Not overpaid. Even if you are paid below the market, but you are highly skilled in a job where you deliver a lot of value for the employer and you make a lot more than the average worker, you can take a pay cut. For example, average pay in US is around $50k/year. If you are very good in tech or an MD and you make $250k, are you overpaid? Probably not. If you take a $50k cut, with the remaining $200k you are still fine in many places. There is no reason to reach the conclusion you are overpaid.