Ever since I moved to North America from Europe, I’ve noticed something peculiar: many people are quick to boast about their “solid six-figure salaries.” Often, these impressive-sounding numbers come from jobs you might not expect to pay so well, like certain trades or sales roles.
However, when you dig a little deeper, it almost always turns out these individuals are working far more than the standard 40 hours per week.
For instance, someone earning $150k annually but clocking 60 hours a week isn’t truly comparable to a $150k salary based on a 40-hour week. In discussions about income, it’s misleading to treat these as equivalent. Adjusting for the extra hours worked paints a clearer picture. If you normalize that $150k to a standard workweek, the real “effective” salary is closer to $100k.
And that’s just the start. This calculation doesn’t even factor in unpaid overtime, working through holidays, or sacrificing vacation time. Including those would make the discrepancy even more glaring. But for simplicity’s sake, standardizing to a 40-hour workweek serves as a fair baseline.
Edit:
Wow, it seems I’ve landed in the right subreddit for this discussion. There’s just one nuance I want to clarify, as some seem to have missed the point:
I’m specifically talking about comparisons made during salary debates. To compare incomes meaningfully, you need to adjust for time spent working—otherwise, it’s like comparing apples to lettuce. What actually hits your bank account after taxes is irrelevant here; this is about standardizing for hours worked.
And let me emphasize: I’m not judging anyone for choosing to work extra or fewer hours. That’s entirely your decision. But if you’re working 50% more hours than me and earning 50% more money, our pay is effectively the same. The difference is that you’re working more to get there. If I worked 50% more hours too, I’d earn the same amount.
So, to sum it up: being “better paid” isn’t just about the number on your paycheck—it’s about how much time you’re exchanging to earn it.
Special shoutout to u/buffility for perfectly capturing the essence of this idea!
