Can someon...

Question

Can someone please lay out the difference between total comp and OTE? Let’s say I’m an Enterprise rep asking for $175k base and $350k ote. How is that laid out? Would they include the sign on bonus to that OTE or is that in addition along with RSUs?

Current Employee · Accepted Answer

$175K base would have an additional variable comp (100% to quota payout) of $117,250. This is because of our Tech 67 plan, meaning, your potential commission is always 67% of your base salary. You now have $292,250 (base + VAR). For an OTE of $350K, RSUs/signing bonus would make up the gap.

Current Employee · Answer

Unlike any other tech company, Amazon includes stock (RSUs) in the calculation of OTE so it's important to understand that. For example in my OTE, stock was almost 20%, which meant my base salary plus at risk commission at 100% of plan was lower than coming from previous company. It all worked out for me since I have made my number every year, been awarded more stock and that stock has gone up.

As for base plus commission, when I joined it was 60 / 40 split. 60 base/ 40% at risk. Add RSUs and that's your OTE.

RSUs will / is becoming a smaller portion of OTE I believe going forward especially for anyone under Level 7 Sr. Account Manager.

So yes, OTE at AWS includes Stock always.

Current Employee · Answer

Yes, they’ll include the sign on bonus and RSUs as part of total comp/OTE. Most AEs are on 60/40 base/variable, so that would make up roughly 90% of total comp and the remaining ~10% would be sign-on bonus (Y1-2) and the RSUs (Y3-4).

Current Employee · Answer

The one detail I see that’s missing from the other answers is your signing bonus will be replaced by RSUs. So say $48k of that OTE is stock, you’ll have an additional $40k in payroll for the first two years and if you’re hired at $200/share, starting in year 3, you’ll get 100 shares every 6 months

Current Employee · Answer

85-90% of OTE is tied to a combination of base and variable compensation. This is split 60% for base and 40% for variable. Which means if your base + variable = $300K then your base would be $180k and your variable at 100% would be $120K. The other 10-15% of OTE is earned through stock grants awarded over the course of the compensation year. Using your $350K figure, the stock (i.e. $50K) would get you from $300K (i.e. base + variable) to $350K OTE.

Former Employee · Answer

AWS doesn't have a traditional OTE structure that I have experienced from other sales orgs. You have your basic salary, and if you hit your target, you receive 54% of your basic salary on top of your basic salary as your OTE. So it will not be a 50/50. 
I received a sign on bonus and RSUs

Current Employee · Answer

OTE is only referencing base and variable (commision). When planning each year, HR and leadership look at Amazon as a "total comp" company. This includes not only your base and variable but RSU's and any cash bonuses you might be getting as well. It is not inclusive of any SPIFs you can get in this role (there is a lot of money to be made there)

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Anonymous Q&A

Can someone please lay out the difference between total comp and OTE? Let’s say I’m an Enterprise rep asking for $175k base and $350k ote. How is that laid out? Would they include the sign on bonus to that OTE or is that in addition along with RSUs?