> A software engineer at Google earns, on average, $127k per year [1]. We multiply that by 1.4 [2] to obtain a cost per employee of $177k.
That ignores RSUs, signing bonus, and other bonuses, which make up the majority of the compensation package for senior engineers.
Even at entry level, total comp (ignoring insurance, cost of office space, free food, and other things that aren't directly paid to the employee) is over $127k/yr. A baseline new grad offer last fall included $180k of stock, or $45k/yr, on top of a six figure salary plus a $50k signing bonus. This probably goes without saying, but new grad offers can go significantly higher if the new grad has strong competing offers, and senior offers start out even higher and have a much larger range.
> I don't know why everyone thinks Google pays well
Because strong, senior engineers who have been at the company for a while (say at least 5-6 years) can get total comp that is in the upper six figures when everything is factored in. That's well higher than the vast majority of other employers.
That seems like a low estimate of the cost of a senior SWE at Google. They probably earn at least 400k in cash + bonus + stock, and there are employer costs beyond that (office space, benefits, payroll taxes).
Those numbers seem exceptionally low and it seems unlikely Google would think these engineers worth paying a premium for if the rest of the industry apparently does not (i.e. if they're worth that much, they should have left to work somewhere else already).
Yeah he said 500k. I Initially thought the same as you, 1-2mil.
500k for a senior dev is actually not too far out there. I have an L3 friend at Google (l3 is new hire level) who has been at the company for almost 2 years and who's total comp is almost 300k. So some L5s and L6s could certainly be pulling in 500k.
2. It's not actually "the bulk" of engineers - I heard Senior SWE + above is something like the 30% of engineers. However, the age range is off; typically Senior SWEs at Google are about 26-32, depending on what their past career was. Someone who's 35 and of Google caliber (i.e. same intelligence as a doctor, lawyer, or management consultant) would usually be at least Staff and have some management responsibilities.
4. This is pretty key. Most of the top engineers I know at Google aren't paid $150K, they're paid millions via acquisition, stock grants, or insane counter-offer.
This is approximately less than my annual stock grant will be this year at Google, just as a point of comparison. I'm not yet a "Senior" Engineer, just a mid level one.
I don't know where you're getting those figures from, but they're off by more than a factor of 2 based on information I have from friends in Google and previous disclosures here on HN by Googlers. Google won't pay most new hires out of school much over $100k in the bay area, and they adjust based on living expense. AFAIK the higher end of junior compensation is close to $200k, which is where you start getting into the entry senior level salaries. There certainly are engineers at Google getting paid $350k in base + bonus compensation but they're not people who only know how to do basic competition problems and enough theory to get a 4 year degree.
Median salary for SF Region in 2014 was $75,900. Thats ~10k over the median for an ENTRY level position. Sure, could Google pay them more, absolutely. But I don't think 86k a year is anything to scoff at.
Wait uh... are you saying seniors at Google make an average of $500k?
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