# How do I recruit FAANG talent to my startup?

Source: https://www.getprescience.com/guides/how-to-recruit-faang-talent-to-a-startup
Author: Aditya Jain, MD, Cofounder and COO, Prescience
Published: 2026-10-03
Updated: 2026-10-13
Cite as: Aditya Jain, MD. "How do I recruit FAANG talent to my startup?." Prescience, October 13, 2026. https://www.getprescience.com/guides/how-to-recruit-faang-talent-to-a-startup

I make the health-benefits comparison concrete when recruiting an experienced hire: the employee premium, deductible, out-of-pocket limit, provider network and coverage start date. A startup does not need to copy every large-company perk. It needs an accurate offer that lets a candidate evaluate the coverage without disclosing private medical information.

- **Compare actual documents:** SBC, contribution sheet, network and formulary
- **Coverage timing:** Confirm the exact effective date
- **Illustrations:** Assumptions, not customer stories or quotes
- **Prescience deductible:** Effective $0 deductible

## What senior candidates actually compare

_Chart: Among employed adults whose primary insurance is employer-sponsored, 16% in 2021 and 24% in 2025 reported staying in an unwanted job to retain coverage. The 2025 survey was published in 2026._

I would ask a candidate which benefit features matter, without asking about diagnoses, pregnancy plans or family medical history. Provide the same accurate benefits packet to each candidate for the role. The decision can involve a partner's coverage, a specialist network or a medicine, but those details belong in a private conversation with the benefits administrator if the candidate chooses to share them.

A benefits comparison has several independent parts. Employee premiums recur even in a year with little care. Deductibles affect some services but not necessarily every visit. The out-of-pocket limit applies only to specified covered spending. Provider access and drug coverage can matter even when the premium is lower. I would put these items in separate rows so the candidate can see the trade-offs.

> **About the retained graphic:** West Health-Gallup published the 24% finding in July 2026, compared with 16% in 2021. The newer survey was fielded October 27 through December 22, 2025; the employment analysis included 2,322 respondents relying primarily on employer coverage. The graphic labels the observation year, 2025, separately from its 2026 publication. These population findings do not establish any particular candidate's motives or the value of a startup plan.

Read the [original West Health-Gallup survey](https://news.gallup.com/poll/712166/one-four-employees-locked-jobs-health-insurance.aspx) for the population and field dates behind the graphic.

## Compare the candidate's actual plan documents

There is no single FAANG benefits package. Plan options, contribution policies, employment classes and locations differ. Public recruiting pages often summarize available benefits without establishing the exact eligibility, exclusions or premium for a particular person. I would avoid promising to match an entire company and instead compare the option the candidate actually has with the option your startup will offer.

**Documents for a useful offer comparison**

| Question | Document or check | What to record |
| --- | --- | --- |
| What will leave each paycheck? | Employer contribution and rate sheet | Selected tier, pay frequency and annual employee premium |
| What happens in a high-use year? | SBC and full plan terms | In-network individual and family maximum; exclusions |
| Can I use my clinicians? | Exact network and provider confirmation | Provider location and relevant services |
| Is a medicine covered? | Formulary and pharmacy benefit terms | Drug, dose, tier, authorization and pharmacy |
| Are fertility or other specialized benefits included? | Benefit document and eligibility rules | Coverage limits, exclusions and required providers |
| When does coverage begin? | Eligibility rule and enrollment confirmation | Exact effective date, enrollment deadline and any gap |

> **The SBC does not show everything:** An SBC summarizes cost-sharing and coverage using a standard format. It generally does not provide the employee's payroll premium contribution. Supply the contribution sheet separately. Do not request a pay stub to learn the premium: it contains unrelated salary and personal information.

## The benefits gap in dollars

I would compare annual employee premiums and several care scenarios rather than add two single deductibles and call that a family's likely cost. Family policies can use embedded or aggregate deductibles. A member can also have copays or coinsurance after a deductible. The maximum is a useful covered-care stress test, but it is not an expected annual bill.

**A hypothetical family compares two offers**

Illustrative only. Plan A employee family premium is $300 monthly and its family in-network out-of-pocket maximum is $6,000. Plan B premium is $500 monthly and its comparable maximum is $8,000. Assume covered in-network spending reaches each maximum; ignore excluded and out-of-network costs.

