How Much Equity Does Spotify Give?

Spotify is one of the most influential music streaming companies in the world, boasting more than 600 million monthly active users as of 2025. With its global presence and innovation-driven culture, it’s also one of the most sought-after employers in the tech and media industries. Beyond salaries and perks, one of the most common questions people ask is: how much equity does Spotify give to its employees?

Equity compensation has become a standard part of tech company job offers, especially for roles in product management, engineering, data science, and design. Understanding Spotify’s approach to equity helps prospective employees, investors, and job seekers evaluate the long-term value of working at the company.

What Does Equity Mean in the Context of Spotify?

Equity compensation typically refers to stock options, restricted stock units (RSUs), or employee stock purchase plans (ESPPs) that allow workers to own a portion of the company. For Spotify employees, this means the chance to share in Spotify’s financial growth and market success.

Spotify went public in April 2018 via a direct listing on the New York Stock Exchange (NYSE: SPOT). Since then, its equity structure has been transparent but also highly competitive compared to other big tech companies. Instead of simply offering base salaries, Spotify includes equity grants in many employee packages to attract and retain top talent.

How Much Equity Does Spotify Give to Employees?

Spotify does not disclose exact equity amounts in job postings, but reports from employees and compensation databases like Levels.fyi, Glassdoor, and Blind provide insights. Based on aggregated data:

• Entry-level roles: Equity grants typically range between $5,000 and $20,000 USD in RSUs per year, depending on the role and location.

• Mid-level roles (engineers, product managers, designers): Grants average between $20,000 and $70,000 annually.

• Senior-level roles: Equity can exceed $100,000 annually, with refreshers provided each year.

• Executives and directors: Packages often include $200,000+ in equity annually, sometimes reaching into the millions for top executives.

Equity is usually distributed as RSUs (Restricted Stock Units) rather than traditional stock options. RSUs at Spotify typically vest over 4 years, with 25% vesting each year. This structure encourages employees to stay longer, ensuring alignment with the company’s growth.

Comparison: Spotify Equity vs. Other Tech Companies

Spotify’s equity packages are competitive but differ from U.S.-based tech giants like Google or Meta.

Spotify’s equity is somewhat smaller than Silicon Valley giants but still substantial compared to European-based tech firms. The value also depends on the stock price — as of August 2025, Spotify’s stock trades around $260–$280 per share, which is significantly higher than its IPO price of $165.

Why Does Spotify Offer Equity?

Spotify’s compensation strategy is designed to balance cash salary, benefits, and equity ownership. Equity serves three main purposes:

1. Retention – A 4-year vesting schedule incentivizes employees to stay with the company longer.

2. Alignment – Employees directly benefit from Spotify’s success, creating a sense of ownership.

3. Recruitment – Competing with U.S. tech companies requires attractive equity packages to lure global talent.

Spotify also has a Remote-First Work Policy, introduced in 2021, allowing employees to work from anywhere. By combining flexible work with equity, Spotify appeals to top-tier professionals worldwide.

Real Employee Data on Spotify Equity

According to Levels.fyi, here are some reported equity packages at Spotify (values are annualized):

• Software Engineer I (Stockholm): $12,000 equity grant

• Data Scientist (New York): $28,000 equity grant

• Senior Product Manager (London): $55,000 equity grant

• Engineering Manager (New York): $120,000 equity grant

• Director of Engineering (Remote U.S.): $210,000 equity grant

These figures vary based on negotiation, location, and role seniority. Employees in the U.S. often receive higher equity packages compared to those in Europe due to market differences.

How Spotify’s Equity Has Performed

Since going public, Spotify stock has experienced volatility but long-term growth.

• IPO Price (2018): $165

• Peak Price (Feb 2021): $387

• Low Point (Nov 2022): $69

• Current Price (Aug 2025): ~$270

This means employees who received equity grants in 2019–2020 and held through the downturn may now see significant gains. For example, a $50,000 equity grant in 2020 could now be worth more than $100,000 depending on vesting and stock performance.

How to Negotiate Spotify Equity

If you’re applying for a role at Spotify, here are some negotiation tips:

1. Ask about RSU refresh cycles – Does Spotify grant new equity each year?

2. Understand vesting schedules – Confirm whether vesting is annual, semi-annual, or quarterly.

3. Consider stock price history – Evaluate long-term value rather than short-term fluctuations.

4. Leverage competing offers – If you have an offer from Google, Meta, or Amazon, use it to negotiate for higher equity.

5. Think about location – Equity grants may be higher in high-cost-of-living areas like New York versus Stockholm.

Common Questions About Spotify Equity

Q: Does Spotify give equity to all employees?
A: Not every employee receives equity. Most corporate, engineering, and product roles include equity, while some support or entry-level roles may not.

Q: How long do equity grants last?
A: Spotify RSUs typically vest over four years, with 25% vesting annually.

Q: Can you sell Spotify RSUs immediately after vesting?
A: Yes, once they vest, RSUs are converted into Spotify stock (SPOT) and can be sold on the open market.

Q: Does Spotify offer an Employee Stock Purchase Plan (ESPP)?
A: As of 2025, Spotify does not offer an ESPP like Microsoft or Apple. Equity comes mainly through RSUs.

Q: Do interns get equity at Spotify?
A: No, interns typically receive only cash compensation and benefits.

Conclusion

So, how much equity does Spotify give? It depends on the role, level, and location — but typically ranges from $5,000 to over $200,000 annually in Restricted Stock Units. While smaller than the packages offered by Silicon Valley giants, Spotify equity still represents a meaningful portion of total compensation, especially when combined with flexible work policies and global mobility.

For students, recent graduates, or experienced professionals, understanding Spotify’s equity plan is key to evaluating the true value of a job offer. Equity is not just about numbers — it’s about long-term potential. With Spotify’s strong market position and global reach, owning a piece of the company could be a valuable investment in your career future.