as you can. That's why I've written posts like Maximizing Your Greatest Asset: Why Your Career is So Important. And it's also why I have a whole category devoted to making extra money.

3. That said, it doesn't matter how much you make -- you still have to control your spending. If you make $1 million a year and spend $1 million plus $1, you're doing worse than someone who makes $50k a year but spends $40k. Yes, you may have more POTENTIAL, but you can't take potential to the bank. For some stories of people who've made a bundle of money and spend that plus some, see these posts:

• It's Hard to Save Money On Only $250,000 Income

• Barely Making it on $150,000 a Year

• It's Still Not What You Make But What You Spend

4. You CAN get wealthy on what some of you would think is a modest income (though $50k is not modest, it's average). For examples of how to do this, see these links:

• How to Get Rich on $20k a Year

• How to Grow Your Net Worth When You Don't Make a Lot of Money

• How You Can Own Two Homes with No Debt on $33,000 a Year

5. My emphasis on spending less (versus earning more) is because it's more practical advice. It's easier for the majority of people to spend less than it is to make more. Again, I'm not saying to ignore the income side of the equation, but it's not that easy to increase your income. It's much easier to control your spending. For some additional thoughts on this subject, see these posts:

• Look After the Pennies and the Dollars Will Look After Themselves

• Your Income Isn't the Reason You're Not Saving

• Little Splurges Kill Your Net Worth

Did You Get a Bonus Last Year? What Did You Do with It?

I discussed this topic a couple weeks ago, but I think many of you were on Christmas break by then, so I thought I'd bring it up again.

Here's a piece from Yahoo Finance where Suze Orman discusses what she considers the correct financial perspective on job bonuses:

It amazes me how often I hear people gleefully report how they intend to spend their holiday bonus. It's rare when someone mentions how they intend to save and invest it instead.

A bonus should be approached as valuable compensation, not some funny-money lottery bonanza to blow on a spending whim. It's irrelevant what the size of your bonus is -- your first inclination whether you get $500, $5,000, or $50,000 should be how you can use the money to build a more secure financial future.

She then lists her top five uses for a bonus:

1. Pay off high-interest-rate credit card debt.
2. Fund a Roth IRA.
3. Create an emergency stash.
4. Build a mortgage adjustment stash.
5. Buy more insurance coverage.

I did get a bonus last year (in November) and I saved it all. I put it into our new house downpayment fund -- what we'll use to buy our new house next year if and when we find something we like.

So what about you? Did you get a bonus last year? What did you do with it?

How to Make Sure Your Boss Thinks You're Doing a Great Job

Here are some thoughts from pages 145-147 of Brazen Careerist: The New Rules for Success (a book I liked very much) where the author lists seven ways to make sure your boss thinks you're doing a great job:

1. Know your boss's priorities. Know what she wants done and do it.
2. Say no. Say yes to things that matter most to your boss, say no to everything else.
3. Communicate the way your boss does. If he prefers email, use it. If phone, use that.
4. Toot your own horn. Each time you do something that impacts the company let your boss know.
5. Lunch with your boss. If all things are equal, your boss will promote the person she likes best.
6. Seek new responsibilities. Find important holes in your department before your boss notices them and fill them.
7. Be curious. Make yourself more interesting to be around.

Based on my experience, these are some pretty good suggestions. I'll comment a bit on each of them:

1. Yep. If you take on your boss's priorities and handle them well, you will get promoted and/or better compensation than most.

2. Really the same as #1 to me.

3. Unfortunately this one is true, and you have to adapt. I personally prefer email, but have had bosses that like to be called. So I've had to deal with it. On the opposite end, I always liked employees who would communicate they way I like to -- via email.

4. Yes, yes, yes! For more of my thoughts on this, see Grow Your Career by Promoting Your Work.

5. Yes, he will promote who he likes best, though I must admit I haven't always been a "lunch with the boss" sort of guy. With my current boss, however, it's great to go out to lunch. He's a wonderful guy, we have common interests, and it's fun to go out with him and grab a bite to eat.

6. If you can do your job well plus do more, you're making a good case for being promoted.

7. I'll say that this one is mostly true, but I really don't care for it much. Make yourself interesting? Aren't you either interesting to a person or not? Can you really "make" yourself interesting? And isn't what's interesting to one person boredom for another?

The bottom line: do these things and you'll be much better off when you ask your boss for a raise (that is, if you aren't promoted first.)

For more thoughts on managing your career, see these posts:

• A Simple Recipe for Job Interview Success

• Is Your Image at Work Killing Your Career?

