Before OpenAI, the average person’s familiarity with AI was more along the lines of Terminator than LLMs. But in just a few years, OpenAI has turned ChatGPT into a household name and has been a driving force in AI’s proliferation. Meanwhile, the company has transitioned its core business from a non-profit structure into one of the most valuable private companies in the world, and it’s also on the verge of an IPO.

While going public could unlock significant wealth for employees, the equity comp picture has been more convoluted than at most startups.

After transitioning to a capped for-profit model in 2019, OpenAI apparently started offering Profit Participation Units (PPUs), which resemble equity but technically grant the owner profit-sharing rights instead of ownership rights.

Because these PPUs provide owners with a share of the company’s future potential profits, they don’t inherently track OpenAI’s exponential rise to its $852 billion post-money valuation after a funding round that closed in March 2026.

However, employees have seemingly been able to sell these PPUs as basically a proxy for equity in tender offers, although not necessarily in line with the valuation trajectory. Even if the PPUs did track equity, OpenAI has had different growth caps on these units over these years, in accordance with its earlier capped for-profit model.

When OpenAI first switched to a capped for-profit model, it noted that its first investors had returns capped at 100x. So it’s possible that early employee PPUs had the same deal. Then, as of at least mid-2023, employee PPU returns were capped at 10x, according to Levels.fyi. But shortly after, that cap may have shrunk further to 4x.

At some startups, these caps wouldn’t be a problem, but for one growing as quickly as OpenAI, it may have limited some returns. Also, OpenAI PPUs reportedly had a two-year lock, limiting new employees from quickly cashing out amidst new funding rounds.

As of 2026, however, OpenAI has moved away from PPUs to double-trigger RSUs for new employees, more in line with similar late-stage private companies. And with the company

moving away from the capped for-profit model to a public benefit corporation in 2025, OpenAI has also seemingly converted existing PPUs into uncapped traditional equity.

That could explain why some early employees reportedly sold equity recently at over a 100x return, according to the Wall Street Journal, when OpenAI let current and former employees sell up to $30 million in equity each earlier this year. About 75 took full advantage of this ceiling, and altogether, over 600 employees sold $6.6 billion, meaning the average sale was about $11 million.

Going forward, OpenAI’s equity comp picture seems like it will be more traditional, and if it goes through with its rumored IPO soon, then employees could soon access even more liquidity. OpenAI also recently removed its equity-vesting cliff for new employees to help recruitment, amidst AI talent wars.

Still, equity is just one part of OpenAI’s total compensation. The company has some of the highest total compensation in tech, with competitive base salaries, large equity packages, and generous benefits.

To help you get a better understanding of what total compensation looks like at OpenAI in 2026, and what the financial implications are of working at and holding equity in OpenAI, we’ve put together this guide.

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OpenAI Pay Breakdown

The median total compensation at OpenAI is $611,818 per year, according to Levels.fyi. However, take that median with a grain of salt, as it reflects a workforce weighted toward more senior and technical roles than some more diversified competitors like Meta and Google. There’s also a smaller sample size of salary data at OpenAI vs. some larger tech companies.

That said, OpenAI does still seem to be near the top, especially when comparing similar roles.

For example, an L4 software engineer at OpenAI earns $612,000 per year in average total compensation. Direct comparisons are tricky, as some reports suggest that OpenAI’s levels map -1 to FAANG — e.g., an OpenAI L4 is a Google L5 — but it’s not entirely clear. An OpenAI L2, for example, is classified as entry level by Levels.fyi, instead of there being an L1. But it’s possible that OpenAI’s version of entry level is more senior than others’.

That said, if we assume that an OpenAI L4 roughly aligns with other L5s at Google, Meta, and Perplexity, or senior software engineers at Anthropic, then OpenAI comes out on top.

OpenAI Senior Software Engineer Annual Total Compensation Comparison (U.S.)

Source: Levels.fyi, as of 06/08/2026 | Levels among different companies may not fully align

Comparisons aside, it’s clear that OpenAI pays significantly, and not just for senior software engineers. OpenAI reportedly has not allowed for much pay negotiation in the past, although that might have started to change in recent months.

Still, across levels and functions, OpenAI compensation tends to be high. However, much of this is weighted toward equity comp, as we’ll examine more in this guide

OpenAI Compensation by Level and Role

At some of the highest levels, OpenAI pays over $1 million per year, particularly for technical roles like software engineers.

OpenAI Software Engineer Average Annual Comp Breakdown (U.S.)

