The US is where the biggest startup talent pool, the highest salaries, and the most aggressive competition for candidates collide. If you're a funded startup hiring in America — whether you're based there or expanding from Europe — you need to understand how the game works.
We've placed hundreds of hires at US-based startups and European companies expanding stateside. The US market rewards speed, confidence, and knowing exactly what you're paying for. Here's everything you need to get it right.
If you've only hired in Europe, the US will surprise you.
Speed. American candidates expect a 1-3 week process from first call to offer. In Europe, 4-6 weeks is normal. If you take a month to make a decision in the US, your top candidate has already accepted somewhere else.
At-will employment. No mandatory notice periods (in most states). This cuts both ways — you can move fast on hires, but employees can also leave with two weeks' notice or less. There's no 3-month notice period protecting you.
Compensation expectations. US salaries are 30-60% higher than European equivalents. And candidates expect them. Trying to pay European rates for American talent doesn't work — they'll take one of the 50 other offers on their table.
Benefits matter. Healthcare is not government-provided. Candidates evaluate your health insurance, 401(k) match, and PTO policy as seriously as base salary. A competitive offer with bad benefits loses to a lower offer with great benefits.
Remote is the default. Post-2020, most US startup candidates expect remote or hybrid options. Requiring full-time in-office (especially outside SF, NYC, or Austin) dramatically shrinks your candidate pool.
All figures are annual base salary in USD. Add 15-25% for employer costs (benefits, payroll taxes, 401k match).
Not all US markets pay equally:
The gap is narrowing as remote work spreads, but SF and NYC still command premiums — especially for senior roles.
In Europe, the government handles most of this. In the US, it's on you — and candidates judge you by it.
Health insurance (non-negotiable). Employer-sponsored health, dental, and vision. A good startup covers 80-100% of the employee premium and 50-75% of dependents. Budget $500-$800/month per employee for a competitive plan.
401(k) with match. Standard match is 3-4% of salary. Some startups skip this early on, but it's increasingly expected — especially when competing with bigger companies.
PTO (Paid Time Off). Most tech startups offer "unlimited PTO" which in practice means people take 15-20 days per year. If you offer a fixed policy, 20 days minimum to be competitive. European founders: yes, this is less than you're used to offering.
Equity. Expected at startups. Standard vesting: 4 years with 1-year cliff. IC ranges from 0.01-0.5% depending on stage and seniority. Leadership: 0.25-3%.
Parental leave. Not legally required (federally), but competitive startups offer 12-16 weeks paid. This is a differentiator — especially for senior candidates with families.
Other perks candidates notice: home office stipend ($1,000-$2,000), learning budget, wellness stipend, company retreats.
If you're a European startup expanding to the US, you have three options:
Set up a US subsidiary (usually a Delaware C-Corp or LLC). This is the "proper" way and necessary if you're hiring multiple people, raising US capital, or want to offer proper benefits and equity.
Pros: Full control, proper benefits, equity grants work cleanly, no ongoing per-employee fees. Cons: Setup cost ($5K-$15K legal fees), ongoing compliance (state taxes, federal filings, registered agent), need a US payroll provider (Gusto, Rippling, Justworks). Best for: 3+ US employees, or planning to raise from US investors.
Use Deel, Remote, Oyster, or Velocity Global to hire US employees without your own entity. They're the legal employer; you manage the work.
Pros: Fast setup (days, not months), handles compliance and benefits, works for 1-2 hires. Cons: $500-$700/month per employee, less control over benefits customisation, equity is more complex (often requires a separate agreement). Best for: Testing the US market with 1-3 hires before committing to an entity.
Hire people as independent contractors (1099). Cheapest and fastest option.
Pros: No entity needed, no benefits cost, flexible engagement. Cons: Risky. The IRS has strict rules about contractor vs employee classification. If your "contractor" works full-time, uses your tools, and follows your schedule, they're legally an employee — and misclassification penalties are severe. Also, top candidates won't accept contractor status for permanent roles. Best for: Short-term projects, freelancers, or genuine consulting engagements. Not for full-time team members.
The US isn't one market — it's 50. Here's what matters:
California has the strictest employment laws. Mandatory sick leave, restrictions on non-competes (they're effectively unenforceable), strict pay transparency requirements, and complex final paycheck rules. But it's also where the deepest tech talent pool lives.
New York requires pay ranges in job postings (NYC), has strong anti-discrimination laws, and complex payroll taxes. Manhattan-based roles pay premiums.
Texas and Florida have no state income tax, which makes salary offers go further. Growing startup scenes in Austin, Miami, and Tampa.
Colorado was the first state to require salary ranges in job postings. If you post a remote role visible to Colorado residents, you must include the range.
Remote-first caveat: If you hire remote workers across multiple states, you need to comply with each state's employment laws, tax withholding, and registration requirements. This gets complex fast — it's one reason EORs exist.
You won't out-pay Google. You won't out-benefit Meta. Here's how you win anyway:
Speed. Big companies take 6-8 weeks to hire. You can go from first call to signed offer in 10 days. The best candidates value momentum — if you're excited about them, show it.
Equity upside. FAANG equity is a known quantity. Startup equity is a bet — but it's a bet that could 10-50x. For candidates who want to build, not just collect a paycheck, your equity story matters more than a $20K salary difference.
Impact and ownership. "You'll be our first US hire and shape how we build the American market" is a compelling pitch. Top candidates want to matter, not be employee #4,372.
Title and growth. A Senior Engineer at Google is one of thousands. A Lead Engineer at your startup is building the foundation. Candidates who value career acceleration over prestige are your people.
Mission. If your product solves a real problem, lean into it. Purpose-driven candidates will take a pay cut for work that matters to them.
Offering European salaries. A senior engineer in Amsterdam costs €85K. In the US, that same engineer costs $180K+. If you're not prepared for US compensation, you're not ready to hire in the US.
Slow interview processes. We can't stress this enough. Three weeks max, start to finish. Every extra week, you lose 20% of your candidates to faster competitors.
Ignoring benefits. Offering a great salary with no health insurance is like offering a car with no wheels. Candidates will walk.
Underestimating compliance. US employment law varies by state and changes frequently. Get a good employment lawyer or use a PEO/EOR. The cost of getting it wrong (lawsuits, penalties, back taxes) far exceeds the cost of doing it right.
Treating US hires like remote European employees. Cultural differences are real. American work culture is more direct, more performance-oriented, and moves faster. Adapt your management style.
We've been hiring in the US market since 2019. We understand the salary expectations, the speed required, and the nuances of competing for American talent — whether you're a US-based startup or a European company crossing the Atlantic.
Fixed fees from $4,900 per hire. That's especially powerful in the US market where traditional recruiters charge 20-25% of salaries that are 50% higher than Europe. A $180K engineer costs $36K-$45K through a traditional agency. Through us: $4,900-$11,500.
First candidates in 7 days. Across all 50 states.