131–140 of 190 posts
>> One of those former employees paid about $100,000 to exercise more than 20,000 incentive stock options (ISOs), plus a tax bill of over $200,000. The other paid about $70,000 to exercise about 5,000 ISOs, and then about $160,000 in taxes. Maybe it's a common knowledge amongst the Silicon Valley engineers, but for those of us who are not in startup, could someone please explain how this is possible? Specifically, in…
>> One of those former employees paid about $100,000 to exercise more than 20,000 incentive stock options (ISOs), plus a tax bill of over $200,000. The other paid about $70,000 to exercise about 5,000 ISOs, and then about $160,000 in taxes. Maybe it's a common knowledge amongst the Silicon Valley engineers, but for those of us who are not in startup, could someone please explain how this is possible? Specifically, in…
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libertarians will tell you that that's on you for not understanding the risks involved, but that's a heartlessness and antisocial position to take. instead, potential startup employees can educate themselves a bit on how options are a risky derivative investment in the startup you work for. there's really no need for the bitterness in your post once you can properly account for them (they're like lottery tickets that…
> they're like lottery tickets that are only mostly, but not completely, up to chance > if you know some quantitative finance [...] > a simpler approach is to do a rough back-of-the-envelope calculation [...] You're looking at this as if you're calculating the odds of winning the lottery and doing backwards math to figure out the viability. That's only half of the picture. There are a lot of circumstances that do hap…
>> One of those former employees paid about $100,000 to exercise more than 20,000 incentive stock options (ISOs), plus a tax bill of over $200,000. The other paid about $70,000 to exercise about 5,000 ISOs, and then about $160,000 in taxes. Maybe it's a common knowledge amongst the Silicon Valley engineers, but for those of us who are not in startup, could someone please explain how this is possible? Specifically, in…
I'm pretty sure it's because his strike price was far lower than the value of those shares. For example, if he pays $100 to get 20 shares at $5/share, but the shares are worth $100 each, he just got $2,000 and will need to pay taxes on that larger amount.
>> One of those former employees paid about $100,000 to exercise more than 20,000 incentive stock options (ISOs), plus a tax bill of over $200,000. The other paid about $70,000 to exercise about 5,000 ISOs, and then about $160,000 in taxes. Maybe it's a common knowledge amongst the Silicon Valley engineers, but for those of us who are not in startup, could someone please explain how this is possible? Specifically, in…
>> One of those former employees paid about $100,000 to exercise more than 20,000 incentive stock options (ISOs), plus a tax bill of over $200,000. The other paid about $70,000 to exercise about 5,000 ISOs, and then about $160,000 in taxes. Maybe it's a common knowledge amongst the Silicon Valley engineers, but for those of us who are not in startup, could someone please explain how this is possible? Specifically, in…
This is a massive issue in this era of companies which never allow their stock to freely circulate, and mostly is based on the previous eras in which a startup that granted options would actually go public at some point and allow the holders of the options to sell their stock for money.
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He/she's offering a disclaimer bc he/she's a IBD person so his/her words are likely a bit more tied wrt professional obligations than your average engineer on these boards.
Is there some obligation for a licensed engineer to disclaim non-engineering commentary? It's been my experience that most non-lawyers on HN/Slashdot posting these disclaimers do so because someone once told them they'd be risking unauthorized practice of law charges if they didn't. That was the case once...before the first dotcom boom...Since then, NOLO and others have successfully challenged these restrictions on o…
Getting a bit meta here, but I read "IANAL" caveats not as limiting personal liability but as a "reader beware". Almost as a courtesy to the reader by saying "I may not know what I'm talking about" without saying it. I doubt people discussing things on these boards are really concerned about the liability attached with actions someone takes after reading their comment.
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> This has been discussed many times on HN. The purpose of the law isn't to prevent "poor people" from doing anything. The purpose of the law is to prevent companies from making unregistered sales of stock to people who aren't (1) saavy enough to evaluate the risks of their investment or (2) wealthy enough to survive a financial loss if the investment does not bear fruit. This is all true, however laws should be judg…
This law effectively allows rich people to do things that poor people can't. You're still not getting it. The law does not stop poor people from investing in a private company. It simply prevents the company from advertising its stock to "poor people" unless the company registers with the SEC and demonstrates at least a minimal level of financial controls. A company can sell its stock to poor people as long as it doe…
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I probably can't say a lot due to NDA, but does it make sense to you that AWS or Google Cloud can't scale to the level of Uber, such that Uber has to build their own datacenters and write their own Lambda equivalent? Further, does it make sense that you'd rather buy hardware up front to scale for Halloween and New Years instead of being able to dynamically surge your infrastructure?
Does it make sense that managing your own hardware and data center is extraordinarily expensive? Why do you think public cloud providers are so popular? I don’t buy your scalability argument either. Netflix has about 100m users and moved from having their own data centers to AWS and is extremely profitable. Uber has 40m. Given they might have different requirements for a system it might make sense but if scalability…
Oh, that was what I was told during new employee training. I'm not in the infra org and tbh, I don't really buy the do-it-in-house-for-scalability argument either. I've also seen other employees express sentiments similar to influx's wrt infra.
>> One of those former employees paid about $100,000 to exercise more than 20,000 incentive stock options (ISOs), plus a tax bill of over $200,000. The other paid about $70,000 to exercise about 5,000 ISOs, and then about $160,000 in taxes. Maybe it's a common knowledge amongst the Silicon Valley engineers, but for those of us who are not in startup, could someone please explain how this is possible? Specifically, in…