One of the more frustrating dilemmas, when it comes to thinking about an impact career, is the question of salary. You want to make a difference in the world and do work that matters, but you also need to get paid. Maybe you have student loans to pay off or a family to support, or you just want to feel like your salary appropriately reflects the value that you bring to an organization. Those needs are reasonable, but reconciling salary requirements with an impact career path often feels impossible.
There is certainly a perception that we face a tradeoff in career choices between money and meaning. But is that necessarily the case? In my research, I've found that the answer is no ... and yes.
Chasing the money
Salaries are more a function of the type of organization you choose to work for than the type of role you have at those organizations. For instance, if you work at a big company in a director-level role in the corporate social responsibility (CSR) department, you should expect a salary on par with other director-level positions at that company, be they in marketing, finance, operations, or another department.
As a general rule, big companies pay more. The Acre, Carnstone & Flag 2014 Corporate Responsibility & Sustainability (CR/S) Salary reported an average salary of around $95,000 for a manager-level sustainability or CSR position at a large corporation. Similarly, Greenbiz’s 2013 State of the Profession Report reported an average salary just over $100,000 for manager and senior manager sustainability positions. Directors and vice presidents earn even more. So, if you’re looking for a job that combines your passion for social or environmental impact with financial security, one route to consider is in a corporate role.
There are also other positions that might hit the sweet spot between money and meaning for you. You might consider working in a “traditional” business role like finance or brand management for an established values-based business—such as one of the bigger organic food companies or outdoor apparel retailers. In a values-based business, you might not be working directly on environmental or social issues yourself, but you can feel satisfaction in working for a “good” company.
You can also expect to find competitive private-sector salaries at many clean-tech and renewable energy companies. Sustainability consulting, especially at one of the larger management consulting firms, is another route that often does not require a sacrifice on salary, though the job market is highly competitive.
Managing the tradeoff
On the other hand, if your passion is calling you to work for a nonprofit organization or social enterprise, you can expect lower salaries. We could certainly debate whether this practices helps or hurts the nonprofit sector (Dan Pallotta made a compelling case for why nonprofits should pay more at the 2014 Net Impact Conference), but it is the reality of the nonprofit job market today.
That doesn’t mean you have to give up all hope of a decent employment package, though. If you are evaluating a job offer with a nonprofit, consider whether you want to ask for other perks in return for a below-market salary. You might negotiate more weeks of vacation, work-from-home flexibility, business-related travel or professional development opportunities, or some form of deferred compensation like a performance-based bonus (for example, in the case of an income-generating social enterprise).
Also, think about whether you’d want to counter with a part-time position. Maybe you aren’t comfortable with an offer of $60,000 for a full-time position, but you’d be willing to take the same salary for a 30-hour work week instead.
Lastly, don’t forget that the psychic value of working for an impact organization is certainly worth something. It may be true that you could be earning more at a big corporation, but if your heart isn’t in it, you’ll be putting in many unhappy hours.
Shift your concept of “compensation”
Compensation includes more than just an annual salary. When it comes to your impact career, compensation might include good health insurance, tuition benefits, paid time to volunteer with your favorite organization, or generous paid family leave, in addition to your paycheck. It might also include being able to go home to your kids and tell them about the meaningful impact you made on the world.
If you think carefully about what compensation you require, in total, you may be able to find the perfect balance of financial reward for rewarding work.
About Katie
Katie Kross is a business school educator, career coach, and the author of Profession and Purpose: A Resource Guide for MBA Careers in Sustainability, newly released in 2nd edition. Profession and Purpose features a foreword by Net Impact CEO Liz Maw, and Net Impact members receive a special 20% discount on the book with this code.
Katie is also speaking in a Net Impact Issues in Depth webinar, Land Your Sustainability Dream Job in 2015, on Jan. 22, 2015.