- Plan A annual employee premium: $300 × 12 = $3,600
- Plan B annual employee premium: $500 × 12 = $6,000
- Premium difference: $2,400 annually
- Plan A premium plus covered-care maximum: $9,600
- Plan B premium plus covered-care maximum: $14,000
- Difference in this high-use scenario: $4,400

The low-use premium difference is $2,400; the modeled high-use difference is $4,400. Neither is a universal value for the offer. These are assumed plans, not actual big-tech or Prescience benefits. If a premium is paid pre-tax, its take-home-pay effect also differs from an after-tax medical bill.

Employer health benefits are generally excluded from federal employee income and payroll-tax wages, but tax treatment has exceptions. More-than-2% S corporation shareholders and some dependent coverage need separate review. I would not convert the entire difference into a salary demand using one tax percentage unless every input and tax assumption is stated.

## What a seed or Series A startup can realistically match

**Matching big tech, item by item**

| Benefit | Realistic at seed or Series A? | Rough cost |
| --- | --- | --- |
| 100% of employee premiums | Yes | About $9,325 per employee per year at the KFF 2025 average |
| 100% of dependent premiums | Yes, for a small team | $17,668 illustrative difference between KFF family and single averages, not an upper limit |
| Low deductible and out-of-pocket maximum | Yes, by choosing the plan | Often higher premiums on a standard carrier plan; compare alternatives |
| 12 or more weeks of paid parental leave | Yes, with a written policy | Model salary continuation and applicable offsets under the written policy |
| IVF and fertility coverage | Ask for a compliant plan option | Check covered services, exclusions and eligibility; do not promise an informal tax-free reimbursement |
| GLP-1s for weight loss | Depends on the plan | Ask each quote whether it's covered and with what rules |
| On-site clinics and large wellness budgets | Depends on business needs | Compare against access improvements employees would actually use |

**What it costs a 15-person Series A to cover families in full**

Illustrative, using KFF 2025 average premiums. The company pays 100% of employee coverage and 50% of dependent coverage today. Five employees cover families. It considers paying 100% of dependents too.

- Dependent cost per family ($26,993 − $9,325): $17,668
- Extra 50% the company would pay: $8,834 per family
- Five families: $44,170 a year
- Per month: about $3,681

About $44,000 a year makes the family premium $0 for every parent on the team. The $44,170 assumes five enrolled families throughout the year. Future hires and tier changes change the budget. Apply the contribution policy consistently to the eligible class rather than promising a private exception to one candidate.

## How I would handle a candidate comparison

Use a blank comparison sheet and let the candidate fill in the current-plan column voluntarily. The startup can complete its own column from approved documents. Mark anything not yet confirmed as pending. If the new policy has a lower premium but a missing provider, do not hide that difference inside an overall savings number.

- Send the exact plan name, SBC and employee contribution schedule. Include family tiers even if the candidate has not said whether they need them.
- Offer a confidential administrator contact for network, medication and transition questions. Managers should not collect diagnosis lists to evaluate a hire.
- Explain how an authorization or deductible credit is confirmed. A broad PPO network does not guarantee that every existing clinician participates.
- Record any enrollment deadline and effective-date assumption in the benefits packet. Ask the candidate to verify the last day of existing coverage.
- If a detail is unresolved, provide an answer from the plan administrator before presenting it as a benefit promise.

This process does not establish that better insurance will close the hire. It gives the candidate a reliable basis for comparing the offer. I would measure whether questions were answered and coverage began as stated, rather than claim a recruiting return from a story about one employee.

## Why startups usually lose on benefits

A startup can lose clarity by buying a plan and describing it only as medical, dental and vision. I would focus on the features employees can verify: their contribution, the benefit terms, the network and the support process. Those details are more useful than assumptions about how a large employer runs its plan.

- **The plan was picked for price, not for hiring.** The first plan is often the cheapest premium a broker or PEO offered, without enough attention to member costs or provider access.
- **Dependents are an afterthought.** Many small companies pay most of the employee's premium and little of the family's. Families notice first.
- **Nobody tells the story.** The offer letter says "medical, dental and vision" and nothing else, while the candidate's current plan is spelled out in their benefits portal.
- **A waiting period on day one.** A 30- or 60-day wait can leave the candidate paying COBRA to cover the gap. The federal waiting-period rule generally limits waiting to 90 calendar days once an employee is otherwise eligible. Confirm the approved eligibility policy and coverage start date; do not assume that the first of the next month eliminates a gap.

