I’m a 20something software engineer on a year sabbatical from a FAANG company and thinking about my employment options. My earnings are relatively high I think (at senior now, ~350k total comp with bonuses and auto-sell RSUs). However, the idea that I’ve already reached the max expected value for the effort I’m willing to expend as an employee in the industry is a little dreary to me (note: I am very lucky and also feel bad about saying that).<p>Does anyone know of a route to equivalent earnings outside of FAANG? Assuming that I am willing to live anywhere and work on any type of software, but do not want to go into management or start a company.<p>edit: thank you for the responses
Not on a salaried basis.<p>One path is to migrate your thinking from the terms of labor and income to terms of capital and asset development and accumulation. In software this usually means starting a business (eg SAAS) which becomes an asset by establishing a reliable income stream from a customer base. That income stream asset can be sold, yielding a net capital accumulation of more than 300k per year for the time that was put into it.<p>This is of course extremely difficult to do, with a very high (99.9+%) failure rate, and success is almost always more dependent on non-technical skill factors.<p>I would advise instead seeking the path of gratitude, finding the capacity to more deeply appreciate your incredible good fortune, and address your psychic discomfort in the value of your labor by performing work that tangibly helps others less fortunate than you.<p>Good luck to you.
It feels dreary because you feel you have nothing left to strive for because you're only measuring your progress by your salary. Find another way to feel accomplished. 350k total comp is enormous and I don't know how you could expect to be even that valuable let alone more valuable to an enterprise (unless you're exceptional, in which case you would not be asking this question).<p>BTW I'm not judging you. I'm just saying I don't know why you would expect that that is not indeed your top earning potential given your skillset.
You can go significantly higher than this, for example:<p>- From your comp I assume you are a L5 at FAANG. Getting to L6 is challenging but not impossible and would put you in the solid ~500k range. From there, you could push into L7+, which would get you close to ~800k+, but that is more rare and reserved for truly brilliant and lucky folks. L6 is definitely achievable though.<p>- Join a unicorn on a good growth trajectory, enter with a standard ~300k offer, and hope in a couple years you'd get to ~1M thanks to equity appreciation. I know several friends who entered into the right unicorn at the right time and made ~1M+ per year just by doing senior SWE work. It's riskier than the above option, but much less riskier and with better odds than joining an early stage startup, which I wouldn't recommend at all. The key is, when you are interviewing don't ask about what technology or text editor they use, ask to see their growth rate data and make sure you join an already-exploding rocket ship, backed by real numbers. I think there are some good arbitrage opportunities for candidates looking to join a unicorn.<p>Finally, don't squander your cash flow, live frugally, save aggressively and invest.<p>I am at a slightly higher but pretty similar compensation, and the game has become growing my investment portfolio. Just this year, my portfolio itself has returned well above 200k, which is the amount that I usually save from my paycheck every year, so I literally had an employee (more senior than me!) working for me this year and making me money :-)<p>Once (if!) I get to ~4M, I'll quit and chill for a couple years around the world. I'm halfway there.
You are pretty much at the peak of income for your current amount of effort and risk for any role in the global economy. There are higher paying positions but you'll have to risk a lot and work a lot harder.<p>How much of a life do you have outside of work? What would you spend your time doing if you were independently wealthy? Do you have a family? You are honestly at an income level where you can do nearly anything you want, maybe take some time and figure out what that is.
Money is great at measuring things measured in money. If you want more of it, go searching where people measure everything in money: finance.<p>But given that you're taking a sabbatical and there's slight undertones of an existential/"bullshit jobs" crisis here, perhaps investigate wealth that isn't measured in money. Have you spent time with a really good friend lately? Your family? Have you taken some time to pursue your (non-FAANG-tech) intellectual interests? Or maybe just take some time to disconnect and grow a garden? How's your spiritual energy, be it recharged by God, gods, crystals, or just staring into fractals?<p>Sounds like you're doing pretty well for yourself. Are you really searching for better employment, or better something else?
