OpenAI: $900k Total Compensation for Senior Engineers!

If you’ve ever wondered about the compensation packages at OpenAI, the artificial intelligence company responsible for the innovative ChatGPT, we’ve got some interesting insights for you. Not only is OpenAI leading the AI race, but it’s also setting the pace with highly competitive salaries for top engineering talent. The figures below are sourced from levels.fyi.

Let’s start with the base salary — a whopping $300k appears to be the standard offer for Level 5 (senior) engineers. In a world where top tech talent is highly sought after, OpenAI is making sure its compensation is more than just attractive.

But, it doesn’t stop there. OpenAI’s compensation model brings a unique twist to the table. Instead of traditional RSUs (Restricted Stock Units), the company deals in what are known as PPUs or “Profit Participation Units.” This intriguing acronym deserves a closer look.

Drawing its roots from PIUs (Profit Interest Units), a popular form of equity compensation among private equity-backed startups, PPUs present a customizable, employee-friendly approach. Unlike stock options, employees don’t need to shell out anything to acquire PPUs.

Here’s another exciting aspect — PPUs are not taxed upon issuance or vesting. This is a departure from the norms set by traditional RSUs at public…