Source: Levels.fyi, as of 6/08/2026

But software engineers aren’t the only ones pulling in significant comp. Hardware engineers appear to also be paid on the high end, as OpenAI pushes into areas like AI infrastructure, including developing its own AI chips, as well as rumored consumer products.

While hardware engineer data isn’t as comprehensive as it is for software engineers, L6 hardware engineers at OpenAI average $1.2 million, split across $325,000 in base salary and $875,000 in stock.

Many non-technical roles also pull in significant compensation, but it varies significantly. Data is thin, but for some roles like marketing and IT, OpenAI pays well in the grand scheme of things, but not necessarily at the highest levels, even for companies outside of tech.

OpenAI Sample Average Annual Comp Range for Other Roles (U.S.)

Source: Levels.fyi, as of 6/08/2026 | Data for other levels is currently unavailable.

OpenAI Base Salary

Base salaries at OpenAI are competitive with other major AI and tech companies, but not exorbitant. Instead, it’s the equity comp side of the equation that tends to push OpenAI total comp toward the top.

For example, from an L2 to L6 software engineer at OpenAI, the average base salary ranges from $170,00 to $395,000, which means their base salaries account for roughly one-third to two-thirds of total compensation.

Meanwhile, an L6 hardware engineer at OpenAI earns an average base salary of $325,00 — $70,000 less than an L6 software engineer, but equity pushes the hardware engineer’s total comp to almost the same as an L6 software engineer.

Here, an L6 hardware engineer’s base salary accounts for 27% of total comp.

OpenAI Equity Comp: From PPUs to RSUs

As mentioned, OpenAI’s equity comp wasn’t always so straightforward. In the past, the company used PPUs, which are not technically stock grants, even though they largely function like them.

However, PPUs seemingly left early OpenAI employees more in the dark about their total comp, while putting more faith in their employer.

Because a PPU provides a share of profits, the underlying value technically came from OpenAI’s ability to become profitable, which the company had said likely wouldn’t happen until achieving artificial general intelligence (AGI), according to Levels.fyi. Also, while OpenAI reportedly told employees the expected value of these PPUs, new hires didn’t know how many units they were receiving or their total percentage of ownership in future profits.

Moreover, these PPUs faced two-year lockups and capped returns in the past, given OpenAI evolving corporate structure, which potentially prevented some employees from maximizing their comp.

Still, investors have apparently been willing to purchase PPUs in tender offers, providing some early OpenAI employees with liquidity. But these units don’t necessarily track equity prices directly, so it’s hard to fully evaluate their value.

As of 2026, however, OpenAI has moved to granting new employees double-trigger RSUs, while converting PPUs into traditional equity, too, amidst the company’s transition into an uncapped for-profit model.

So, going forward, OpenAI’s equity comp appears to be more in line with similar tech companies. Like Anthropic, for example, the double-trigger RSUs have a time and liquidity component. Given that the company appears on track for an IPO soon, though, the liquidity trigger is not as much of an unknown variable as it might be at other startups.

OpenAI Equity Vesting Schedule

In the past, OpenAI reportedly had a 1-year equity vesting cliff (later changed to six months) and monthly vesting, but it has since transitioned to having no cliff, while equity vests quarterly over four years, according to Levels.fyi.

OpenAI RSU 4-Year Vesting Schedule

Source: Levels.fyi, as of 6/08/2026

OpenAI Bonuses

Bonuses at OpenAI seem to be relatively rare. Reportedly, the company does not give regular performance bonuses or sign-on bonuses, but different types of bonuses do happen from time to time. The company did notably give large retention bonuses to technical staff in August 2025, amidst significant AI talent competition. These bonuses ranged from $300,000 for new hires to $1.5 million for some high-level staff, according to Levels.fyi.

OpenAI Benefits

In addition to offering high pay, OpenAI also offers very competitive benefits, especially for a company of its size (several thousand) vs. tech giants with tens of thousands of employees. However, the company reportedly has a tough work/life balance, so what might be a benefit at some companies, like unlimited PTO, isn’t necessarily a perk at OpenAI.