Outside of a FAANG I doubt it. Maybe something stock trading related. Considering the income for most software engineers is very far from 350K even if that is the limit for how much you can make you are still doing a lot better than most ever will.<p>Just for reference here in Canada the average income for sofware developers is around 70k CAD which is maybe 55k USD.<p>What is it in particular that you find 'dreary' to think you have maxed out your earning potential doing the same type of job you are doing now? Do you enjoy doing what you are doing?
I would tough it out for a few years. Put $2mm in S&P, then plan on a withdrawal rate of 3.5% a year. That would give you a very safe practically permanent salary of $70k which goes a long way in the Midwest or over seas.
You could start buying income producing assets.<p>You could buy real estate and rent it out.<p>You could also buy an existing profitable business from a motivated seller (owner is wants to retire or tired of the business). Then you use your tech skills to add value to the business. This is potentially less risky than starting one from scratch but you got to pick a good deal.<p>Also how are your finances? Credit Score? Any bad dept? do you have an emergency fund? Are you living paycheck to paycheck? If you are planning to do this you should definitely get your finances in order. You cant focus on making more money on a sinking ship.<p>You are earning a lot than most people. It's completely in your reach to become a multi millionaire if you make the right financial decisions. Go for it and strive for financial independence.<p>Also how are your expenses? If you are living in silicon valley I imagine that the bills there getting a large chuck of your income plus the taxes in California.
Probably not, but honestly I'd try helping with an early startup that is trying to solve problems that truly matter e.g. immunotherapies. You may be rewarded well in case the company grows and you are an early employee. And it will bring a lot of satisfaction. Maybe you can do this during a FAANG sabatical, to hedge your options.
Sheesh, I'm making 18k$ a year after taxes, after 6 years at the current company. Basically, you'ved earned in one year what I would earn in half of my career.
Assuming that financial growth is your main motivation, here are few more examples:<p>- Change industries - move into finance, look for small proprietary trading shops. Depending on your skill level, this may (or may not) yield better total compensation levels<p>- Lower your taxes (may not be possible if you are from the US, but I did not make any assumptions). You can do so by changing countries, changing legal entities<p>- Lower your cost of living through remote work and geoarbitrage. 350k in NYC may buy you the same life as 200k in West Chicago. Bonus points if you can remote from Asia or South America. Morphing into this arrangement from an on-premises job is easier than looking for remote work right away<p>- Diversify active income streams - 2 part time jobs might give a better yield than 1 full time. Make sure there is no conflict of interests<p>All of these will eventually plateau, together with your development skills. At that point, the only way to grow is to diversify into skills that scale better (go into management, go into consulting, start companies, teach courses).<p>Hope this helps.
I think this thread gives you some great answers. I'd only add to think about exactly what you want from that extra money since there are ways to optimise your life for enjoyment without it. I'm older than you and I don't earn anything near what you do and probably never will but I work for myself, pick my projects, tech stack and hours and generally work around 20 - 30 hours per week. I fill the rest of my time with personal projects, hobbies, friends and family and live in a pretty affordable place.
If you are struggling with your bills, you could consider talking to your financial institution or ask some fellow HNers to help.<p>Why exactly do you need more money?
Build your own product. Start your own company. Take it public or sell it. That's really the only way to make significantly more dough than you already are. It carries risk - but at your age, with the money you've been earning, you should be able to weather a storm or two. Good luck!
If you are very good (top 1% of employees), the max comp even for individual contributors is far higher than 350k/yr.<p>It's not uncommon for senior staff engineers to be making 1M/yr all-in. But this is for people leading important efforts, who it would be considered damaging to lose.
I'm probably pointing out the obvious, but if you're not able to find higher earnings, there's always trying to achieve goals and find fulfillment in other parts of your life, e.g. home improvement, investing, family, etc.
Yes. My income is comparable and I work at a private company. Full cash comp. Salaries are generally high but I took a few risks and my earnings have compounded based on that. I’m currently a IC but on track for leadership.<p>A lot of it is politics.