• Five Reasons to Turn Down a Job Offer

Being Likeable Matters More than Being Competent

Here are some thoughts from page 90 of Brazen Careerist: The New Rules for Success (a book I liked very much) where the author says that it's more important to be likeable than to be competent:

It's hard to underestimate the impact of good social skills on your career. In fact, across the board, in a wide variety of businesses, people would rather work with someone who is likeable and incompetent than with someone who is skilled and obnoxious.

She then goes on to talk about how to be likeable and so on.

I have several thoughts on this subject. Here are a few:

1. Yes, it's important to your career that you're likeable. We all spend a lot of time at work and no one wants to spend that time around someone who's obnoxious. This means people will work around those who are not at least somewhat likeable, and thus potentially negatively impact their career.

2. That said, someone who's the greatest guy in the world is going nowhere if he's a total waste when it comes to performance. Yeah, people will like him, but they'll also avoid him like they will the unlikeable guy. Why? Because no one wants to have part of their project (or whatever) controlled by someone who doesn't know what he's doing.

3. All of the above is from the perspective of people working at various companies. Companies themselves want results and don't really care about likeability (unless it interferes with moral, performance of others, etc.) We've all seen the extremely productive jerk get promoted time and time again.

4. I would say that there's a base level of likeability that any employee needs to have, and once they have that, performance is what matters.

5. The base level I talk about in point #4 is pretty low. Most people you'd come in contact with would have at least this level of likeability.

So, what's your take on this issue?

Don't Ask Stupid Questions in an Interview

Here are some thoughts from pages 49-51 of Brazen Careerist: The New Rules for Success (a book I liked very much) where the author notes that there are stupid questions to ask in an interview and if you ask them, you're dooming your chances of being hired. Here are the types of questions she suggests avoiding:

• "How many hours a day do you work?"
• "If this company were an animal which one would it be?"
• "What needs to be accomplished in this position in the next six months?"

I agree with her on these first two. In the first, you sound like you're already complaining about working too long, even if that's not an issue. And the second is too strange. But I like the third.

On this one, she says it is useless at the end of an interview but a great question at the beginning of the interview. I have found that it can work equally well in either slot. At the front, it will give you insights into what they are looking for and you can tailor your answers accordingly. The problem here is the fact that most interviewers don't allow you (or provide an opportunity for you) to ask questions at the beginning of an interview. So yeah, it would be great to know these up front, but that's not generally how the real world operates.

Still, it is useful at the end too. How? You simply ask it when you're allowed to ask questions, and once the interviewer answers it, say something like, "That's great. That fits in perfectly with..." then tell a story of some great accomplishment you had in your past that shows you can deliver (and even exceed) upon what they're looking for.

The author concludes the chapter with a bit of advice related to interview questions. I love it so much that I had to include it here:

The overall rule that should guide your preparation is never stop selling yourself in an interview, even when you pretend to stop selling yourself in order to ask a question.

Yes! The interview is a sales presentation. Never forget that.

An Interview is a Test You Can Study For

Here are some thoughts from pages 45-48 of Brazen Careerist: The New Rules for Success (a book I liked very much) where the author says that an interview is a test you can study for. She also gives six steps between landing and interview and the actual interview itself that will help you get the job offer:

1. Research the company. Know something about the place you may work and slip it into the interview.
2. Get the right outfit. Corporate America has a uniform; wear it.
3. Prepare stock answers. Develop answers to key (expected) questions in advance and practice them so they pack a punch and don't sound rehearsed.
4. Go to the gym. Thin, good-looking people are more likely to get hired than overweight, less attractive people.
5. Prepare to close the deal. At the end, ask if they have any reservations about hiring you and be sure to address those.
6. Practice, practice, practice. Have friends do mock interviews with you.

My thoughts on each of these:

1. It's so easy to research companies these days on the web that there isn't any excuse not to.

2. I always dress up for an interview unless I'm told specifically not to -- then I dress on the higher end of whatever the company's attire is. Yes, I've interviewed in a suit where everyone was dressed casually, but I'm ok with that. It's better to be over-dressed and look professional than be under-dressed and look like a schmoe.

3. Yes -- prepare stock answers!  This is exactly what I was talking about in A Simple Recipe for Job Interview Success and Ace an Interview by Preparing for It.

4. Same thing she said in Is Your Image at Work Killing Your Career? No, it's not fair, but in many cases it's true.

5. I do this, then try to weave in one of my prepared answers (assuming it fits the objection) so I look very articulate and on top of the issue they are concerned about.

6. I don't do mock interviews, but I do rehearse my interview questions over and over again, so I'm very comfortable with what I'm going to say before the actual interview takes place. It's worked well for me so far. I think I've only been turned down for 10% or so of the interview I've go one. The rest I've either gotten an offer or decided not to pursue the opportunity myself.

