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Amazon compensates for backloaded equity via large sign-on bonuses which "vest" monthly and don't need to be paid back if you leave. Annualized compensation is

Amazon compensates for backloaded equity via large sign-on bonuses which "vest" monthly and don't need to be paid back if you leave. Annualized compensation is roughly stable over the first four years, assuming you believe their stock growth estimates (which are silly, but that actually gives you higher compensation for the first two years than years 3 and 4, not lower).

fridif 5y ago
Assuming you last at Amazon and are not hire to fire and can navigate safely through their codebase and you have a good manager and... I've had my fair share of good and bad gigs-- I am willing to trade a considerable amount of Amazon's upside in exchange for employment I can predict.
- comp_throw7 5y ago
  Sure, I'm not saying anything about the culture or WLB, just that there's no risk of "losing out" on compensation if you get fired before your backloaded equity vests.
  - fridif 5y ago
    Wait, what? I'm actually genuinely interested in clarifying this for myself. If Amazon gives me a contract on day one that says they will give me 5 shares on day one, 15 shares on day 366, 40 shares on day 732, and 40 shares on day 1098... ... you are saying that even if i get fired on day 90, i will still have all 100 shares paid out to me on those days? because that is not how it worked at other places ive been at
    - comp_throw7 5y ago
      No, Amazon structures its compensation such that you get a large cash "bonus" split up monthly over your first two years to offset the backloaded compensation. A senior (L6/SDE III) offer might look something like this: 160k base salary 350k sign-on (195k first year, 145k second year, split up monthly) 120 shares (@ 3720/share): 6 shares Y1, 18 shares Y2, 48 shares Y3 & Y4 (24 shares vesting every 6 months at that point) So in the first year you're taking home 160k base salary + 16.25k bonus each month, none of which needs to be paid back if you leave.

fridif 5y ago

Assuming you last at Amazon and are not hire to fire and can navigate safely through their codebase and you have a good manager and... I've had my fair share of good and bad gigs-- I am willing to trade a considerable amount of Amazon's upside in exchange for employment I can predict.

comp_throw7 5y ago
Sure, I'm not saying anything about the culture or WLB, just that there's no risk of "losing out" on compensation if you get fired before your backloaded equity vests.
- fridif 5y ago
  Wait, what? I'm actually genuinely interested in clarifying this for myself. If Amazon gives me a contract on day one that says they will give me 5 shares on day one, 15 shares on day 366, 40 shares on day 732, and 40 shares on day 1098... ... you are saying that even if i get fired on day 90, i will still have all 100 shares paid out to me on those days? because that is not how it worked at other places ive been at
  - comp_throw7 5y ago
    No, Amazon structures its compensation such that you get a large cash "bonus" split up monthly over your first two years to offset the backloaded compensation. A senior (L6/SDE III) offer might look something like this: 160k base salary 350k sign-on (195k first year, 145k second year, split up monthly) 120 shares (@ 3720/share): 6 shares Y1, 18 shares Y2, 48 shares Y3 & Y4 (24 shares vesting every 6 months at that point) So in the first year you're taking home 160k base salary + 16.25k bonus each month, none of which needs to be paid back if you leave.