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by tshaddox 1472 days ago
> Due to the wonders of tax law, that is equiv to 60k cash

And equivalent to 0 cash for paying the rent. I suspect that’s why it doesn’t seem to be a prominent concern in discussions about tech compensation.

2 comments

I don't know about you, but with tech salaries, rent is the least for my concern. I think that's true for most people that don't live in ridiculously high cost of living areas.
Perhaps, although until COVID (and we'll see what happens with remote work compensation in the long term) nearly all people with huge big tech compensation packages lived in ridiculously high cost of living areas. I suspect a very large portion still do. In the Bay Area I've heard no shortage of stories of couples/families with two big tech salaries still spending very large portions of their paychecks on rent/mortgage.
BS. There's nothing stopping you from maxing your 401k and then pulling it back out taking the penalty. This applies to a ton of benefits people naively don't take advantage of from HSAs to employee stock purchase plans to 401k. It's almost always beneficial to maximize your tax advantaged accounts even if you're paying penalties on the back end.