26GoingOn70 profile picture
26GoingOn70 profile picture

26GoingOn70

Sales Development Manager

Executive
Valued Contributor
Member
+3

More money in management or IC role?

I've been trying to decide what path to take next in my career. I'm currently an SDR manager but am looking to get back into the closing realm.


I have the option to run a team at my current company (which I don't love) or I could go to another company as an IC. My concern is that management seems to be very good money and I'd be taking a pay cut going back into an IC role.


What have people seen at various companies in terms of comp for ICs vs Managers? Also - how often are the OTEs provided in your offer letter true to form? (My current company sets goals for reps to hit 80% of their OTE which I think is ridiculous).

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WR Officer
6
👑
It sounds like you want a closing role. People shouldn't be in management for the money - you really have to be interested in the mentorship/training aspects of the job, or you're doing the ICs under you a big disservice.

You probably will have to take a pay cut when transitioning back to IC. In management most of your income comes from salary, with ICs it's the other way around. That said, if you're successful you'll likely be earning more as an IC than you did as a manager within a year in most companies.
CuriousFox
WR Officer
3
🦊
It depends on many things like industry, etc. Do you want to manage people or be responsible for yourself? 
AlphaCharlie
Arsonist
2
Account executive
You should trust your gut, also what would make you more happy? regardless of what you get paid, which career path makes more sense to you. Only you can decide.
TheOverTaker
Politicker
1
Senior Account Executive
I think it always comes down to what you want your career to be. If you want to continue to climb the management ranks you have to stay, but if you miss the thrill of closing you gotta scratch the itch
EQSales
Opinionated
1
VP of Sales
if you are a true A-player as an IC, you will make more as an IC than you will in management, until you reach 3rd line.  The main financial benefit of management is equity, especially in early-mid stage start ups

Management OTE will always be higher than IC, but it is VERY rare to do 150%+ as a leader and the higher up leadership you go, the lower your over achievement will be, its a numbers game.  ex- a 3rd line sales leader doing 120% of their number is an AMAZING year.  a rep doing 120%, that's a good year.

So if you can regularly do 150%+ as an IC, you will make more in w2 earnings than you will as a leader.  but your equity as an IC will always be fractional compared to that of a leader

I agree with other comments, do what you are passionate about.  $$ will come out

Tres
Politicker
1
Account Executive
If you don't love your current company, how do you feel about the other company? I think that might play a factor in this decision too, aside from the money in the roles. There's going to be a lot of other factors in what you earn, but even if you have to take a temporary paycut I would look at your next 3-5 year projected earnings to see how it compares
Sunbunny31
Politicker
1
Sr Sales Executive 🐰
It looks like you said it yourself:  you're looking to go back into a closing role.    Successful ICs do just fine.    If you really love what you do, you'll be happier all around, which is a huge benefit.
Diablo
Politicker
0
Sr. AE
Depends what you like. If you like managing people, make them successful and hold your self accountable for growing the business unit you look after then Management role. If you jump to an IC role, do measure the complexity if you want to jump back to Mgmt role again.
LordBusiness
Politicker
0
Chief Revenue Officer
More money/upside in the short term = IC. More consistent money, long term upside = leadership

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