So it seems that less than half the employees become millionaires in terms of vested and unvested stock when a company IPOs (source - another poll happening in the Uber lounge). I'm starting a poll for everyone to see what their experience has been. The requests are simple:- - 🍿 if you haven't been through an IPO - count each of your IPO experiences separately and only vote per the event that got you the max value - count the vested as well as unvested stock / stock-options you had on the day of IPO - approximate per your discretion - do not deduct taxes - do not add cash to the total
There needs to be something that accounts for years worked though. 1 Mil stock for 20 years of work isn’t as good as 1 Mil stock for 1 year of work.
Wouldn’t al senior engs at Uber become a millionaires if it ipos at around 90B valuation?
I remember reading on my rsu contract that it’s only valid for 5 years. If Uber don’t ipo in 5 years the rsu is expired. So there’s some limits to how much rsu you get for staying long. But anyways a million dollars in Bay Area is really nothing. I have 1.2m nw now and I still feel poor after all the mortgage payments and taxes.
Lol a million is a lot even in the bay area. You have a security if you were to lose your job tomorrow and if you were to move anywhere else you would live like a king. I moved from the bay area and it's not all that it's cracked up to be lol
It’s not much when you have a family. Yes if I lose my job I can stay home and chill for years, but that’s not really being rich. Where else has low living expenses with a high paying job? Living in rust belt state is cheap but are you going to just retire there? And having to spend 10% of your nw just to buy a Porsche is not what I consider as living like a king.
I've personally seen people exit with $1.5m (cofounder) down to $1,000 (junior position). It's close to impossible to know future valuations.
I love how I have the 🍿 options. Pun intended
Someone I work with had a company IPO after he left to join eBay. But when he calculated what he would have gotten it ended up being something like 80k.
Curious if I join Uber pre-IPO do they give good options or not?
“Good” depends on what the public markets eventually determine. Yes, you’ll get more equity than a comparable public company because of this risk.
This is false. The equity in my Uber offer is no better than my offers from public companies, and they will not negotiate. I also know mid-level candidates who had the same experience and chose to go elsewhere
In the most lucrative case you will make a bit more than your fang rsus
I'm surprised no one is talking about income tax. 1mln in rsu doesn't mean you'll have 1mln when a company ipos. Generally, you lop off 35-40% to pay income taxes. So you really need closer to 2mln to have a 1 mln after ipo.
Doesn’t it make sense to calculate on the day the lockup ends.
Some. But you don't have to sell on that day. Or ever.
Congrats on the valuation btw! Must be a great feeling! :)