Tech Industry
Yesterday
2997
The job market is absolutely brutal right now
Tech Industry
Yesterday
2450
Crossed a line with my boss
Software Engineering Career
Yesterday
1388
Cleared Amazon onsite, but lowballed.
Tech Industry
Yesterday
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I am starting to think Chinese interviewers currently fail non-Chinese candidates on purpose.
Tech Industry
Yesterday
962
Update: Trans Coworker Stealing Breast Milk
Per Microsoft's policy: 1. Stocks under ESPP program are bought at the end of the quarter (next cycle ends 31st Dec 2021). 2. Purchase price is 10% discounted on fair market price on last day of the offering period (31st Dec 2021). 3. Employee contributions towards ESPP are held per paycheck (so twice a month). Assuming I allocate 1K per paycheck, I lose access to my 6K cash for 3 months. And at the end of those 3 months I get MSFT stock at 10% discount. During those 3 months, a strong stock like MSFT would have already grown quite a lot. Why not cash out that 1K immediately and invest into number of popular stocks, ETFs and cryptos which are likely to grow more than 10% in those 3 months. Why is maxing ESPP so popular? I know I'm making tons of assumptions here, such as market will continue its bull run, stocks I buy are sensible and continue growing, profit from 10% discount is more guaranteed than my personal investment decisions. But you get the point. Thanks! TC: 275K Location: Seattle YOE: 8yrs Update: Thanks for the overwhelming response and constructive inputs fellow blinders :) To be clear, I have been contributing to ESPP already. I'm new to serious investments and I was curious to know your views about ESPP, how you prefer to handle your $$$. :) #microsoft #ESPP #stock #personalfinance #investments
ESPP always makes sense
You get your money back plus instant profit on the discounted stock. A minimum profit of 17.5% (someone did the math). Sell it immediately then use the money for whatever you want.
Guaranteed 10% gain versus speculation and timing the market. Is good reward risk ratio. That’s why people do ESPP. Same reason why you max your 401k to get guaranteed 50% return from the Match right?
MSFT did great during my time there and selling my ESPP stock helped buy my first house.
You don’t lose access to 6K for 3 months if you contribute 1K per paycheck, because you don’t have 6K in the day one of these 3 months. 10% in 3 months means 40% per year. Try to beat this!
The math here doesn't add up. It's not like you don't have limits on how much you are allowed to put in.
It's 10% per year. And I think there's a cap on the overall contribution per year
Smart investors lock in profits. This is an easy way to lock in 10%. No brainer.
wow don't know this. Does Apple ESPP work the same? #apple
Yes. 15% discount
Consider 15% as guaranteed interest of your invested money through paycheck.who provides 15% guaranteed interest for the 3 months investment,ESPP max contribution per year is $25k-$3750 free money -consider 30% tax for $3750 but still get $2625 free money for the year . DYOR PS: my employer only offers 5% ESPP discount but still many people are using it ,no one want to miss the guaranteed money
You do you, but if you consistently get 10%+ returns every quarter over a long period of time, maybe a different career awaits you
You think Microsoft will grow 10% in 3 months?
It's grown like 400% over past 4 years so yes.