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It's all based off the CoL in county of your primary residence. Has nothing to do with the proximity to an office.
by brandonhorst 5y ago
It's all based off the CoL in county of your primary residence. Has nothing to do with the proximity to an office.
- jaredsohn 5y agoCurious if companies pay differently based on county of primary residence if you commute to the office.
- iancmceachern 5y agoExactly. If someone who lives in say, Tracy, who has always commuted into the office, and continues to do so. Would they get their pay cut?
- cgdub 5y agoDoes that mean you would get paid less for living in Queens County instead of New York County?
- hinkley 5y agoBut if there is anywhere in the county that has escaped full IT gentrification because of poor commuter access, those prices are going to explode if they haven't already. Since median house price is a huge fraction of CoL calculations (and a frequent complaint among some economists), staying in county gets you a raise, if your friends do it too.
- csa 5y ago> those prices are going to explode if they haven't already That ship has sailed, and it’s got a nice tail wind as well.
- Talanes 5y agoYeah, last time I looked at rents in my hometown, the cheapest options there were comparable to the cheapest options in San Francisco. They're probably a bit ahead of the curve; most the empty land around is either federal or LADWP, so there's limited room for new development, but it's a major shot up from pre-pandemic prices where renting a full house was cheaper than an SF bedroom.
- hhmc 5y agoI'm wondering what's stopping a cottage industry popping up of 'synthetic residence' in high CoL areas. E.g. I live in a low-CoL area, but I pay you, someone living a high-CoL area, $100 to nominally be your "flatmate".
- CydeWeys 5y agoWell for starters you're gonna have all applicable state and local taxes withheld from wherever you're fraudulently claiming to be living, as that is going to be where you are ACTUALLY living as far as all relevant taxation authorities are concerned.
- tshaddox 5y agoThere's nothing particularly clever about that, it's just straight up textbook employee fraud.
- flyingcircus3 5y agoIs it really that different from companies registering all of their trucks in Indiana because they have the cheapest commercial insurance?
- tomnipotent 5y agoAnd it's not fraud for an employer to arbitrarily control pay based on someones location? Is their revenue similarly confined by that employees contributions because of location?
- thebean11 5y agoNo? You may not like it but it's very obviously not fraud by any definition.
- tomnipotent 5y agoNeither is the inverse. If company can pick arbitrary locations around the world to be their HQ, or Trump can use Mar-a-Lago as his residence, then so too can every other citizen following the law and paying their taxes.
- danielsju6 5y agoNot at Google. When you go remote you're paid based the same as if you were onsite at the nearest office to your residence, limits are roughly CSA (combined statistical area) in the US—not cost of living.
- vitus 5y agoNot true. If it were based on cost of living, then Google would pay more for you to work from Hawaii than from Alabama. (Spoilers: it doesn't, they're both in the same salary band.) It's slightly more true that it's based on the local cost of labor, but even more so that it's just based on the state, with carveouts for MSAs (which are defined based on county) surrounding certain offices commanding higher salaries. You'd make just as much working remotely in Matamoras, PA as you would working out of the NYC office in Manhattan.