Startup salaries in London vs San Francisco
Why headline numbers in the two cities aren't comparable, what's inside a typical offer in each, and how to compare them fairly.
Updated 6 min read
"SF pays more" is the received wisdom, and on base salary alone it usually holds. But an offer is more than a number, and the two cities package pay very differently. If you're weighing a move — or just trying to read a job ad properly — here's how to compare like with like.
Read the number the way it was written
A London salary is almost always quoted as gross annual pay in pounds, before income tax and National Insurance. A San Francisco salary is usually quoted as gross annual base in dollars, before federal, state and payroll taxes. Neither is take-home pay, and the tax systems are different enough that you can't just convert the currency and compare.
Where a company lists a range, it's usually the band for the role, not the offer you'll get. Your level, experience and negotiation move you within it.
What sits around the base
| London | San Francisco | |
|---|---|---|
| Base | Gross annual, in GBP | Gross annual base, in USD |
| Equity | Often EMI options at qualifying UK companies; sometimes unapproved options or growth shares | Usually ISOs or NSOs; later-stage companies may grant RSUs |
| Health | NHS covers you; private health insurance is a common perk | Employer health insurance is a core part of the package and its quality varies a lot |
| Retirement | Workplace pension with a legally required employer contribution | 401(k), sometimes with an employer match |
| Holiday | Statutory minimum plus whatever the company adds | No statutory minimum; policies vary widely, including "unlimited" |
| Bonus | Less common at early-stage startups | Less common at early-stage startups; sign-on bonuses appear more often |
The upshot: a US offer has to fund things — health cover, more of your retirement — that a UK offer partly covers in other ways. Factor those in before you compare.
Equity: the part that's hardest to compare
Early-stage equity is a lottery ticket with a lot of fine print. To compare offers, ask each company the same questions:
- How many options, and what percentage of the fully diluted share count is that?
- What's the strike price, and what was the last valuation?
- What's the vesting schedule and cliff?
- How long do I have to exercise if I leave?
- Has the company done secondary sales or buybacks for staff before?
The tax treatment differs between EMI options and US ISOs/NSOs, and both have conditions. If equity is a big part of an offer, a short session with an accountant who knows startups is money well spent.
Cost of living is real, and personal
San Francisco rent is high by almost any standard, and so is London's by UK standards. How much that matters depends on where you'd live, whether you need a car, childcare, and how long you plan to stay. Build a simple monthly budget for each city with real listings rather than relying on an index.
How to compare two offers fairly
- Convert both to after-tax, after-essentials monthly figures using current rules for each country.
- Put a conservative value on equity — many people value early options at zero for planning, and treat any upside as a bonus.
- Add the benefits that replace costs (health cover, pension contributions, commuter benefits).
- Weigh the non-money things: visa security, the team, the stage of the company and what you'll learn.
Salaries on Ascent
We show a salary band on every role that has one, in the currency it's paid in. Use the Salary min filter on the jobs page to hide roles below your number — and note that some great companies still don't publish pay. When they don't, it's fair to ask for the band before your first call.