[layoff_payoff]

I was laid of in November, started interviewing a week later. I got about 50% response on my applications; I bombed most of them at various stages (I should have increased prep time by another week or 2). I got an offer in early January and started last week.

My compensation dropped by 30-40%, but I figured if I'll probably spend more than 30% of the year waiting for an offer close to what had before. Considering my poor interview performance, I did not want to compete with a glut of engineers I had a hunch would be let go in the new year (which turned out correct).

I registered a Delaware LLC for $200, my current job is not as remotely challenging as my FAANG job so I have plenty of mental energy at the end of my 8-hour(!) work day, even when I go out of my way to add tasks outside of my duties. I just haven't thought up a lifestyle-business idea to run with.

[cowthulhu]

Why did you register the LLC? Sounds interesting!

[layoff_payoff]

2 reasons: the first is to show myself how I'm now "serious" about this; I've always have half-assed projects I mentally considered to be hobbies, but these experiments will be different. The second reason is related - I want to have a clear separation between my personal finances and the new venture in order to track my losses.

It is aspirational, but I needed to take the step for self-accountability and self-motivation

[sohnakukkar]

What about taxes on LLC?

[layoff_payoff]

$300/year to the state of Delaware works out to less than a dollar a day. The LLC is a pass-through entity (single member), so federal taxes will be handled with my personal tax filing. The lack of profits keeps my bookkeeping and taxes simple, if/when it become profitable enough that income tax categorization becomes a disadvantage, well, that will be good problem to have.