The Best Way to Spend a Year-End Bonus

What's the best way to spend a year-end bonus? Here's what Yahoo suggests:

One of the best things you can do is to put that money toward maxing out your 401(k). This year you can contribute up to $15,500. If you're over 50, you can contribute $20,500.

This way you won't be penalized by Uncle Sam for that holiday bonus. If you have a mortgage, you may want to consider paying down more of your principle. This will reduce the amount of interest you end up paying over the life of the loan.

And finally, it's a good idea to check your emergency fund. Make sure you have at least 3 to 6 months worth of living expenses. If you need to pad your fund, consider a high-yield savings or money market account.

Ok, so what if you already max out your 401k, don't have a mortgage, and have an emergency fund? And besides, is this really the best way to spend a bonus? After all, we know that there's a better option than simply maxing out your 401k (401k total match, Roth IRA, 401k max.)

Anyway, here's what I did with my bonus this year: I saved it. Yep, all of it. We're thinking of buying a new home and we either want to pay cash for it or (at least) have so much available that we'll be able to pay it off in a few years at most. So we're saving for that new home and that's where the bonus went.

How about you? Did you get a bonus (or do you think you'll get one)? If so, what did you do with it?

Eight Rules of Direct Mail that You Should Apply to Your Cover Letter

Here are some thoughts from pages 30-32 of Brazen Careerist: The New Rules for Success (a book I liked very much) that give the author's thoughts on how a cover letter is a piece of direct mail. Here main point -- your cover letter is a sales tool where you're trying to sell yourself to a stranger. As such, you can get your best bang out of it by using some techniques from the direct mail industry such as:

1. Open with a bang. Use your first line to sell yourself and make yourself stand out.
2. Don't waste other people's time. Introduce your resume quickly and move on.
3. Don't waste your own time. Don't let your cover letter steal time from your resume.
4. Format strategically. Use bullets.
5. Tell the reader the next step. Say you'd like to set up an interview.
6. Say it, then say it again. Make it easy for the recruiter to contact you.
7. Come back to it. Proofread.
8. Follow up. There's a chance that your call may get you noticed.

I can't help but think that the job-searching public would be much better off if they all applied these tips. I've probably looked at thousands of cover letters in my career and 99.9% of them are the same. They can be summarized as follows: blah, blah, blah, me, blah, blah, blah, more of me, blah, blah, blah, did I tell you about me? In other words, they are full of useless information that interferes with what can sometimes be useful information (though that can be over-the-top at times too.)

Anyway, my advice to all of you out there who are writing cover letters or those who may be writing them in the future is to follow these points. And if need be, go to the library, check out this book, and read the details on these points. They'll certainly help you craft a winning cover letter.

How to Earn $1,000 in a Minute

Here are some thoughts from pages 55-58 of Brazen Careerist: The New Rules for Success (a book I liked very much) where the author says that when you negotiate your salary at a new job you can earn $1,000 in a minute. Then she gives a four-step process for doing well in salary negotiations:

1. Don't disclose your pay requirements during the interview process. The first person to provide numbers establishes the range.
2. Get the whole offer in writing before you ask for more. You need to consider other financial benefits like a bonus as you prepare your counter-offer.
3. Go home and form a plan. Do your research and see what you should be making.
4. Know yourself. Negotiate for what matters to you.

Here's my take on these:

1. A great tip, but easier said than done. I think it's relatively simple to have the employer give a number first (a simple "what does this position pay?" in the fact-finding stage should sort this out), but to avoid giving them your salary requirements is virtually impossible -- especially if they ask you a direct question. Sure, you can say something like, "I'd prefer to discuss that later" or make excuses as to why it doesn't matter, but if you're pressed and you don't answer, you'll look deceptive, like you have something to hide, or you're ashamed of the answer -- all results you won't like.

2. Certainly you need to know the complete picture of what they're offering before you ask for more. Early on in my career, I was offered a job and took it based on a formal offer. When the offer letter came, I had several more benefits than what I'd expected (retirement, vacation, insurance, stock purchase, etc.) It really didn't matter to me at this point, but from that experience I learned to get all the information up front so I knew the complete view of what I was being offered.

3. Don't accept the offer on the spot. Tell them you're excited about the opportunity and would like a couple days to discuss it (if you're married, saying you need to talk it over with your spouse is an excuse that almost anyone will buy -- as long as it doesn't look like your spouse is calling all the shots in your life.) Then take some time to develop your counter-offer.

4. In addition to knowing yourself (that you like vacation time more than extra pay, for example), know the employer. Often times it's easier for them to give you extra time off than to give more money -- or to up the bonus than to make the base pay higher. Explore the areas where they are flexible and try to be flexible yourself. if you can be, you'll have a better chance of walking away with a better overall compensation package.

