Consider the time frame in which these anecdotes took place. My understanding is that most people "in the know" believe the environment has changed such that you'll never get a early Facebook employee type payout anymore. Founders, VCs and their lawyers have developed a plethora of tricks that disguise the way you're getting screwed or ensure that, through some future trickery, you will. You're best bet is to command a high salary worthy of your skills, choose a company that has a culture you'll enjoy and assume that your options are worthless.
Any stories of employees with equity successfully taking home over $1m? $500k?
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Re: Any stories of employees with equity successfully taking home over $1m? $500k?
#72Earlier quoted context omitted.
Perhaps you'd understand if people discounted your comment slightly because of your apparent close relationship with YC, then? They have the best interests of founders in mind only insofar as their pocketbooks and reputation benefit from it. That's at best an intersection that doesn't contain all the elements in both sets. Disclaimer: I'm a pretty cynical and skeptical person by nature. I'm especially suspicious when…
Hopefully a little less than they'd discount a comment from someone who'd casually impugn the integrity of a total stranger on the Internet solely to make a banal point-scoring argument.
Seems to me they're about equal in merit. Also, in case your comment was directed at me, I didn't impugn anybody's integrity.
Re: Any stories of employees with equity successfully taking home over $1m? $500k?
#73I've been in the valley for ~20 years, and I've only made money on my options once, about $250k on a company that had already ipo'ed a year before I joined. That said, my wife and I earn a combined salary of just over $500k/yr, and I much prefer this to stiking it rich via equity.
Do you mind if I ask what types of jobs you and your wife have? I don't think many software jobs pay $250k unless you're upper management. Physician or legal partner maybe? Even with dual incomes $500k seems like an outlier but maybe I'm wrong.
Re: Any stories of employees with equity successfully taking home over $1m? $500k?
#74Another things that is interesting, is the diversity of responses on this thread. One saying "I've been here for long, I cannot remember of anybody" another one saying, "of course I know plenty of people who made a lot of money". I think it means, as all other aspects of life, there are distinct clusters of people in this field, with little cross cluster exchange. Either you are in that group in which all of you make…
I did say something to the effect of "I know plenty of people who made a lot of money", but I also have lots of friends and acquaintances who haven't. Many failed (or failing) companies, a few "small" exits.
Re: Any stories of employees with equity successfully taking home over $1m? $500k?
#75[deleted]
Re: Any stories of employees with equity successfully taking home over $1m? $500k?
#76I know of a couple, but it's rare. You're much more likely to make money in a hedge fund. Year-end bonuses (profit-sharing) are a much better model, at least for employees, than startup equity, which is usually a retention carrot for after the company is bought and dies. Unless you become an executive, you have to get very lucky to have that kind of outcome.
The million-dollar houses are mostly being bought by investors and well-connected career startup executives who take almost no risk. Engineers are renters in the Valley.
Re: Any stories of employees with equity successfully taking home over $1m? $500k?
#77Microsoft was an example where it's owners became billionaires and they're employees became millionaires.
Re: Any stories of employees with equity successfully taking home over $1m? $500k?
#78Yes, my first startup job got me into the high end of that range, as employee #5, with a relatively small acquisition. I know several people who took home much more from employee roles (albeit in larger acquisitions) in the recent past. A lot of it has to do with who you work with. In every case I can think of, windfall money for employees came from founders with a track record of accomplishing that (or, in my case,…
I'm new here. Can you summarize "Paul Graham's hacker startup thesis?" for me? (Or point me to an appropriate manifesto, whatever). Would like to read your last sentence in context... thanks
Re: Any stories of employees with equity successfully taking home over $1m? $500k?
#79I joined a company in the summer of 2011 that IPOed in the spring of 2012. Company was under 400 employees at the time (I was around #~380). The company is not Facebook or Twitter. My pre-IPO grants alone were worth over 1.5M, and my subsequent RSU grants probably added another 1M on top of that. I'm using a throwaway account for obvious reasons, but happy to answer any questions. I definitely was not an outlier in t…
What level did you join? IC (Dev, Prod), Management, Sr Management?
Re: Any stories of employees with equity successfully taking home over $1m? $500k?
#80Several IndexTank employees did well. I can't tell you the exact numbers, but some went from essentially zero net worth to owning property in the Bay Area. http://techcrunch.com/2011/10/11/linkedin-buys-real-time-hos...
> owning property in the Bay Area.
Ah, the American dream. So attainable.