How US Compensation Is Typically Quoted
US companies quote compensation in USD, usually as annual amounts. A typical offer might look like:
Base Salary: $150,000/year
Target Bonus: 15% of base ($22,500)
Equity: $200,000 in RSUs over 4 years
This is the total package value, but what you actually receive depends on exchange rates, vesting, and local tax treatment.
Understanding the Structure First
Before worrying about currency conversion or taxes, focus on understanding the structure:
- Base salary: Guaranteed cash paid throughout the year
- Bonus: Performance-based, typically paid annually (not guaranteed)
- RSUs: Company stock that vests over time (usually 4 years)
- Signing bonus: One-time payment, sometimes with clawback provisions
Common Points of Confusion
RSU Grant Value vs. Actual Value
The "$200,000 in RSUs" is calculated at the grant date stock price. By the time shares vest, they could be worth more or less depending on stock performance.
Currency of Payment
While the offer is quoted in USD, you may be paid in local currency at prevailing exchange rates. Confirm this with your employer.
Tax Treatment
RSU taxation varies dramatically by country. Some countries tax at vesting, others at sale, and some have double-taxation treaty considerations. Consult a local tax advisor.
What This Calculator Helps With
CompCalc helps you understand the structure and timing of your compensation:
- See year-by-year breakdown of salary, bonus, and RSU vesting
- Convert values to your local currency for comparison
- Model different stock price scenarios
- Compare total value over 4-5 years vs. just Year 1
Note: This calculator doesn't provide tax advice. Always consult with a tax professional in your country.
Frequently Asked Questions
Will I be paid in USD if I work for a US company remotely?
It varies. Some US companies pay international employees in USD, while others pay in local currency. Your employment contract will specify the payment currency.
Do I still receive RSUs if I work remotely for a US company?
Usually yes. RSU grants are typically part of compensation packages regardless of location. However, the tax treatment varies significantly by country.
How do I compare a US salary offer to my local compensation?
Convert everything to a common currency, account for cost of living differences, and consider that equity often has different tax treatment in different countries. Focus on understanding the structure first.
Model Your US Package
Use our calculator to understand your compensation structure and convert to any currency.
Open Compensation Calculator