

Second-year salary for early employees? - matrym

If an early employee takes a deal involving salary and equity, what is their second year's salary? Is it a repeat take on that equity, or just the salary? What if the salary was cut to increase the equity, does it revert to the non-cut state? How long does the equity take to vest? What are the standards here?
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cperciva
_How long does the equity take to vest?_

I have no direct experience here, but I've always heard 4 years cited as the
norm.

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jsavimbi
Generally speaking, when you're allotted options (equity), let's say 100,000,
those options will vest equally over a three or four year period. The salary
is market rate with a raise commensurate on the company's desire to
keep/reward the employee or you get the old song and dance about no
raises/bonuses as management wants to keep reinvesting as much as possible
into operations while they take as much money off the table for themselves as
possible.

I haven't seen many cases where early employees were rewarded with substantial
raises over their peers as this would be counterintuitive to management
retention and recruitment goals.

