A friend of mine who works in another state is advertising help wanted. I'm slowly improving my personal finance techniques, and it seems like this is a good month to look at total compensation and comparing fringe benefits.
My theory is that job offers with different salaries and fringe benefits can be compared by putting a dollar amount on how much extra salary I'd need to buy the benefit in the open market. So tuition discounts are easy to figure, as are employer matches to salary.
One tricky problem here is that some jobs, like the one I'm in now, are defined contribution (403b) and others, like the one I used to be in and ones I might take in the future, are defined benefit plans operated by the state. For example, the KPERS defined benefit is outlined on their website:
Final average salary x statutory multiplier x years of service = annual benefit at normal retirement age
How do I value this annual benefit at retirement? My gut instinct is to model it as an annuity, but it's paid out in the future, and some of the variables are uncertain.