[VR]

Yesterday, I went to interview for Sr.Accountant position with the distribution company.I was very surprised when I was told that this position will be paid hourly. Now I am trying to figure out …is hourly pay is more beneficial to the company and in some way is less beneficial to the future Sr. Accountant? They offer benefits as well. Any thoughts ?

[Missy]

In my opinion hourly pay works out less if you really only work 40 hours a week but can work in your benefit if you're allowed overtime.They may just be implementing the new overtime law early, if your hourly rate is less than $24/hr you have to be paid overtime once the new laws go into effect.

Licensed Massachusetts Non Reporting CPA since 2012
Finance/Admin/HR Manager

[Anonymous]

I know it's hard not to, but, don't focus too much on titles. These are good questions to ask HR and your potential manager. Expectation of overtime, what rate is overtime, etc. Either way, you'll need to consider whether the expected annual earnings is at what you would expect for this level of work. If they are paying you hourly so they can save $60 a week by sending you home early two hours a week, run.

[ForgottenOne]

Salary paid works out better versus hourly if this is private accounting. There should be a lot of idle time. Taking into account being late to work and stupid “clock out – clock in” for lunch, salary paid is the one to go. With salary paid, they even pay you whole day if you leave early.

[Anonymous]

It really depends on the requirements of the position whether or not it is classified as FLSA exempt or non-exempt. There are many senior accounting positions that are exempt which would be paid hourly due to their job duties. If the job duties do not qualify under FLSA as an exempt position they are required to pay hourly and pay overtime.

[VR]

Thank you guys for the answers! …It is so good to come to this forum and to talk to the people with different work and personal experiences.
When it comes to the Sr. Accountant position (in private accounting), I was told during the interview that there will be no overtime. The position is newly created and before all the accounting was done by controller and bookkeeper. However, they feel the need for a new person,because they barely fit all their tasks into work hours. Controller also mentioned that sometimes he leaves early ,if it is slow. For that reason, I was thinking ….if they pay hourly for this position…I could be told to go home early, if no work will be at that time… and loose money because of that. The only way to prevent it (maybe I am wrong ?), to have 40 hours work week mentioned in the job contract and talk about it on the second interview (…if I even will be invited).
By the way, I have the accountant's position now that I started just 3 months ago, but I am exclusively working with A/R although job description did not mention A/R at all. This position was newly created as well. I feel that I am wasting my CPA knowledge (past last exam in Sept and got this job in Jan) and my job experience (2yrs.-payroll acct, 4yrs.-staff acct., 2 yrs.-senior acct.). The only good thing about this job ..is a decent salary.
Any advice???

[Anonymous]

Hugely beneficial to the company – huge disadvantage to you. They pass all of the market downturn risk to their employees. Total heads they win – tails you lose compensation structure.

You go to college to not be paid hourly. What keeps them from overhiring and diluting your earnings?

They clearly don't care to have skin in the game for their staff. Go elsewhere.

I can only imagine it'd be harder to get any kind of mortgage with hourly pay. Home ownership is a huge wealth building item.

Is it salary plus overtime hours or just “per hour” ?

[Author]

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