When Free Rent Costs Too Much
When Free Rent Costs Too Much
I left a comfortable arrangement because compensation arrived without clarity. The money wasn’t the issue; the absence of scope, expectation, and shared purpose was. When rewards detach from defined work, they create a quiet pressure that distorts judgment. I chose to stop that early.
Return
While I was residing elsewhere in Asia, I received an offer to return to Japan. A Japanese company selected me to manage the technology for a new project. It appeared well funded. I was introduced to the original source of funding, an investor who was soft‑spoken and elderly.
The operation looked mature. The company had full staff—HR, Accounting, Sales, and Technology departments—and it ran outings and trips with professional guides, business class seating and luxurious meals. The company arranged lodging for my wife and me. We negotiated well; my wife befriended the investor’s wife. We ended up in one of the most prestigious buildings in Tokyo.
Turning Point
Before we finished moving, trouble began between the project director and the investor. We were invited to a private dinner with the investor, who told us he was parting ways with the director but would take care of us. Through my wife as interpreter, he told us to stop working with the director; he would continue funding us directly, and we could run the project ourselves.
I was unsure. This wasn’t our project or vision. The investor didn’t seem to understand much about the project; it felt like a move to salvage the situation after relocating us to Japan and arranging lodging. Taking his offer would mean defining the project ourselves, without the support system of a full company and without a budget.
I drafted a budget, unsure of myself. He agreed and asked for two weeks to deposit funds. Before he paid, he had a stroke. We visited him in the hospital; he didn’t look good. He eventually left the hospital but was weak. For about two months, nothing changed.
Drift
During that time, he kept paying our rent. I worked on the "project," but it wasn’t clear what it even was. I tried building something I imagined would be helpful for someone. The lack of clarity gnawed at me: Why is he paying my rent? What’s expected? What am I even building?
I couldn’t reconcile being rewarded with free rent while having no clear guidance or expectations. The compensation was real; the mandate was not. My thoughts spun endlessly, like a compass that couldn’t find north.
The Line
I eventually said I was leaving. He expressed surprise. The core issue was misalignment with purpose. I could have free‑loaded and stayed in a lavish apartment for the rest of the two‑year term. Would he later try to guilt me into favors? Maybe not. Maybe I would have even been happy to—but the lack of clarity kept that compass spinning. It didn’t sit right.
I left because I could not accept compensation uncoupled from a defined scope. Without agreed objectives and acceptance criteria, there was no honest way to measure whether I was doing the work. I chose purpose over comfort.
Reflection
Compensation without clarity invites moral debt even when none is intended. It becomes hard to tell whether you are being paid for output, for access, or simply to postpone a decision. That ambiguity taxes both sides. It pushes the recipient to fill the void with assumptions and pushes the payer to rely on goodwill in place of defined results.
Compensation often reflects forces beyond performance—market power, relationships, timing, and structural context—not a scorecard of merit. See, for example, You’re Not Paid Based on Your Performance (HBR). But even when compensation is appropriate for the initial situation, when the situation changes, honor should create asymmetric pressure: on the disadvantaged side to keep faith until alignment or exit, and on the advantaged side to decline unearned benefit.
In my work, clarity is the base layer of value. It prevents drift, protects relationships, and keeps rewards tethered to purpose. When clarity fails, the most principled choice may look impractical in the moment but preserves integrity over time.
Clarity. Integrity.