A job offer arrives with one number that feels like the answer — the base salary — and three or four other numbers that feel like complications. Candidates often optimize the base, accept whatever the rest is, and only later realize they left $30-80K on the table by ignoring the levers they could have pulled.

This post is how to read a total-comp offer correctly, what each component is actually worth, and which numbers to discount versus take at face value.

The typical component split

A mid-senior tech role at a US company usually has a target-comp mix that looks roughly like the breakdown above: most weight on base, a meaningful chunk in equity, a smaller bonus, and a one-time signing piece. The exact ratio varies sharply by company:

• Pre-IPO startups lean heavier on equity. The risk-adjusted value of pre-IPO equity is wide (could be 0, could be life-changing).
• Public big-tech sits closer to the breakdown above — significant RSUs, moderate bonus, base is the floor.
• Consulting and finance lean heavy on bonus as a percentage of total comp — 30-60%.
• Government and non-profit are usually base-only with strong benefits and pension instead.

The key insight: total comp is the right unit of comparison across offers. Two offers with the same base can be 25-40% apart on total.

What each component is actually worth

The mistake candidates make is treating every dollar of total comp as equally real. They're not. Each component has a different reliability discount.

Base salary is the most reliable line. It hits your account every cycle, doesn't depend on company performance, and is the floor you can plan your life around. Treat as 100% real.

Bonus at-target is overestimated. Most companies pay 70-90% of target on average across the workforce; very few pay 100%. If your offer letter says "10% bonus at target," budget for 8%. For new hires, the first year is often pro-rated (you started mid-year) — clarify this before signing.

Equity is the component with the widest valuation range:

• Public-company RSUs with active trading volume — treat at face value minus tax. The grant value the offer letter shows is real, modulo stock-price movement over the vesting window. Most companies vest over 4 years with a 1-year cliff.
• Pre-IPO equity — treat at zero until liquidity. Model the upside separately. The "current value" in the offer letter is based on a 409A valuation that's typically 30-50% below the last preferred-round price, and your common stock will likely be worth less than that at exit. If the company doesn't IPO or get acquired, your equity is worth nothing.

Signing bonus is real cash, but check the clawback. Most signing bonuses have a 1-2 year vesting clause — if you leave before then, you owe it back. If you have any reason to think you might leave within 12-24 months, the signing bonus is partially illusory.

401k match is real money if it vests on a reasonable schedule. Some companies vest the match immediately; others use a 4-year cliff. Read the plan document.

Why negotiating total comp beats negotiating base

Most companies have rigid base-salary bands by level. The recruiter has explicit permission to pay you between $X and $Y in base — exceeding the band requires VP+ approval and is granted maybe one in twenty times.

Equity, signing bonus, and bonus target all have more flexibility. The recruiter can usually flex one or two of these without breaking their band guidance. A candidate who anchors on total comp opens these levers; a candidate who anchors only on base forces the negotiation into the company's most-constrained variable and gets stuck.

Practical framing for negotiation:

"The base is close to where I need to be, but the total package is 8-10% below my other active conversations. Is there flexibility on the signing bonus or equity refresh to close that gap?"

This is concrete, anchors on total, and gives the recruiter two specific levers to work with. For the full script, see negotiating-the-first-offer-script. For the lowball case, see lowball-offer-response-scripts.

Comparing two offers with different mixes

A common dilemma: Offer A has $180K base + $20K bonus + $80K equity/year. Offer B has $200K base + $5K bonus + $40K equity/year. Which is better?

Total comp:

• A = $180 + $14 (70% of bonus) + $80 = $274K (if equity is public RSU); $194K (if equity is pre-IPO and you discount it heavily)
• B = $200 + $3.5 + $40 = $243.5K

On paper, A wins by $30K. But that gap depends heavily on whether you trust the equity. If A is a public company, A is the better offer. If A is a Series C startup and B is publicly traded, B may actually be the safer, higher-real-value choice.

The honest framing: total comp is the comparison unit, but each component has a confidence interval. Don't compare $X to $Y as if both are equally certain.

Components candidates often forget

A few less-visible components that can materially shift the comparison:

PTO and parental leave. Three weeks vs. unlimited isn't the comparison — actual culture around taking time off is. Ask how much PTO senior engineers typically take.

Remote allowance / home-office stipend. $1,500-3,000 one-time, sometimes recurring annually.

Health insurance. A company that covers 100% of premiums vs. one that covers 70% can be a $4-8K/year difference for a family.

Equity refresh policy. Some companies give annual equity refreshes (real). Others promise them informally (less real). Ask for the policy in writing.

Promotion velocity and band overlap. Less tangible but matters. A company that promotes you in 18 months at a slightly lower offer is often the better long-run pick.

What about restricted cash, deferred comp, and exotic structures?

Senior offers sometimes include restricted cash, deferred compensation, or other structures. The principle holds: discount by the realistic probability of receiving it. Restricted cash with a 2-year cliff is worth less than vested cash. Deferred comp at a private company is worth less than the same amount at a public one. If you can't model the realistic value, ask the recruiter to model it for you in a one-page comparison.

For senior-leader offers, the negotiation often hinges on these less-visible components. See rsu-equity-evaluation-on-offer for the equity-evaluation playbook.

What this isn't

A few clarifications:

• It's not a recommendation to maximize cash. Sometimes equity is the right bet — at a strong public company or a high-conviction startup. The point is to value it correctly, not to refuse it.
• It's not the same calculation at every level. At junior levels, base dominates. At senior levels, equity often dominates. Adjust the analysis to where you are.
• It's not advice to take every offer apart for the recruiter. Negotiate respectfully and within the windows the recruiter gives you. Total-comp framing is a tool, not a hammer.

The short version: compare total comp, not base. Discount components by their reliability — base at 100%, bonus at 70-90%, equity by company stage and stock liquidity, signing bonus minus the clawback risk. Negotiate on the components with the most flex (usually signing and equity), not the one with the least (base band).