this post was submitted on 26 Oct 2024
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That's a mobster-loanshark level cut.
Leaving you with 80% of the revenue you, yourself, directly generate is unheard of in this day and age. If you have anything like a 9-5, you're probably getting around 10-20%. The rest goes to all your bosses, and most importantly of all, the company shareholders.
My wife works as an associate attorney (a lawyer that's not a partner, meaning they don't own the company they work for) and I think she makes maybe 1/4 of what the company bills clients for her time. Of course, some of the money would go towards things like property taxes for the office, bills, etc.
And that's not as bad as someone working in big tech who may make a decent salary (senior developer at Google or Meta is around $270k/year salary plus $300k/year stock) but the company may make hundreds of millions of dollars per year from your work.