Tool 24 · Salary & Compensation
Total Compensation Decoder
Convert a job offer's base / bonus / equity / benefits into a single $/year figure, with all assumptions visible. Compares apples-to-apples across very different offers.
Enter each component of the offer
$
%
$
$
%
$
$
$
Year 1 total comp
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Includes sign-on bonus (one-time)
Year 2+ steady state
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No sign-on, but recurring comp
Where the number comes from
The "total comp" trap
NYC tech companies love quoting "total comp" because it inflates equity-heavy offers. A $200k "total comp" offer might be $130k base + $70k equity — the equity part is at-risk, illiquid, and taxed heavily. The base salary is the only number that's guaranteed. Use this decoder to see the guaranteed cash vs. the at-risk portion.
Frequently asked questions
How do I use Total Compensation Decoder step by step without mistakes?
Follow the order given in the usage section: Breaks down base / bonus / equity / benefits into a single $/year with assumptions shown. The step-by-step part matters less than the unit check that sits inside it. Confirm every unit matches the thing you are actually trying to measure before you press calculate - that single check catches more wrong answers than any other habit, and it costs about ten seconds.
What are the common mistakes when using Total Compensation Decoder?
Most common mistakes come down to four habits: entering 20 when the field expects 0.2 because the field is a percentage; leaving a field blank and accepting the default without checking what it stands for; changing one input and reading a result that was calculated before the change; and quoting the output as an exact figure when the page describes it as a reference estimate. Press calculate again after any edit, and treat the number as a reference point rather than a final answer.
Where does Total Compensation Decoder stop being useful?
Breaks down base / bonus / equity / benefits into a single $/year with assumptions shown. Put another way, this page answers one narrow question: given the numbers you typed, what does a quick estimate look like. It is not for looking up authoritative data, checking official documents, reviewing a contract line by line, or making a professional judgement call. If a decision depends on money, a signature, or a commitment to somebody else, go back to the source material and confirm the numbers there first.
How do I read the result from Total Compensation Decoder?
Read the final figure first, then come back to this section for the conditions behind it: Breaks down base / bonus / equity / benefits into a single $/year with assumptions shown. Keep two things apart: the number itself, which comes from the values you typed, and the assumptions it depends on, which decide whether that number is meaningful. The page sets out what a higher or lower result means for your case, so check that direction as well as the magnitude.
Can I act on the Total Compensation Decoder result directly?
Treat it as one reference sheet before you decide, rather than as the answer itself: Breaks down base / bonus / equity / benefits into a single $/year with assumptions shown. The output describes a magnitude under the conditions you entered. It does not include what it actually costs to act, what might change while you act, or how the other side behaves. Before you commit, compare the result against reality and note which assumptions do not hold where you are.
What inputs does Total Compensation Decoder need?
Total Compensation Decoder takes 8 inputs: Annual base salary、Target annual bonus (% of base)、Sign-on bonus (one-time)、Annualized equity value at vest、401k match (% of base)、Health insurance value (annual)、PTO value (days × daily rate)、Other perks (commuter, wellness, learning, etc.). They are listed in the order they feed the calculation, so an earlier value can change a later one. Do not skip a field you do not recognise - work out what it means first, because a silently guessed value produces a number that looks reasonable and is not. Before typing anything, make sure every figure uses the same unit and the same time period.
What should I check before I run Total Compensation Decoder?
Three checks pay for themselves. First, confirm the question you need answered is really inside the scope of this tool rather than a neighbouring one. Second, confirm that the figures you have are drawn from the same source and the same period - mixing monthly and annual numbers, or two different definitions of the same quantity, quietly distorts the result. Third, keep the key inputs written down, so that later you can tell which set of numbers produced a figure you are about to quote.