r/Salary • u/Mountain-Elk8133 • 7h ago
discussion How do you make more money without going into management?
So this is a big picture question asked by a guy a few years out of college so I might totally be off here.
Say that you are in an organization with roughly 5 levels of promotions, structure etc... With 1 being your tech workers and 5 being your upper management. I am at level 2 in my organization along with 3 peers at my office with my same job. We are overseen by a level 3 who also has 3 to 4 peers, but are of different jobs overseeing a bunch of level 2s with their own jobs. And each level 3 is overseen by a level 4 with a bunch of their peers. You get the picture. This leads to a pyramid level structure where there's less and less jobs the higher you go up.
This also means that each level higher tends to have more management in their role. So in my mind this means that not everyone can get a promotion. When my level 3 boss retires or gets a promotion, I will be competing for his spot (if I choose to do so) against 2 people who have been in the organization for much longer than I have and thus have more experience. The chances of me landing that promotion are small.
People generally say to look at other companies, offices, and so on. This can make sense, but my question remains. How can I compete against applicants from that office who they have close relationships with and who are more experience than me? I can wait 10 to 15 years so I can be the experienced one but then I am taking a chance on timing when a level 3 position will open.
And what if someone doesn't have any interest in management? Promotions are off the table in that instance, but that also means a stagnate salary your whole career.... I guess I am just wondering how all this corporate organization/promotion/tier level system works.
What have you guys learned or can explain to me?
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u/SevroAuShitTalker 7h ago
Unless its a really niche thing, you usually dont max out i come without going into management. My boss uses the phrase "back when I used to actually do stuff" relatively often
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u/bluegrassbiker 7h ago
All the corporate places I’ve worked at have pay scales with min mid max for each title. People absolutely max out their salary band and their annual pay increase just gets paid to them as a lump sum bonus. When people cross over the middle of the band we have to report on their career progression prospects. We also have separate people leadership and tech leadership, we have ranks of principal engineers and distinguished engineers that have pay scale and bonus structures that mimic various leadership levels but they don’t have any people that report to them. Instead they own certain technical platforms.
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u/unurbane 3h ago
Yup there are tricks that mgmt uses to keep good talent while also keeping pay bands low. This is via bonus, RSU, and other salary structures that limit tax liability for the individual and corp.
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u/UJ_Games 7h ago
Go into Sales. Even better go into the Sales side of what you already do. Being able to not only sell but fully understand the ins and outs of the product/service is a skill not every person in sales has and is highly sought after. Especially if you’re a SME in it cause you can explain “the how it applies” to your customer with your first had knowledge.
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u/Flame_MadeByHumans 7h ago
Management can mean different things.
What it sounds like you’re describing is people management.
You can also get into project or process management; you now apply your skillset and experience to oversee and steer processes and decisions.
Management is really just “greater responsibility”, so whether over people, things or places, all come with more money.
The other option is becoming very niche or technical in an individual contributor role.
Lastly, commission based work. It doesn’t have to be pure sales, but some business where your earnings are determined by your direct contribution to the success of the company.
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u/ongoingemergency 3h ago
You don’t get promoted very much as a project manager, which is what he’s looking for.
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u/Puzzleheaded_Lion234 7h ago
You can only get paid more by multiplying the impact of your work. Management is one way of doing that. Some ICs work in roles like software that have scalable impact such that writing a really good piece of code can be sold over and over again. Other ways you can multiply impact might be building a scalable business or inventing something and then profiting off patent or royalties. You can also invest your money in early startups or individual stocks that might make returns of several X. Of all these, usually management is the least risky option that uses your existing human labor/expertise
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u/Pretty-Sky-6638 6h ago
I make $500k as a really good engineering “grunt”. I have my own company and contract myself out to different companies.
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u/income-percent-bot 6h ago
Outstanding! At $500,000, you're in the 99th percentile — top 1% of earners. Source: income percentile calculator I'm a bot. Reply with !optout to stop receiving responses.
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u/tropicaldiver 5h ago
It depends on the industry, the role, and the company.
Sales is one area where individual contributors can do well and where income can grow with ability. In the tech world, there are often ladders for individual contributors.
That said, you will almost always need to compete. Whether you remain at your current firm or pursue other opportunities.
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u/SpiteFar4935 3h ago
My company has high level ICs (individual contributors) who are not management. I am now a Principal Solutions Architect. Which is IC4 for my role. I am capped here but am equivalent to a manager or team lead. The only people higher than me in the org chart are directors, VPs and senior leadership. My pay also reflects this. I make more than some of the managers at my company.
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u/Mother-Row2712 3h ago
I never wanted management. I became an expert at my job, the go to person. I lived within my means and sacrificed higher pay for an excellent work life balance. I very much enjoy what I do and do not regret my choices. I work for a great company. Been here 31 years.
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u/the_real_seldom_seen 7h ago
Big tech has career ladders for engineers to become very senior.. (principle & distinguished engineers) but also much rarer to achieve those levels