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Basecamp doesn’t employ anyone in SF, but now we pay everyone as though all did

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Re: Basecamp doesn’t employ anyone in SF, but now we pay everyone as though all did

#191
post #65

Earlier quoted context omitted.

150k sounds way low for the Bay Area you can get that in other much less expensive metro areas.

Does it? Are you including vested stock at a large company? The proportion of talent in the Bay Area is the same - from my experience interviewing people - in other tech hubs. Edit: made less jerky

Not including stock. Just thinking back to last time I solicited job offers I live in a US metro area with a cost of living about 1/3rd less than SF according to Wolfram Alpha's data and got offers that ranged between 120k and 220k. Anecdotally most of the senior level engineers I know in my area are making between 150 and 200k. Adjusted for cost of living an employer in SF would need to pay something like 200 - 300k to just match their current salaries. Maybe the stock portion of a salary would make up for that difference but I don't see how they are competitive in the wider market if they are paying 150k for senior engineers.

Re: Basecamp doesn’t employ anyone in SF, but now we pay everyone as though all did

#192
post #190
post #172

Earlier quoted context omitted.

RSUs for public companies are effectively cash, as you can generally sell them immediately at the time when they vest. The value isn't fixed, but if the company is doing well that's a benefit to employees.

Yes and no.. my point still stands. I would also exclude "bonus" in these comparisons because they are too variable as well.

But in reality the bonus and RSU's are a very significant portion of compensation. I know several people in their late 20's in SF with salaries around $150k but after adding RSU's and annual bonus and other oddities like recurring "signing bonuses" they pull in between $200k and $250k per year before taxes. Even if it's slightly variable it is still a big difference from the base salary. As an example of why this matters, my base salary is $20k more than a certain friend of mine but my employer doesn't do RSU's and has relatively low bonuses, so in the end my friend makes around $50k per year more than me, which equates to a significant lifestyle difference.
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