That said, some of the main benefits include:

• Health and well-being: Health benefits vary by location, according to OpenAI, but employee reviews on Glassdoor suggest that in the Bay Area, at least, OpenAI covers 100% of health insurance premiums, including for families. OpenAI also provides:
  • Dental insurance
  • Vision insurance
  • Mental health support and services
  • Life and AD&D insurance
  • Business travel insurance including for dependents you’re traveling with (unclear exactly what’s covered, but travel insurance often has a medical component for when your regular health insurance doesn’t apply)
• Fertility and family planning benefits: OpenAI reportedly covers up to $45,000 in fertility treatments.
• Paid parental leave: OpenAI gives 24 weeks for the birthing parent and 20 weeks for non-birthing parent, plus up to 4 weeks WFH after paid leave, which is on the high end of paid parental leave across industries.
• 401(k) with a 50% match and mega backdoor Roth: One of OpenAI’s top financial benefits is its 50% 401(k) match, while also allowing for mega backdoor Roth contributions. That means, for 2026, employees can make a combined $72,000 in pre- and post-tax contributions, including employer matches, which provides a valuable way to save for retirement. In comparison, the traditional max of $24,500 for employee elective deferrals — while significant — might not quite align with the amount a highly paid tech worker wants to save for retirement to maintain their standard of living.
• Daily meals and snacks: Employees get three full meals a day in-office, along with drinks and snacks.
• Learning and development: Employees get an annual L&D stipend, plus a budget to use on domestic conferences.

Understanding the Financial Implications of OpenAI Compensation

OpenAI’s total comp numbers are among the highest in the industry, but the financial picture has had many moving parts.

Early employees may have cashed in their PPUs during previous tender offers — perhaps at capped values below what comparable stock could have fetched elsewhere — while those who held on might now hold uncapped equity that they could potentially sell on the open market in the not-too-distant future. That said, even if OpenAI goes through with an IPO in late 2026, employees likely wouldn’t be able to sell until at least 2027, following any lock-up periods.

For new hires, receiving RSUs makes the equity comp easier to evaluate vs. other tech companies, but even with uncapped returns, the upside might not be as bright as it once was. While it’s hard to say what would happen to OpenAI stock post-IPO, in general, companies usually don’t maintain the same exponential growth after going public.

At the same time, this potentially makes OpenAI’s equity-heavy comp packages less risky, in the sense that employees have more of an idea of what they could sell that stock for.

Ultimately, you have to weigh a combination of factors including your risk tolerance, financial goals, and desire for work-life balance before accepting any offers at OpenAI vs. competitors.

To learn more about how to evaluate OpenAI compensation offers, or to discuss what holding OpenAI equity means for your financial future, book a complimentary consultation today.

FAQs About OpenAI Compensation

What is the average salary at OpenAI?

The median total compensation at OpenAI is $611,818 per year, according to Levels.fyi. While OpenAI does seem to have some of the highest average compensation packages in tech, this median may skew high, based on a more senior, technical workforce composition, compared to some competitors, along with relatively limited reported compensation data at OpenAI.

What are PPUs, and how do they work?

Profit Participation Units (PPUs) are an equity-like instrument that OpenAI previously used as part of its compensation packages. But unlike stock options or RSUs, which can convert to direct ownership in a company, PPUs give the holders the rights to company profits, rather than actual equity. Still, PPUs were largely treated like stock and sometimes sold in tender offers. Now, however, OpenAI has transitioned to RSUs.

Does OpenAI pay more than Anthropic?

Yes, on a median basis, OpenAI pays more than Anthropic, but this is based on limited reported compensation data on Levels.fyi. However, the specific comparisons depend on the level and role, and it’s possible that compensation averages will change over time, given these companies’ ongoing rivalry, along with evolving pay structures (e.g., OpenAI moving from PPUs to RSUs), and these companies appearing on track to IPO soon.

How does the OpenAI IPO affect employee equity?

If OpenAI goes through with its rumored IPO, then that would open up more liquidity to employees, following any lock-up periods. Already, PPUs have seemingly converted into traditional equity, and now employees are receiving RSUs, so it should be more straightforward for employees to calculate the value of their equity that they could sell on the open market. Until then, however, employees might have to wait for another tender offer, if available, or find a secondary market where they can sell shares.

Does OpenAI offer a 401(k) match?

Yes, OpenAI offers one of the most competitive 401(k) matches across tech, with a 50% match, as well as access to mega backdoor Roth contributions.

Information in this article is drawn primarily from publicly reported salaries and related data from sources including Levels.fyi, Glassdoor, Blind, and Reddit, as of June 2026, as well as OpenAI’s careers page, news reports, blogs, and other anecdotal information collected in researching this article.

While efforts have been made to provide accurate data, information presented in this article may not be correct or may be outdated.

This article is for general informational purposes only and is not meant to provide formal financial, legal, or employment advice. Formal financial advice should be sought after from a financial advisor, and confirmation of compensation and benefits should be done with OpenAI’s HR team.