Do What You Love and Starve

You've probably all heard the phrase "do what you love and the money will follow." In other words, get a job you enjoy and you'll love it so much that you'll perform well and ultimately become well-off.

Then again, maybe not.

Kiplinger says the rule is closer to do what you love and starve. Their main points:

Sure, if your passion is a rare one, like entomology, or even a moderately common one like accounting, money may follow. But if you are like the many people whose passion is shared by half the continent -- for example, activist or performer -- you're in trouble. Millions of people are competing passionately with you for the small number of decent-paying jobs. That's the reason the word "starving" so often precedes "artist."

If I had the option, I might be riding a bike all day, growing roses, or testing video games. But those professions don't really pay that well unless, as Kiplinger says, you're one of a very few who are at the very top of the industry.

Here's a slightly different strategy:

Do what you like/enjoy in a field where you can make a decent salary, and you'll do well financially.

I don't "love" the business world, but I enjoy it enough to make the majority of my work time fun, exciting, and interesting. And since it pays a whole lot better than growing roses. ;-)

Anyone out there making a good salary doing something they LOVE?

How to Make a Minor Accomplishment into a Major Resume Success

One key to writing a winning resume is listing your accomplishments in such a way that the hiring manager simply has to talk to you (at which point you wow him with your stunning interview). In order to do this, you need to write in a way that enhances the perception of what you've done. No, I'm not saying you should lie. In fact, I'd say that you should never lie as it's likely you'll be caught. But you can write down your accomplishments in the best light possible to get you the interview you want.

On page 28 of Brazen Careerist: The New Rules for Success (a book I liked very much), the author details this principle in action with the following story:

My twenty-one-year-old brother, Erik, worked summers at Blockbuster Video where, predictably, none of the mostly teenaged employees followed company rules. In a fit of productivity my brother rearranged the displays to be in line with the standards sent from company headquarters. At the same time, store sales increased 10 percent. So (as the family resume writer) I wrote on his resume, "Assumed responsibility for in-store marketing and increased sales 10 percent."

She goes on to say that her brother left this in his resume, was prepared to and ultimately supported it in interviews (see my link above -- I told you to practice interviewing, then you'd be smooth when you explain accomplishments like this), and got a job at an investment bank.

Now he could have written something like this:

"Did what I was told to do."

But how many resume reviewers would get excited by that? Virtually none, if any. But "Assumed responsibility for in-store marketing and increased sales 10 percent" is a winner. It shows initiative, leadership, and the ability to generate results -- something most employers are looking for.

Both "Did what I was told to do" and "Assumed responsibility for in-store marketing and increased sales 10 percent" are accurate and tell what happened. Both are true. The only difference is one is compelling and sheds good light on the interviewee, while the other will put your resume in the slush pile.

So do some creative writing lessons and apply them to your resume. Make it sparkle with accomplishments that force recruiters to ask you for an interview. Then, practice your interview, wow them, and move your career up the next rung towards your goals.

Stick with a Classic Resume

Here are some thoughts from pages 23-27 of Brazen Careerist: The New Rules for Success (a book I liked very much) that give the author's thoughts on the rules of writing a resume. Specifically, she says that when you break the resume rules you look like you don't know them. As such, you need to know the rules and not break them. Here's what she says are the "given" resume rules:

• One page
• No paragraphs (use bullet points)
• List achievements
• Ditch the line about references on request
• Be a keyword-focused applicant
• Tread lightly on the personal interests line
• Don't be a designer unless you are one

Here's my take on these:

1. I agree 100%. The exception: if you're applying for a highly compensated job and the reviewer is expected to take a bit longer with resume review (the book's author disagrees with me, FYI.)

2. I ALWAYS use bullet points -- and I start each of them with "action words" as detailed in How to Write a Winning Resume.

3. My bullet points (see #2) ALWAYS include quantifiable accomplishments.

4. I agree -- it's implied, so mentioning makes you look like you don't know the "rules" of the game.

5. Especially in this age of digital review/selection of resumes. You have to have keywords scattered throughout or you won't be selected for the jobs you want.

6. Only use personal information that advances your qualifications and has no chance of alienating/biasing people. For instance, it would be ok for me to say I've had over 150 articles published in various magazines (it shows I have writing ability), but to say I was a NASCAR fan might make someone think less of me. ;-)

7. I agree. Creative resumes are risky.

The Purpose of a Resume

Here are some thoughts from pages 21 and 22 of Brazen Careerist: The New Rules for Success (a book I liked very much) that give the author's thoughts on the purpose of a resume:

Resume writing is a creative exercise that combines the skills of direct mail with the skills of a storyteller. You can be great at your job, but unless your current boss is going to personally arrange your next job interview, you're going to have to depend on your resume. Your resume gets you the interview, and you can't get a job without that.

