This glossary can help you hit the ground running from day one of your first job. Find out more at Cosmo's Fun Fearless Life Conference! Buy tickets at FunFearlessLife.com.
1. 403(b) — You might
recognize a 401(k), but what the heck is this? It's the individual
retirement plan offered if you work for public schools or many nonprofit
groups. If you work for a state or local government, you might be
offered a 457(b) plan. If you don't get a plan through work, you set up
an IRA. Whatever it's called, the most important thing to know about a
retirement plan is to donate the max basic salary deferral limit. These
plans allow you to invest a portion of your paycheck (before taxes are
taken out) into a savings fund. The funds are then tax-deferred until
after they are withdrawn for retirement. Employers often match your
contributions, so don't leave that free money on the table.
2. Onboarding
— When a company hires someone new, onboarding is the process by which
that person learns all the #skillz to become an effective member of the
company. More simply put, it's (occasionally boring) training for new
employees, which often includes meetings, orientations, and lectures to
help you learn to be the best employee you can be.3. FMLA — The Family and Medical Leave Act specifies circumstances under which you can take unpaid, job-protected leave (e.g., maternity leave or to care for someone with a serious medical condition). Eligible employees get 12 workweeks of leave per 12-month period or 26 workweeks per single 12-month period if you're caring for a covered service member, which is called military caregiver leave.
4. Capital Funding — This is funding that a company receives from lenders and stockholders. If you've ever seen ABC's Shark Tank, think of Barbara Corcoran and Kevin O'Leary. They're venture capitalists who invest in companies in hopes that they'll receive interest on their investment. Everyday companies (not just eccentric startups like those often featured on the show) have those kind of investors too! Their money makes up a large portion of a company's operating capital.
5. Contingency Funding — Also known as out-of-cycle funding, this is money that a company sets aside for rainy days. If a manager needs something that isn't in the operating budget, she can ask (or sometimes apply) for funds. It's a shame that these aren't funds set aside to purchase kittens to cheer everyone up on literal rainy days.
6. ESO — Short for employee stock option, ESOs can be part of an employee benefits package. Some companies offer employees the option to invest in the company's stock at a stated fixed price or even at a discount. You may not be well-versed in the world of stocks yet, but having this option as a new employee could be a great way to get your feet wet!
7. PTO — The shortened term for paid time off, PTO is a magical thing that you can seemingly never have enough of. PTO can cover everything from planned vacations to unexpected sick days and is also a benefit discussed during the hiring process. Some companies allow your PTO to roll over into the next year, but that varies. Either way, you're only allotted a certain amount per year, so don't waste this precious resource!
src cosmo
This is dummy text. It is not meant to be read. Accordingly, it is difficult to figure out when to end it. But then, this is dummy text. It is not meant to be read. Period.
ConversionConversion EmoticonEmoticon