FAQ
Short, practical answers. Each one links to reputable references (IRS, Harvard negotiation guidance, and established equity education sources).
How do I know if my job offer is good?
Start by comparing the full package, not just base salary: base + bonus + equity + benefits + work setup (remote/hybrid), and growth (role scope, manager, promotion path).
A good offer is typically one that (1) is competitive for your level/location, (2) matches your risk tolerance and cash needs, and (3) has clear upside without hidden downside.
Use these pages to sanity-check:
A good offer is typically one that (1) is competitive for your level/location, (2) matches your risk tolerance and cash needs, and (3) has clear upside without hidden downside.
Use these pages to sanity-check:
How much is my startup equity worth?
It depends on a few numbers that are often missing from offers:
- How many shares/options you have
- Strike price (if options)
- 409A / FMV (common share value used for option pricing)
- Exit outcomes + dilution (future rounds usually dilute ownership)
A simple starting point is: shares × price(or, for options, max(price − strike, 0) × shares). But private-company equity is illiquid and the outcome range is wide.
Try the equity calculator for quick scenarios.
Should I take a pay cut for equity?
Sometimes — but treat it like a risk decision.
- If you need cash stability, prefer guaranteed cash (or negotiate for it).
- If you can take risk, equity may be worth it — but only if you understand dilution, strike/409A, and the realistic exit range.
A useful way to think about it is: how much salary are you giving up, and what equity outcome (and probability) would make you whole? Use the calculators to pressure-test it.
Start here: calculators.
How to negotiate a job offer?
The basic playbook:
- Be positive and specific (“I’m excited — can we explore X?”).
- Anchor to market + competing options (without naming the other company if you don’t want to).
- Ask for the easiest levers first (sign-on, base, equity, refresh policy, exercise window).
- Get key terms in writing.
OfferChecker also generates negotiation angles inside each report.
What is a 409A valuation?
A 409A valuation is an independent appraisal of the fair market value (FMV) of a private company’s common stock. It’s used to set the strike price of employee stock options and helps companies stay compliant with tax rules.
In practice: it’s a key input for understanding whether your options are “in the money” and what exercising might cost.
ISOs vs RSUs — which is better?
There isn’t a universal winner — it depends on your company type, liquidity, and your tax situation.
- RSUs are typically simpler: you receive shares as they vest; value is generally taxable as ordinary income at vest.
- ISOs can have favorable tax treatment, but exercising can trigger AMT (and you must pay the strike to exercise).
Use the calculators for quick estimates:
Want this personalized to your exact offer?
Run a report and then compare offers side-by-side.
Disclosure: OfferChecker is not legal, tax, or investment advice. This page is educational.