The job search process works as follows: resume leads to an interview and the interview leads to a job. So if you want a new job, you have to get an interview. And the way you get an interview is to have a resume that "sells" your skills -- one that makes your accomplishments so compelling that the hiring manager simply HAS to talk to you.

But a resume really needs to pack a punch to be effective:

Each resume gets approximately ten seconds worth of consideration. You need to make sure you use those ten seconds to your best advantage. Every line of your resume must say you are amazing because you don't know where the person's eye will go first (though you can be sure the person won't read every line).

I'll be posting a bit more over the next few days on what this book has to say about resumes, but in the meantime you can check out How to Write a Winning Resume if you'd like some of my thoughts on the issue. And if you'd like a bit on interviewing too, see A Simple Recipe for Job Interview Success.

What to Do When You Have a High-Paying Job You Hate

Here's a piece from Career Journal that discusses what to do when you have a high-paying job you hate. Kind of. The article is about how to deal with the trap many people face -- they are in high-paying jobs they hate. So what should they do?

I know, many of you are probably saying "cry me a river" since tons of people are in LOW-paying jobs they hate. But for now, let's have a little compassion on those earning the big bucks and see what they can do to get out of a job they hate.

The article starts with an example of what NOT to do -- or at least what I would advise not to do -- quit without another job. I've told you why I think this is a bad idea, so if you need my reasons see Don't Quit Your Job Before You Get Another One.

The piece then gets to the heart of what people should do if they want a bit more career flexibility, and the suggestion is quite surprising. They advise you get your finances in order and, in particular, pay down debt. Why? Because then you have much more flexibility. If you need to take a lower-paying job, it's hard to do if you have a ton of debt that you're barely able to keep ahead of with a high-paying job. But if you have a bit of wiggle room between what you make and what you spend, you can afford to take a lower-paying job and your finances will still be ok.

That's one of the benefits of being debt free for me -- it gives me a load of flexibility. If I ever wanted to downsize my job or if I ever got fired or injured, I'd be in a lot better shape than most because I have no debt and keep my living expenses substantially below my income. There certainly is freedom in being debt free.

The rest of the article suggests how to find a new, better job with basic job search techniques. Here are a few of my past pieces you may want to check out as well:

• Ace an Interview by Preparing for It

• Plan What Your Want to Say in an Interview

• A Simple Recipe for Job Interview Success

More Reasons to Turn Down a Job Offer

Here's what I consider to be a good comment left on my post titled Five Reasons to Turn Down a Job Offer:

Having just accepted a job offer, and turned down other ones, I can think of a few reasons to turn down a job offer:

1. You have a better one lined up. :)
2. The job isn't one that actually progresses your career.
3. You are taking the job to run away from your current job.
4. You can't fully articulate what you will be doing for the new company or what the company does.
5. You get a strange vibe from your soon to be new boss.
6. You won't be able to explain fully to the next-next job why you took this one and how it helped you grow.

Some good stuff here IMO. My thoughts on each of these:

1. I had this happened a couple of times. It's always fun to tell someone "no", especially when they put you through the ringer, wanted to pay you nothing, and expected you to worship them for it. Of course, you decline nicely, but it's still fun. ;-)

I had one company in particular where the guy was offering me just a bit more than what I already made. I asked him if he could do better and he said something like "he could, but he didn't want to." Hmmm. Then I informed him I had to decline and was going to work elsewhere. he was speechless. He eventually recovered and wished me well, bit I could tell he wasn't very happy. He later had the executive recruiter he used call me up and tell me how I was ruining my career. Yeah, right. In the end, the other new company turned out to be one of the best career moves I've ever made, and the boss I would have had at the place I declined was fired in two years and the company was on the verge of bankruptcy.

2. Good point, though some people would take a job because of better hours, more enjoyment, etc., even though it might not advance their career. Me? I advise looking for everything -- something you enjoy AND that advances your career.

3. You don't want to jump from the frying pan into the fire -- or even from the fire into the frying pan. You want to be going to the new job because it's a great opportunity, not because you hate your current job so much.

4. This is certainly a red flag. Why would someone even take a job where they didn't know what they'd be doing?

5. Yikes! I had a job offer once from a company where the boss really weirded me out (he was the same one that had me do the algebra problem in the interview -- if you recall that story.) In addition, their offices were in a 1960's-like building that looked like it had technology from the 50's. No chance I was taking that spot (even though I HATED my current job.)

