How to Compare Two Job Offers (Beyond Just Base Salary)

Comparing two job offers feels deceptively easy. One has a higher base, the other has more equity. One is in San Francisco, the other in Austin. Most people fall into the trap of comparing the first numbers they see — base salary plus sign-on bonus — and ignore everything else. By the time they realize the “smaller” offer was actually worth $80,000 more over four years, they’ve already signed.

The four hidden levers most people miss

When two offers land in your inbox, your eye gravitates to the headline base salary. But base is only one of seven components that determine total compensation. The full list includes base salary, sign-on bonus, annual target bonus, RSU grant (and its vesting schedule), 401(k) match, employer-paid health insurance, and miscellaneous benefits like remote stipends and PTO. A high-base offer with a stingy 4% 401(k) match and 10 days of PTO can be worth less, year-over-year, than a lower-base offer with 25 days of PTO and a 10% 401(k) match.

Worked example: Big Tech vs Mid-Stage Startup

Consider two real-world offers for a senior software engineer. Offer A is from a large tech company in San Francisco: base salary $185,000, sign-on $25,000, annual bonus target $27,750 (15%), RSU grant $250,000 vesting over 4 years with a 1-year cliff, 5% 401(k) match capped at 5% of salary, $14,000 in employer-paid health premium, and 20 PTO days. Offer B is from a mid-stage startup in Austin: base $200,000, sign-on $15,000, annual bonus target $20,000, RSU grant $180,000 over 4 years, 4% match capped at 4%, $11,000 in health premium, and 25 PTO days.

Component	Offer A (SF)	Offer B (Austin)
Base salary	$185,000	$200,000
Sign-on (year 1)	$25,000	$15,000
Annual bonus	$27,750	$20,000
RSU vested (year 1, after cliff)	$62,500	$45,000
401(k) match	$9,250	$8,000
Health insurance value	$14,000	$11,000
PTO cash equivalent (20 / 25 days)	$14,231	$19,231
Year 1 total comp	$337,731	$318,231
4-year total comp	$1,261,500	$1,084,924

On raw 4-year gross, Offer A wins by about $176,000.

Cost-of-living changes the answer

San Francisco’s overall Cost of Living Index sits at roughly 96 (with NYC = 100), while Austin sits around 65. After accounting for California’s 9.3% top marginal state income tax versus Texas’s 0%, the after-tax purchasing power picture shifts dramatically. Offer A’s $1.26M nominal becomes roughly $750,000 in “NYC-equivalent purchasing power.” Offer B’s $1.08M nominal becomes roughly $900,000 in equivalent purchasing power because of cheaper housing, no state income tax, and lower groceries. The Austin offer wins decisively on real lifestyle terms, even though it loses on nominal compensation.

The vesting schedule trap

Most companies use a standard 4-year RSU schedule with a 1-year cliff, but the distribution within those four years varies widely. Some employers vest 25% per year evenly. Others use a back-loaded schedule like 10% / 20% / 30% / 40%, which heavily punishes early departures. Always ask for the exact vesting percentage by year before signing — it can dramatically change which offer is “better” if you suspect you might leave within 24 months.

Five questions to ask before you sign

Before you accept either offer, request written answers to these five questions. First, what is the exact RSU vesting schedule (year-by-year or quarter-by-quarter percentages)? Second, is the 401(k) match vested immediately, or does it vest over time? Third, does the bonus pay out 100% even if the company misses its targets, or is it tied to corporate performance? Fourth, what is the health insurance deductible and out-of-pocket maximum? Fifth, is the sign-on bonus subject to clawback if you leave within 12 months? Clear written answers to these questions are the difference between a great offer and an expensive trap.

Run the numbers, not the vibes

The single biggest mistake job seekers make is choosing the offer that “feels right” rather than the one that survives the math. Use the Compare Two Offers tool to paste in both packages side-by-side. The verdict banner at the top tells you instantly which offer wins on 4-year gross compensation and which wins on cost-of-living adjusted purchasing power. If you still need help drafting a counter-offer, the Negotiation Script Generator writes three battle-tested versions in under a minute.

For more on how to value an individual offer in detail, see our Offer Analyzer walkthrough — it breaks down RSU vesting, 401(k) match, and PTO equivalence into a single number you can defend in any negotiation conversation.