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You enable a certain amount of profit for your employer, regardless of what you do with your pay. Regardless of how much rent or mortgage you pay, and regardles
by a3n 5y ago
You enable a certain amount of profit for your employer, regardless of what you do with your pay. Regardless of how much rent or mortgage you pay, and regardless of where you pay it.
Possible minor exception being employment tax?
- PragmaticPulp 5y ago> You enable a certain amount of profit for your employer, regardless of what you do with your pay. Regardless of how much rent or mortgage you pay, and regardless of where you pay it. Then why would companies bother hiring people in expensive locations if they can hire another developer in a foreign country for half the price? In practice, companies that adopt location-independent salaries don't automatically pin their compensation to the most expensive locales. They pick a midpoint compensation that is good enough to attract remote workers who can't do any better locally, but they turn away a lot of developers in expensive places like Seattle or SFBA who know they can do better locally.
- jeiting 5y agoWe do use SFBA but the median salary, which isn't super competitive in those locales. Most top tech firms pay 75th %-ile+, so yea it makes SFBA recruiting challenging. This is def a downside because a lot of the scaling experience is still localized in those places, but that will trend down over time. We've had enough success picking up people as they leave the Bay Area.
- PragmaticPulp 5y agoThat's a good point. It's easy to think location independent salaries means paying everyone as much as a FAANG engineer living in California, but the median salary even in HCOL locations is much lower.