Calculator Inputs
Example Data Table
| Base Salary | Target Bonus % | Performance Multiplier | Company Multiplier | Extra Bonuses | Expected Gross Bonus | Present Value |
|---|---|---|---|---|---|---|
| $85,000 | 12% | 1.10 | 0.95 | $4,000 | $16,073.10 | $11,855.42 |
| $120,000 | 18% | 1.20 | 1.05 | $10,000 | $38,930.72 | $27,498.94 |
| $65,000 | 10% | 0.90 | 0.85 | $2,500 | $6,818.00 | $5,187.06 |
Formula Used
- Target Bonus Value = Base Salary × (Target Bonus % ÷ 100)
- Performance-Adjusted Bonus = Target Bonus Value × Performance Multiplier × Company Multiplier
- Cash Bonus Subtotal = Performance-Adjusted Bonus + Retention Bonus + Signing Bonus
- Realized Stock Value = Stock Grant Value × (Stock Realization % ÷ 100)
- Gross Bonus Package = Cash Bonus Subtotal + Realized Stock Value
- Expected Gross Bonus = Gross Bonus Package × (Payment Probability % ÷ 100)
- Net Expected Bonus = Expected Gross Bonus × (1 − Tax Rate)
- Present Value = Net Expected Bonus ÷ (1 + Annual Discount Rate ÷ 12)Months to Payout
How to Use This Calculator
- Enter your annual base salary and official target bonus percentage.
- Set individual and company multipliers based on likely performance outcomes.
- Add retention, signing, and stock-linked bonus amounts where relevant.
- Estimate how much stock will realistically vest or remain valuable.
- Apply your effective tax rate and the probability of actual payout.
- Use months to payout and discount rate to reflect timing value.
- Submit the form to compare gross, expected, net, and present values.
- Download the result summary as CSV or PDF for offer comparisons.
FAQs
1. What does this calculator estimate?
It estimates the practical value of a bonus package after adjusting for performance, company results, taxes, payout probability, stock realization, and payment timing.
2. Why use a payment probability?
Not every bonus pays exactly as promised. Probability helps convert an optimistic target into a realistic expected value for career comparisons.
3. Why include a discount rate?
Money received later is worth less today. A discount rate captures opportunity cost, inflation pressure, and delayed access to cash.
4. Should stock be counted at full value?
Usually no. Stock may vest over time, fluctuate in price, or depend on employment milestones. The realization percentage lets you model that uncertainty.
5. Is this only for annual bonuses?
No. You can use it for signing incentives, retention awards, milestone bonuses, or mixed cash and equity compensation packages.
6. What tax rate should I enter?
Use an estimated effective withholding or marginal rate relevant to bonus income in your situation. It is a planning estimate, not tax advice.
7. How can this help with job offers?
It reveals whether a higher headline bonus truly beats another offer after risk, timing, taxes, and stock uncertainty are considered.
8. Can I export my results?
Yes. After calculating, use the CSV button for spreadsheet analysis or the PDF button for a printable summary.