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Comment by jacquesm | Hacker News Reader

Save for one year then take 6 years off and come out roughly the same. That seems like an absolute no-brainer to me.

> roughly the same

Except now you have a 6 year gap on your resume to explain and probably a 6 year degradation of skills unless you're really disciplined.

So what? Depending on the OPs age that might be just fine. And their skills could very well improve, it all depends on what they do in that time.

That kind of freedom is normally only reserved for the kids of the very wealthy, and it opens up all kinds of opportunities.

Nobody cares about gaps in resumes. I swear people think it's 1990 still. If you have desirable tech skills, that's all that matters.

> Nobody cares about gaps in resumes. I swear people think it's 1990 still.

False. I took five years to explore personal projects and then couldn’t get a callback to save my life. After landing a menial temp job, suddenly I got calls and interviews and landed a real job in no time. A huge gap can torpedo your efforts.

Not possible because their $500k/year likely only materializes after vesting. Leaving after only 3-4 years on the job would mean the realized yearly comp is closer to 200-250k.

My last job started vesting on Day 1. It was pretty nice.

Sorry but that's not how it works. $500k/year would mean roughly $250k base+bonus and $1 million of stocks vested over four years. And at most companies, the vesting starts after 1 year. So at the end of year one, you would have made $500k in base+bonus+stocks. And after that you would usually get the stocks every quarter so $62.5k worth of stocks every quarter. I am not sure where is your figure of 200-250k Total Comp coming from?

When someone says $500k/year, they usually mean a package like $150k base + $350k stocks with yearly grants.

For the standard 4-year vesting schedule, and assuming a new $350k grant every year, this means actual earnings are:

   Year 1: $150k + $0        $150k
   Year 2: $150k + $87.5k    $237.5k
   Year 3: $150k + $87.5k*2  $325k
   Year 4: $150k + $87.5k*3  $412k

If you leave here, at year 4, and lose all unvested options (expected), your actual average was $281k/year.

Only by year 5 you'll finally actually earn the $500k/year, and the vesting schedule has such an impact on the early earnings that even after a decade, your yearly average is still $400k.

Not to forget taxes. So the idea to "save for one year then take 6 years off" is kinda off the menu unless they've been at the company for a long, long time, or are willing to spend those 6 years living in Thailand.

$500K / year at year four is something entirely different than $500K / year. And that's what the OP said they were making.

How often do people get one large grant upfront, vs yearly refreshers? I was under the impression the latter is the norm.

There are plenty of people making $500K total comp annually right here on HN.

Yearly refreshers come on top of the initial large grant - I've never seen a place that had yearly refreshers without an initial grant.

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