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Total Compensation vs Salary: What to Compare
Base salary is the number people announce at dinner. Total compensation (TC) is what you live on: base, bonus, equity, signing, and sometimes benefits that change real cash needs. Comparing offers on base alone is how people "win" a negotiation and lose money.
Related: how to negotiate salary · salary benchmarking · how to accept a job offer
The pieces people mix up
Base. Guaranteed wages. Predictable. Often what loans and apartments care about.
Bonus. Target percentage is not a promise. Ask historical payout rates if the recruiter can share. New hires sometimes have different eligibility windows.
Equity. RSUs, options, or other grants. Vest schedules matter (often multi-year with a cliff). Refresh grants are not guaranteed. Private-company equity needs extra skepticism: valuation, dilution, liquidity timeline. Public RSUs are easier to model but still move with the stock.
Signing / relocation. Year-1 cash that may have clawbacks if you leave early. Read the letter.
Benefits and extras. Health premiums, 401(k) match, stipends, visa support, PTO. Not always in "TC" charts, still real.
A simple year-1 model
Year-1 cash-ish ≈ base + expected bonus + signing + vested equity you can reasonably mark to market (public) or treat conservatively (private). Year-2 drops signing and adds another vest tranche if applicable.
Year-1 ≈ base + expected bonus + signing + vested equity (conservative)
Year-2 ≈ base + expected bonus + next vest tranche (no signing)Example shape (the numbers are illustrative rather than a Magmira promise): Offer A is $150k base, 10% bonus, $20k signing, little equity. Offer B is $140k base, 10% bonus, $0 signing, $120k RSUs over 4 years. Year-1 and year-2 stories differ. Spreadsheet them.
Questions to ask recruiters
What is the bonus target and when am I eligible?
What is the equity grant and vest schedule?
Is there a refresh philosophy?
Any clawback on signing?
Is pay location-based if I move?
For international hires: who covers filing costs, and what happens if timing slips?Write answers down. Memory lies when you are excited.
Negotiation angle
If base is stuck, TC levers might still move: signing, equity, review date, start date. See how to negotiate salary. Do not trade a needed H1B process for a tiny base bump without attorney input.
Worked comparison (illustrative)
| Offer A | Offer B | |
|---|---|---|
| Base | $155k | $145k |
| Bonus target | 10% | 15% |
| Signing | $10k | $0 |
| Equity | Negligible | $100k RSUs / 4 years (public) |
| Other | Strong visa support history | Hybrid 3 days in a costly city |
On napkins, people crown B because "equity." After rent, commute, and year-1 cash, A may win for someone who needs stable take-home during an H1B year. Spreadsheet both. Include taxes at a rough effective rate if you can. Bring a trusted human into the review if the stakes are high.
Where Magmira fits
Magmira focuses on interview momentum through human-reviewed applications inside targeted plans on Momentum, Concierge, or Career Partner. Eligible plans include Magmira's Interview Guarantee as described on Plans. Offer math stays your decision with your spreadsheet and advisors.
Book a call. Or compare plans.
FAQ
Should I always take higher TC?
No. Risk, team quality, learning, commute, and visa stability can beat a paper TC win. Model money, then decide as a whole person.
Do startups hide TC on purpose?
Sometimes ranges are unclear because equity dominates. Ask for grant size and vest in writing. Assume private equity is illiquid until proven otherwise.
Is Magmira paid on your salary?
Magmira sells application packages and related services on Plans. We are not a contingency recruiting firm taking a cut of your offer.
About the author: Manoj Gudala is the founder of Magmira. He wants candidates comparing offers with clear math instead of vibes.