6. This is close to #2, so I'll refer you to my comments there.

Should You Get Paid Less to Telecommute?

Here's a piece from Career Journal that says telecommuters should be paid the same as other workers who hold the same job. Here's why:

"Employers make money on telecommuters," who tend to be more productive and loyal, and less expensive because they don't occupy company-financed office space, Mr. Nilles says.

But this brings up a couple of interesting questions -- would you accept less if your company allowed you to telecommute? How much less would you take?

I'm not sure I'd value it at that much -- maybe a few thousand dollars a year at tops. Though I must admit it would be much more convenient. I could sleep an extra 50 minutes every morning and still get to work at the same time. If I valued this time at $20 per hour, that's $833 in a year a few thousand dollars a year (see comments below). And it could afford a lot more flexibility if I was also allowed to work whatever hours I wanted as I'd often work late into the night (when my family was asleep) for more time off during the day.

What about you? Would you take less pay to telecommute? How much less?

Six Ways to Make the Most of Your Job

Kiplinger's has a good list of six ways to make the most of your job. Their thoughts:

1. Get a mentor.
2. Renegotiate your job description.
3. Hitch to a rising star.
4. Volunteer for projects.
5. Open your mouth.
6. Pay attention to your appearance and attitude.

Here's my take on each of these:

1. I agree, but a good mentor can be hard to find. But here she's talking about a more informal relationship -- where you simply get someone's advice on a project, document, presentation, etc. every now and then. I think this is a more practical way of having a mentor than the traditional (or at least traditional to me) setting up a formal relationship where someone knows he's mentoring you. In addition, her idea allows you to go from person to person, having a few mentors, not just one.

2. I see #2 and #4 as basically the same thing. What you're doing here is looking for ways you can contribute more to the company as well as develop your own career. And when you're successful at contributing more to the company, you have a way of getting promoted, making more money, earning bonuses, getting recognition, and so on.

3. GREAT advice. I've done this a couple times in my career (with success -- I've also hitched myself to someone who didn't do as well as expected, so be careful) with very good results. Think of it this way: you become Mr. Right-hand-man for an Executive Superstar. When he gets promoted, he needs someone to fill his old job. Who's perfect for this position? You are, of course.

4. Covered in #2 above.

5. Networking, yes. Being interesting, yes. But for heaven's sake, if you don't have anything intelligent to say, don't open your mouth just for the sake of being heard. I've seen more careers torpedoed by a loud-mouth who loved to hear himself talk than I can count. It's a sure path to destruction.

6. Unfortunately, appearance is a major part of how you're viewed. It's part of your image, which is part of your brand. Dress the part appropriate for your position, industry, and company.

As for attitude, I've always said that attitude and ability are the building blocks of a successful career. No ability but a good attitude will at least by you some time and make people want to help you get better. Good ability but a bad attitude will make people resent/dislike you, which is never good for a career (though, admittedly, if you're results are good enough, you can have almost whatever attitude you want and still be a success.) But with both a great attitude and strong ability, you'll rise high quickly and many of your co-workers will cheer you on (or at least be happy for you.)

For more thoughts on making the most of your career, see these posts:

• Five Reasons to Turn Down a Job Offer

• Grow Your Career by Promoting Your Work

• Ace an Interview by Preparing for It

What It Takes to Change Careers

Career Journal discusses changing careers and their main takeaway is that it takes more time and effort than most people think. The highlights:

People often dream of changing careers. But substantial change takes a lot of work, and it may require additional schooling or intensive networking. Many people lack the stamina. Career counselors and career switchers say that laying the step-by-step groundwork for a change isn't easy but is often necessary.

Nella Barkley, president of the coaching firm Crystal-Barkley Corp., helps clients make career transitions. "They invariably think it will take much less time than it really does," she says. A profound career change, she notes, usually takes years.

They're not talking about changing from one industry to another -- but changing from one profession to another. From being a business executive to being a nurse (an example they use), NOT from being a business executive in one industry to being a business executive for a health care company.

I can certainly see it would take many years. It's likely that the person changing careers will need new education and new training, two things that can take years alone to accomplish. It's not a move to be considered lightly.

The major pro of a change is usually the person thinks she'll be happier in the new profession. But how does she know this? After all, she probably thought she would be happy in her original field when she started it. Maybe it's that she simply has better judgment now -- she's older, wiser, and knows herself better -- and thus feels she know what will make her happy. Then again, the grass isn't always greener on the other side. It's not a clear-cut decision.

The downside, of course, is that a pay cut is usually part of the deal. After all, someone with 10 years experience in one field is likely to earn more than someone with zero years of experience in another field. This makes changing professions a MAJOR risk because it messes with your greatest asset. If things go poorly, then you could be in a world of financial pain.

