4 ms·

Do coders (like at Twitter) typically make over $200K/yr? Or do they just eat ramen every day?

by genwin 12y ago

johnrob 12y ago
With rent prices like these, food is no longer a significant part of living costs.
potatolicious 12y ago
Some. Most do not. San Francisco's economy relies on young people not realizing the importance of saving, and the consequent willingness to spend to the bone. In some cases the importance of saving is realized, but offset by the certainty that they're going to cash out huge Any Day Now(tm).
- sixQuarks 12y ago
  Also, I would think they are sharing 2-3 bedrooms with other co-workers.
scarmig 12y ago
Not most, but not unheard of. I know one guy (not at Twitter) making around $180k. But his real brilliance was getting in around 2007 and staying in the same place. Right now he's paying around $1500/month for a really nice one bedroom on Valencia. It's great that we have laws to protect him from predatory rent increases.
baddox 12y ago
More likely, they earn closer to $100K/yr, live in a studio or share a house/apartment with multiple people, and pay closer to $2000 a month, which leaves plenty of money leftover for food (especially after at least one free meal at work) and luxuries.
- genwin 12y ago
  Geez. Hard to believe that SFO experience trumps making $70K/yr in a middle-tier city, living in your own house and paying less for its mortgage.
  - baddox 12y ago
    Most people like the technology/startup scene and the culture of the city (for me, it's only the former). But even if you ignore that, the relevant financial statistic is your disposable income, not the percentage of your pay that goes to rent. At $70k a year, you should take home roughly $70k / 12 * 0.65 = $3.8k each month. At $120k a year (rough estimate for a Facebook engineer, so correct me if this part is unrealistic), you should take home roughly $120k / 12 * 0.65 = $6.5k each month. If you're paying $3k each month on rent (which is quite generous if you're living by yourself), that leaves you with $3.5k each month. That means that your $70k job only leaves you $300 a month for rent, in order to have the same amount of money left over. That's really pushing it, considering it's only half of the median USA apartment rental, and considering I paid $400 a month for a modest apartment 4 years ago in Springfield, MO, which as I understand it is in one of the cheapest areas in the country. Obviously there are other effects here that I'm missing. My 65% take home portion could be completely wrong. Food prices are almost surely higher in SF (of course, most startups and tech companies provide some free meals).
    - genwin 12y ago
      Good analysis. Big difference is in the middle-tier city you're buying the house at say $1K / month mortgage, rather than renting. And your house is 2000 sq. ft. with a yard and garage, instead of a 1 bedroom apartment. Less disposable income but your standard of living is subjectively higher.
      - baddox 12y ago
        Good points. Home equity is a big deal changer. I am so remote from even thinking about buying a home that I can't estimate the utility difference equity would make. Having lots of space is obviously a major difference, but is very subjective. Many people who live in a city probably wouldn't want to maintain a yard or a larger house or need to drive everywhere. I definitely prefer the space.
fragmede 12y ago
$130k/yr, after tax is ~$7000/month. Minus $3000, you've still got $4k to use up as you choose. If you choose to go for high-end dining for every meal, you won't be saving very much, but $4k/month is hardy ramen. Not every restaurant in SF is the French Laundry either.

Do coders (like at Twitter) typically make over $200K/yr? Or do they just eat ramen every day?

by genwin 12y ago

Do coders (like at Twitter) typically make over $200K/yr? Or do they just eat ramen every day?

johnrob 12y ago

With rent prices like these, food is no longer a significant part of living costs.

potatolicious 12y ago

Some. Most do not. San Francisco's economy relies on young people not realizing the importance of saving, and the consequent willingness to spend to the bone. In some cases the importance of saving is realized, but offset by the certainty that they're going to cash out huge Any Day Now(tm).

sixQuarks 12y ago
Also, I would think they are sharing 2-3 bedrooms with other co-workers.

scarmig 12y ago

Not most, but not unheard of. I know one guy (not at Twitter) making around $180k. But his real brilliance was getting in around 2007 and staying in the same place. Right now he's paying around $1500/month for a really nice one bedroom on Valencia. It's great that we have laws to protect him from predatory rent increases.

baddox 12y ago

More likely, they earn closer to $100K/yr, live in a studio or share a house/apartment with multiple people, and pay closer to $2000 a month, which leaves plenty of money leftover for food (especially after at least one free meal at work) and luxuries.

genwin 12y ago
Geez. Hard to believe that SFO experience trumps making $70K/yr in a middle-tier city, living in your own house and paying less for its mortgage.
- baddox 12y ago
  Most people like the technology/startup scene and the culture of the city (for me, it's only the former). But even if you ignore that, the relevant financial statistic is your disposable income, not the percentage of your pay that goes to rent. At $70k a year, you should take home roughly $70k / 12 * 0.65 = $3.8k each month. At $120k a year (rough estimate for a Facebook engineer, so correct me if this part is unrealistic), you should take home roughly $120k / 12 * 0.65 = $6.5k each month. If you're paying $3k each month on rent (which is quite generous if you're living by yourself), that leaves you with $3.5k each month. That means that your $70k job only leaves you $300 a month for rent, in order to have the same amount of money left over. That's really pushing it, considering it's only half of the median USA apartment rental, and considering I paid $400 a month for a modest apartment 4 years ago in Springfield, MO, which as I understand it is in one of the cheapest areas in the country. Obviously there are other effects here that I'm missing. My 65% take home portion could be completely wrong. Food prices are almost surely higher in SF (of course, most startups and tech companies provide some free meals).
  - genwin 12y ago
    Good analysis. Big difference is in the middle-tier city you're buying the house at say $1K / month mortgage, rather than renting. And your house is 2000 sq. ft. with a yard and garage, instead of a 1 bedroom apartment. Less disposable income but your standard of living is subjectively higher.
    - baddox 12y ago
      Good points. Home equity is a big deal changer. I am so remote from even thinking about buying a home that I can't estimate the utility difference equity would make. Having lots of space is obviously a major difference, but is very subjective. Many people who live in a city probably wouldn't want to maintain a yard or a larger house or need to drive everywhere. I definitely prefer the space.

fragmede 12y ago

$130k/yr, after tax is ~$7000/month. Minus $3000, you've still got $4k to use up as you choose. If you choose to go for high-end dining for every meal, you won't be saving very much, but $4k/month is hardy ramen. Not every restaurant in SF is the French Laundry either.