null
Rising Star
Related Posts
Mentor
Conversation Starter
What's a normal senior 1 tax salary in philly?
Monthly In hand salary pls..
Additional Posts
Tips on negotiating an offer at BCG Platinion?
Anybody selling Delta GPU lol
New to Fishbowl?
Download the Fishbowl app to
unlock all discussions on Fishbowl.
unlock all discussions on Fishbowl.
Rising Star
That's a huge difference in pay from your asking. Probably not worth the letter and just a short call. Either they can afford you or keep looking.
Rising Star
I misread it. The bonus is the one that skips year one, not the LTI. I thought year one was base plus STI (266.5). My bad.
That’s a really strong offer, congrats OP! I came from industry and believe me, there are not a lot of companies that pay like this (even in this job market).
I agree with others that this is better handled in a conversation and you likely have a better shot at making up the difference in a signing bonus.
Another option would be to push for more generous LTIP if you think you are going to stick it out. Finance teams typically only budget annually and you may have more latitude to negotiate there since the hurdles for approval tend to be lower.
Best of luck!
OP. Clawback aren't designed for one person or role. That's probably part of the executive compensation design. While getting a waiver is possible, it will require a lot of hoops. Like others have suggested, driving up base or sign on will be the easiest way to share the clawback risk with your Hiring Manager.
I have a strict “I don’t give career advice to anyone making 3x my salary” rule because they obviously know more than me. Good luck though.
Pro
The things I would do for 300k TC 😫
300 isn’t much nowadays
You guys are getting paid what now
Rising Star
Congratulations on your offer to join []
Your official role will be Director []. You will earn an annualized salary of $205,000, payable semi-monthly and are eligible
to participate in the following programs:
• [] Short-Term Incentive Program (STI) at a payout target of 30% of your salary. The STI target will be effective for Fiscal Year 22 and will be pro-rated based on your date of hire.
• Additionally, you are eligible to participate in the Company’s Long-Term Incentive Program (LTI) at a payout target of 30% of your average salary for the three-year long-range plan. The first 3-year cycle for which you are eligible is FY22-FY24 which, pending achievement of corporate targets, is expected to be paid out in Fall 2024. Your first payment will be pro-rated based on your date of hire. Thereafter, you will be eligible to receive an annual payment
based on corporate results, without pro-ration.
You will also receive two bonus payments payable within the following timeline:
• $55,000 - At 1 Year of Service
• $55,000 - At 2 Years of Service
Should you voluntarily choose to leave [] within one year of the bonus payouts, you must reimburse [] for the payment.
Agree to not send this in email - have a conversation. My biggest critique is you saying “the retention bonus is structured incorrectly…”. It may not seem correct or what you want - but it may be their standard structure. You are implying they did something ignorant and wrong. Change the language. If you must send an email - do it only to get a conversation - so just put high level bullets on what you want to negotiate or restructure—- like say: I would like to discuss the structure of the Long Term Incentive Plan.
Rising Star
Update: brought it up in the call, did not send email. Gave them a few options on how my concerns can be assuaged. They have chosen to remove the clawback language.
One of the reasons I have posted this and been transparent is for it to be helpful for others.
Thanks
Rising Star
For context, I do think I had good negotiating leverage, apparently they interviewed over 100 people for the role and my experience was a good fit.
That said, asking politely and logically always helps and everyone's comments really helped structure my thoughts.
A one-year clawback is pretty standard from what I’ve seen/experienced. Is there something about the job that makes you think you’d leave prior to the one-year mark after each one?
OP, that makes a little more sense (although the PMO portion might not be a bad gig for a short while IMO).
Rising Star
Thank you everyone for your responses and guidance. It's pretty clear that the email is a no go.
I think in my call tomorrow I will focus on getting the clawbacks removed - keeping the reasoning simple and focusing on how the large % in EOY comp is already a great motivator not to jump ship early. If not then try and find other ways to share the risk.
Personally, I’d be fine with the clawback. If you need to leave you can always have your next company pay it as a signing.
Rising Star
I am tempted to hire AP once I join and then take credit for all the work.
Not sure that will happen.
How about the LTIP? Is that included in the $320k? I thought that is additional
$200 + 30% STIP + 30% LTIP + $55 =$375K?
Typically LTIP is earned every year but has a vesting period of 3 years
Maybe I misread your offer letter
Rising Star
Yes, kicks in after year 3 (based on last three years' performance) - the $55k per year is to tide me over until I get eligible for the LTIP.
Yeah, don’t send that email at all unless you’re not interested in working there. But sounds like you’re gonna do you anyway so good luck
I read you will be eligible this year FY22 but vesting in FY24.
So I guess it depends on how you value that future payment.