I've only known a few people who've made the transition. The biggest example I can think of is a friend of mine who I went to grad school with. He was a high-powered CFO for a health care start-up when he switched careers to become a priest. Talk about a major change (not to mention an income hit)! I was shocked because I didn't even know he was Catholic (and this was a fairly close friend of mine for two years.) So he went to five years of schooling and eventually became a priest. Since then, he seems satisfied with the change and is happy.

I think all of us have probably dreamed of switching careers at one time or another. I certainly have. But how many have actually done it? Any good stories out there? Or anyone who's thinking of making a move?

Help a Reader Make a Job Change Decision

Here's a situation a reader presented to me yesterday:

I am in a dilemma right now and I was hoping that you or your readers could give me some advice.

I live in a small town and I have been with my employer "Company A" for more than a year now as a full time employee. I have enjoyed working in this company. They have a very relaxed atmosphere and I have enjoyed a lot of flexibility working with them. There are only 2 downsides of working for this company. One is that it is a long commute. Company A is located 30 miles away from my home. The other downside is that they are in a consulting business. So they operate on a project by project basis. There have been instances in the past year where I have been out of a project for about 2 months. Even though I was out of project I was getting paid and having full benefits. But it is frustrating when I am in between projects. Right now I am in a project.

During one of the in between project situations I started looking for other opportunities. I got an offer from "Company B". "Company B" is the biggest employer of the area where I live. I accepted their offer as a backup and have told them that I will join them next year which they have agreed to. Company B is much bigger than company A. They are going to pay me $2500 more in base salary than my current job. They are located 15 miles away from my house. They have better benefits than Company A. I will not be getting any bonus or raises with company B in 2008. I will only get them in 2009. I am eligible for a raise with company A and after I get my raise in March 2008, the base salary of company A will be greater than company B.

The downside of company B is that they are notorious for having huge layoffs. Company B has not been doing too well and is widely expected to have some layoffs in December. I am quite sure that if they have layoffs after I join them, I might be laid off. I have put in monetary amounts to all the things that are involved in my decision making including base salary, bonus, raises, benefits, vacations, etc and Company B comes out on top of company A by $4000. Now here is my question. Do you think it is better for me to stay with company A and possibly forego any future job opportunities with the biggest employer in my area or should I join company B knowing that I might be laid off? Is it worth taking the risk of joining a new company and getting laid off for $4,000?

I would appreciate any responses. If anything needs to be clarified, I will be happy to do so.

So, what do you all think?

Five Reasons to Turn Down a Job Offer

Yahoo gives us a list of five reasons to turn down a job offer. Their thoughts:

1. The word on "The Street." Is the company's stock price tanking? Or is there talk of a merger? Both of these things could indicate that layoffs loom large, and the position you accept today may not exist in a few months.

2. A revolving "Employees Only" door. High employee turnover should raise a red flag for any potential worker.

3. Money isn't everything; it's the only thing. Depending on your personal financial situation and how much more you'd be earning in a new job, money may not buy you on-the-job happiness or professional fulfillment.

4. All work, no life. Consider the impact your new schedule will have on you and your family. Forfeiting invaluable work-life balance benefits without assessing the consequences can have a devastating impact on your personal life.

5. A bad reputation. Going to work for a company with a reputation that's been sullied by a corporate scandal or that isn't well respected can, in turn, sully your resume.

A few thoughts from me:

1. Based on my experience, this is a pretty good list. In particular, #2 is a real sign that the place is a dead end. If people are jumping ship left and right, then something really, really bad is going on there. Of course, this may present an opportunity for you (if you turn it around, you'll be a hero), but you need to realize when you go in that it's very risky and you may need to put up with a lot (long hours, painful discussions, things getting worse before they get better, etc.) by taking such a job.

2. I've had three jobs in the "all work, no life" category. I wouldn't want to go back to one of those for a ba-zillion dollars a year.

3. Good point on #5. Imagine how hard it is for people from Enron to find good jobs -- even if they had nothing to do with the problems there (and most of them didn't.)

How about you? Anything you'd add to this list?

Grow Your Career by Promoting Your Work

A key part to making the most of your career is making sure your boss and other people who can influence your career path are aware of the accomplishments you've made to the company. This way, when bonuses are handed out, when raises are given, and when promotions are offered, you will be a natural candidate for them. But how do you pull this off without seeming to be a self-promoting braggart?

Yahoo gives some advice on how to blow your own horn without being a blowhard. Their thoughts:

Talking about your work, your successes, and your team, the authors note, doesn't necessarily come across as bragging. Try describing what you've done in an informative way that might help others who are working on similar projects or wrestling with challenges you've figured out how to resolve.

