Stripe promotions and stock bonuses

Oct 12, 2021 18 Comments

I got a new grad SWE offer from Stripe, and I have two questions.

1. My offer letter says that AVGs increase when you get promoted. But by how much? Would you get as much as L2 external hires, if you start out as an L1 and get promoted?

2. My offer letter also says that I may receive β€œPerformance Equity Grants,” which my recruiter said can be anything from 0 to 100% of the value of my initial AVG and vest over two years. What are typical values of those grants?

TC: negative tuition cost
Level: college senior
Stripe offer TC: ~$286k on the first year, ~$246k on the second, ~$226k recurring

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TOP 18 Comments
  • Stripe
    ilVC01

    Go to company page Stripe

    ilVC01
    Make sure your recruiter explains the time in level caps for L1 and L2.
    Oct 12, 2021 6
    • Oath
      koolpfizer

      Go to company page Oath

      koolpfizer
      What about L3 to L4? Is there time level cap in that and if so how much
      Oct 13, 2021
    • Oath
      koolpfizer

      Go to company page Oath

      koolpfizer
      Interesting - So it’s possible to remain in Stripe as L3 forever as long as you are doing good work. If you are not interested in management and hands off engineering roles
      Oct 14, 2021
  • Amazon
    πŸ€·β€β™‚οΈπŸ€·β€β™‚οΈπŸ€·

    Go to company page Amazon

    πŸ€·β€β™‚οΈπŸ€·β€β™‚οΈπŸ€·
    No, promo puts you at the bottom of the next band compared to external hires that come in anywhere between the middle to the top of the band. This is true regardless of the company
    Oct 12, 2021 0
  • Amazon
    AMvf51

    Go to company page Amazon

    AMvf51
    Holy shit that TC. Congrats πŸŽ‰
    Oct 12, 2021 0
  • Stripe
    qFQJ73

    Go to company page Stripe

    qFQJ73
    I think the base is 10% less than the average external hire. And equity is the same.
    Oct 12, 2021 1
    • Amazon
      KewinMalon

      Go to company page Amazon

      KewinMalon
      Damn , then why do they keep claiming that they want to favor people with more tenure with avg model do equity , it’s quite a dent to have 10% lesser TC.

      Is there atleast a chance for you to bridge that gap based on performance? Or is it that you’ll always be much worse than external hires ?

      I had heard stripe does its best to bridge the gap between external and internal hires ?
      Oct 18, 2021
  • Stripe
    iKlu30

    Go to company page Stripe

    iKlu30
    What's the breakdown of TC for first/second year?
    Oct 13, 2021 4
    • Honestly, I don’t think the AVG is that much of a big deal. I don’t think it makes sense to criticize it for β€œnot having any upside.” I’m not better at judging how much Stripe is worth than venture capitalists, and in fact I’m probably worse than them. So I can’t expect Stripe’s valuation to go up (or down) on net. All information I have access to is priced in already.
      Oct 14, 2021
    • Stripe
      fWbl22

      Go to company page Stripe

      fWbl22
      Ahh but OP that's not how Options pricing works :)

      Say you join with a 4yr grant, and after year 2 the stock is flat or down, what do you do? You probably go to a different company and get a new 4yr grant. But what if it's 10x? Well now you stick around and enjoy your $1m+/year comp. That optionality is worth a tremendous amount of money. A $400k/4 yr grant is not worth $400k, it's worth substantially more than that because of the option component. That's why Stripe has had to raise their AVG offers to compensate. L3 equity used to be $700k/4, or $175k/yr, but that's up to $230k/yr for AVG. (all based on levels.fyi, not from any internal source)

      All that said, $250k+ for a new grad is amazing and if you save and invest well all throughout your 20s you'll be lightyears ahead of people your age.
      Oct 14, 2021