19g6vl0i55srw in  
Software Engineer 2 years ago

How to deal with major compensation increase

So I'm going to be starting a new job soon where my TC is nearly triple of what I currently make. Nice problem to have, right?

This will be the first time I've had a job that has a cash sign on bonus or that provides RSUs. I'm expecting come next April, I will actually owe taxes this time. More money, more problems.

It's also the middle of the year so I'm going to be switching insurance in the middle of the year. Not sure how that's gonna work with deductibles and flex spending account...

Any advice for me from those of you who have gone through something similar, or have been living the high comp life for a while?
19g6ul2b29bv9Software Engineer at Amazon2 years ago
Try to ignore your signing bonus and RSUs when budgeting. The bonus will go away, and your RSUs are subject to whatever the market is doing at the time and could implode in value. Your base salary is your reliable, regular income that you depend on unless you're fired, and should be what you use to determine how much rent or mortgage you can afford.

Max out your 401k and HSA if you have one.

Do treat yourself and enjoy making more. Save for a while and buy a Tesla or something. Just don't go overboard.



Software Engineer