Notes Hernez-Broome, "You need to find the 'sweet spot' between bragging and being overly modest. Stay focused on the value of the work." Like almost every other skill worth cultivating, this takes some practice.

For years now I've written a weekly update to my boss -- a simple bulletpoint email that details the highlights of this week's accomplishments, updates on key issues, and plans for the next week. It's done to keep him informed of where we are on major projects, but also serves as a way to list my accomplishments. For instance, when he reads, "We completed Project X this week. In the end, we saved a bit more than we thought, giving the company an extra $100k in cost reductions each year." Yes, it's a report. But it also demonstrates the accomplishment in a way that isn't bragging.

I keep a copy of each of these emails as well, then when review time comes along, I review them and select out the most important accomplishments. I summarize them and forward the list to my boss prior to my review being completed. (Just so he has all the facts when he's deciding on raises.) ;-)

Does it work? So far I'm averaging 9% compounded salary growth over the past 19 years. Sure, this isn't the only thing contributing to my results, but it certainly is helping.

For more on this topic, see these posts:

• Maximizing Your Greatest Asset: Why Your Career is So Important

• Create Your Brand at Work

• Is Your Image at Work Killing Your Career?

MBAs Still Make Sense Today (If Done for the Right Reasons and in the Right Way)

I write about careers so much because your career is your greatest asset. With a stellar career, you're not only happier, but you also have a huge financial advantage over those who don't have a great job.

I generally agree with Penelope Trunk, author of Brazen Careerist: The New Rules for Success, but she recently wrote about the demise of the MBA and I can't agree with much of what she said. Here are her thoughts and my corresponding comments:

The difference between the value of a top-tier MBA and all the others is very big. In fact, if you don't get into a top-tier program, the value of your MBA is so compromised that it's not worth it to stop working in order to get the degree. Go to night school instead.

It depends on what she means by "top-tier." If she literally means the top 20 business schools in the country, I disagree. I think the list is much deeper, say maybe the top 50 schools. Now don't get me wrong, someone going to Harvard does have an advantage over someone going to a decent state school ranked #30, but unless you want to get into a very specific profession that only recruits at the top, the advantage drops off as the years go on.

I recommend that instead of picking a school and hoping to get a job at graduation, you instead think of what you want to do and where you want to work -- and do this BEFORE you decide on an MBA school. Then look at the schools that have companies recruiting at them for the job/profession/industry you want. THEN decide what school to attend. This way, you can be more sure that you'll end up where you want to end up.

This is what I did (true, it was 20 years ago and things have changed since then.) But I left grad school with $5k in debt and the same job that people from Harvard, Wharton, and Stanford were getting (my school was ranked #25 at the time.) And as I've stated, getting an MBA was a very good financial move for me.

Business schools are compromised by a lack of female applicants.

Trunk argues that since less and less women are applying to MBA schools, the schools have lowered the work experience requirements to get accepted in order to allow more women to make it in. As such, this has compromised the value of MBA programs.

In one way, I agree with this. If you used to need four years work experience to get into an MBA school and now only need one, then the candidates leaving MBA schools theoretically won't be that as good as they were.

On the other hand, I never really agreed that work experience (especially two years of entry level experience) was something that was needed before a person was an acceptable grad school applicant. I went straight through from undergrad to MBA and felt I still got a great education. Sure, my education was hampered a bit by not having work experience, but those who did have work experience were hampered too -- they now had to learn to be students again and had a major reduction in pay (two issues I didn't have to worry about.)

The best thing you get out of business school is a good job afterward. But how do you know you wouldn't be able to get that job without business school?

Again I agree and disagree. For instance, I agree that "the best thing you get out of business school is a good job afterward." An MBA gets you a good/great job and from there on, your experience and success take over (mostly) and your degree becomes less and less of a factor.

Here I disagree: "But how do you know you wouldn't be able to get that job without business school?" I knew because: 1) the company, industry, and profession I wanted after undergraduate school didn't recruit at my school and 2) when I contacted them, they told me to go to grad school (in essence) as that's where they did most of their recruiting. Yeah, some people MAY be able to make it up the work ladder without an MBA, but in most cases, and especially for those who went to smaller, lesser-name undergraduate schools, an MBA can propel your career ahead by light years.

Hotshots don't go to business school anymore.

Disagreement #1: Entrepreneurial types NEVER went to MBA school before, so saying they don't now doesn't really mean much.

Disagreement #2: I don't see executives thinking that "business school might start looking like something for people who are feeling a little bit stuck in their careers and need a jumpstart, rather than just a starting gate for superstars." Maybe this will happen in the future, but I don't see any sign of it now.

Peopl