If you're offering fabulous compensation packages that exceed the President of the United States for common software engineers with a little experience... wouldn't you want to use that to your advantage in your job postings?
Every time I read an article like this I go looking for official numbers to validate what is being said. I'm not saying companies compensate poorly in SV. I just find it difficult to differentiate fact from fiction (or gossip) when I go looking into it. Its really not that hard to post your price/ranges directly as a company. I've always posted compensation and benefits when I've posted listings. My wife has always posted compensation and benefits when she's posted them. I'm not sure which of us has interviewed or hired more. I've probably interviewed more as a software engineer and she's probably hired more as a clinical director. (nurses, so many nurses... and then doctors!)
I'd apply for a lot of positions if people would list compensation ranges in their postings. I just need to know we're somewhere on the same page before focusing my energy on it. Nothing is worse than going through interviews only find out we've wasted each other's time. I've been there, done that, far too many times. It usually results in an offer at the top end of what they're approved for and that is either not enough to leave, or its less than I'm making at a position I'm happy with.
Just looking at the raw numbers they all seem outrageous. But if you take a look at some of these companies it makes a lot more sense.
The FAANG I work for makes a PROFIT of $2 mill/year for every employee. So it's easy for them to think, lets pay this lot $300-600k and use em to keep our advantage/keep them away from competition. For all I care they could be paying all of us $1 mill and still be making a good sum of money.
Right, it is a bit dumb that company compensation is so opaque. But these salaries are correct, I read about them online, saw enough people verify they are correct to trust, did the work to get in and got these high numbers. They aren't fake.
> If you're offering fabulous compensation packages that exceed the President of the United States for common software engineers with a little experience... wouldn't you want to use that to your advantage in your job postings?
The US President earns millions per year in total compensation. You cannot ignore all the post employment benefits, least of all the $200k+ inflation adjusted per year annuity.
www.levels.fyi will get you a salary range for most companies. Based on my own compensation and that of trusted friends the real numbers are actually a bit higher than what's on levels.fyi right now. (Seattle)
When you apply the best thing is to just be clear to the recruiter what you will accept. If you tell them you won't accept less than $200k any good recruiter would tell you whether that's reasonable or not. If they lie to you, please come back to HN and make an angry post about it. You'll get my upvote.
This. levels.fyi is quite accurate both in first-hand data and when discussing salaries with folks that are coming from companies represented on the site.
I speculate that one of the things that makes it hard to square with market data is that levels.fyi leads with total compensation which will include stock based comp. afaict people report their stock comp differently, sometimes it's the original offer value and sometimes it's the value at that time (which might be years after the grant was given). Since things are really going up right now... it can lead to some big numbers. These numbers are still real, but not necessarily what you would see in an offer.
The salary numbers, however, are spot on in my experience.
I've asked decision makers about this (or similar enough) before, and the answer was that they considered compensation to be a bit of a competitive advantage. I can see two reasons for this, first it being secret makes it harder for employees to effectively negotiate. Second, it being secret makes it more difficult to accuse the companies of doing something akin to wage fixing, which some of these have done before, so being careful about the appearance of impropriety makes some amount of sense.
Personally though, I don't find either of those particularly compelling. Especially given that they're de-facto public anyhow. There's two reliable ways to get salary information even if you don't trust self reported data:
1. h1b data, which shows only base salary and is hard to tease good data out of, because there isn't differentiation by role usually. Google for example shows "software engineer" or "software engineer manager" salaries that range from like 150K to like 300K (again, base salary), because they can cover like L4, L5, L6, L7, and even L8 (director) and above under essentially that one title. It's not super useful.
2. The careers pages for remote jobs in the US, or jobs in Colorado. Thanks to a law that took effect this year, Colorado requires companies to post their salaries (again, just salaries). Companies in California are also required to give you a salary range if you ask during an interview process. This doesn't give you stock or bonus numbers, but you can use these to verify that the salaries people talk about are legitimate.
Here's some examples, all taken from the careers page for the companies (careers.google.com, https://www.facebook.com/careers/jobs/, etc.). In each I've included the important part of the role description and what I think it maps to in the internal levelling scheme (see https://www.levels.fyi/ to compare these).
Google:
- Minimum salary of $132,000 (SWE III, L4)
- Minimum salary of $183,000 ("Technical Lead", probably L6+)
- $178,000 (Staff, L6)
- $209,000 (Staff, L6)
- $137,000 (Senior, L5)
- $125,000 (SWE III, L4)
- $120,000 (Senior Staff, L7, technically true but probably a data entry mistake somewhere)
- $183,000 (Senior Staff, L7)
- $252,000 (Something Director+, L8+)
Notably these are lower than salaries in SF or Seattle. Unfortunately, all the VP level jobs were in office and not in Colorado. Note again that this is before bonus (which starts at 15%+~5% based on performance, but for the higher level roles can reach like 30%+10% based on performance), and stock which starts at maybe 30-50% of your salary, but by Senior or Staff can be larger than your salary. I think some of these are also on the low side, 137,000 is below the bottom of the band for L5, my hunch here is some combination of data entry mistakes and willingness to accept L-1 for a role ("we'd prefer Staff but will take a Senior with some additional experience") so the salary requirements reflect that.
MS has a bonus structure that's a bit worse than Google and FB, and pays a lot less stock.
Amazon had one role, a Senior SDM role, with range $122,300-160,000. 160K is the max base salary Amazon pays outside of SF. They don't do bonuses except your first year, but as far as I know by the time you're higher level, their stock awards keep pace with Google and Facebook.
I also checked Lyft and Uber, which didn't appear to have roles that were Remote or in Colorado, and Stripe, Netflix, and Dropbox whose remote roles didn't list salaries. Someone at stripe should probably fix that, I expect they're technically violating the law right now. Salesforce included numbers which were oddly low. Oracle requires that you email them, which I think may also be a violation of the law, but its unclear.
Anyway, bit of a tangent at the end there, but I hope that helps to show that these aren't made up (and are sometimes publicized).
Every time I read an article like this I go looking for official numbers to validate what is being said. I'm not saying companies compensate poorly in SV. I just find it difficult to differentiate fact from fiction (or gossip) when I go looking into it. Its really not that hard to post your price/ranges directly as a company. I've always posted compensation and benefits when I've posted listings. My wife has always posted compensation and benefits when she's posted them. I'm not sure which of us has interviewed or hired more. I've probably interviewed more as a software engineer and she's probably hired more as a clinical director. (nurses, so many nurses... and then doctors!)
I'd apply for a lot of positions if people would list compensation ranges in their postings. I just need to know we're somewhere on the same page before focusing my energy on it. Nothing is worse than going through interviews only find out we've wasted each other's time. I've been there, done that, far too many times. It usually results in an offer at the top end of what they're approved for and that is either not enough to leave, or its less than I'm making at a position I'm happy with.