One scenario I’ve seen happen a few times to people I know is that after starting a new job the company stock goes up dramatically. So much so that it would be unreasonable for a new company to give you that same amount of stock if you left your current job. This is what I think of as “golden handcuffs”. In the situation you kind of are “trapped” in your current company unless you want to forfeit a large amount of value.
I used to worry a lot about reasonable / unreasonable for salary expectations. but I kept bumping into exceptions. So, I just shrug and say "here's what I'm making and what I have." It's one of the reasons I would quote on the current stock price and NOT on any sort of expected growth. There's a saying for grad school: go to the best school that'll pay for you to go there. I think the same should be true for work: go to the best one that'll pay you 10% more than you're already making, regardless of how unreasonable it is. YMMV :)
Under what circumstances would you consider moving to a job with lower total compensation (non-publicly traded company or company known to be in a lower comp tier)?
As long as the money is enough to meaningfully move my savings forward and the benefits are good, then I would consider it for a company that has higher prestige (e.g. from IBM to Google) or where the I felt the project was personally meaningful to me, either because of scope, technology, or its mission.
For stock price used in calculation, stock grant timing could significantly affect the value. What are your thoughts on future prospects of the stock, especially for pre-IPO or stock currently at trough?
One scenario I’ve seen happen a few times to people I know is that after starting a new job the company stock goes up dramatically. So much so that it would be unreasonable for a new company to give you that same amount of stock if you left your current job. This is what I think of as “golden handcuffs”. In the situation you kind of are “trapped” in your current company unless you want to forfeit a large amount of value.
I used to worry a lot about reasonable / unreasonable for salary expectations. but I kept bumping into exceptions. So, I just shrug and say "here's what I'm making and what I have." It's one of the reasons I would quote on the current stock price and NOT on any sort of expected growth.
There's a saying for grad school: go to the best school that'll pay for you to go there. I think the same should be true for work: go to the best one that'll pay you 10% more than you're already making, regardless of how unreasonable it is. YMMV :)
Thank you for the spreadsheet example, that helped clear things up for me. Plus, the way you set it up is a great way to analyze the offer.
Glad it's helpful, thanks for watching!
@@TheDeliberateEngineer you bet 👍Also, have you ever considered creating some kind of coaching service?
@@malik641 Thought about it, but I'm lazy :) thank you for the suggestion!
Under what circumstances would you consider moving to a job with lower total compensation (non-publicly traded company or company known to be in a lower comp tier)?
As long as the money is enough to meaningfully move my savings forward and the benefits are good, then I would consider it for a company that has higher prestige (e.g. from IBM to Google) or where the I felt the project was personally meaningful to me, either because of scope, technology, or its mission.
For stock price used in calculation, stock grant timing could significantly affect the value. What are your thoughts on future prospects of the stock, especially for pre-IPO or stock currently at trough?
I've been so bad at predicting stock value & growth that I basically gave up. I consider everything in current dollars at the current price.