## How to compete

At Prescience, we design and run your company's health plan, from setup and enrollment to claims, compliance and COBRA. What your team gets:

- **An effective $0 deductible,** so the plan helps from the first visit.
- **Simple copays** shown before a visit, capped by a low out-of-pocket maximum.
- **A broad national PPO network,** plus providers we contract with directly.
- **24/7 physician-led care navigation:** a care team that finds the right provider, books appointments and explains costs up front.

What your company gets: one monthly cost set in your quote, usually 10–20% below comparable fully insured coverage and fixed before the plan starts, with no admin fees. You keep your payroll provider, and the plan can start mid-year.

> **Prescience Diamond: A company health plan with an effective $0 deductible.** When a big-tech candidate puts their current plan next to yours, the deductible and out-of-pocket rows are where startups usually lose. An effective $0 deductible changes that comparison.
> - **An effective $0 deductible** and simple copays shown before a visit
> - **A broad national PPO network,** plus providers we contract with directly
> - **24/7 physician-led care navigation** that books visits and explains costs
> - **Usually 10–20% below comparable fully insured coverage,** fixed in your quote, with no admin fees
> Best for teams of about 15 or more that want one great group plan. [Get a Diamond quote](https://www.getprescience.com/get-started?p=Employer&product=diamond)

## How to build a benefits case into the offer

1. **Provide the benefits packet early** Give the candidate your SBC and contribution schedule. Invite questions about coverage without asking for private medical information. Any current-plan comparison is voluntary.
2. **Put a number on the difference** Use the example above: premium share, deductible and out-of-pocket maximum, for their family size. If your plan wins on some lines, show it.
3. **Close the gap with the plan before you use salary** Compare a contribution change, a different plan and salary using explicit assumptions. A benefits change may affect an entire eligible class, while a raise gives the employee flexible income. Choose based on the company budget and employee priorities.
4. **Confirm coverage timing** Check the old coverage end date, new plan effective date and enrollment deadline. Apply the written eligibility policy consistently. First-of-next-month coverage can leave a gap if the person starts or loses coverage mid-month.
5. **Write a benefits paragraph into the offer** Use the template below and attach your plan's SBC.
6. **Offer a call with whoever runs the plan** Offer a confidential conversation with the benefits administrator to verify providers, prescriptions and transition requirements. Do not promise that a short call will resolve every coverage question.

## A benefits blurb for your offer letter

Candidates rarely read plan documents until late in the process. Put the comparison in the offer. Here's a template you can adapt:

> **Health benefits:** We pay [confirmed contribution] for [confirmed coverage tiers]. Coverage begins [confirmed date] after timely enrollment. The attached SBC describes the deductible, copays and out-of-pocket limits. Please confirm your providers and prescriptions with the benefits administrator. Use this template only after replacing every placeholder with your actual plan terms.

Adjust the details to your actual plan documents; they control if anything differs.

## Frequently asked questions

**Do health benefits really matter for recruiting engineers?**

They can. Ask about benefit priorities without assuming all engineers value the same plan. Provide the contribution sheet, SBC, network and effective date so the candidate can decide.

**How much better are big tech health benefits?**

There is no single big-tech plan or verified universal dollar gap. Compare the candidate's actual option, if voluntarily shared, with your proposal. Do not treat a large-employer average as a promise about a specific company.

**Can a startup match FAANG health benefits?**

On the plan itself, often yes. A Prescience plan gives startups an effective $0 deductible, a low out-of-pocket maximum, a nationwide PPO network and a physician-led care team, usually for less than comparable fully insured coverage.

**What should I put about benefits in an offer letter?**

State the premium you cover, the deductible, the out-of-pocket maximum, the network and any care support, in plain language. Keep it consistent with your plan documents.

**Should I raise salary or improve the health plan?**

Compare both. Health benefits often have favorable federal tax treatment, while salary provides flexible income. Evaluate the actual contribution policy, tax exceptions and budget instead of assuming insurance is always the better choice.

**What does it cost to pay 100% of family premiums?**

At KFF's 2025 averages, family coverage costs $26,993 a year in total, $17,668 more than single coverage. Moving from paying half of that difference to all of it costs about $8,834 per family per year.

**How much parental leave do big tech companies offer?**

Policies vary by employer, worker class and location. Review the employer's current written policy. For your startup, coordinate paid leave, job protection and any state benefits rather than assume they simply add together.

**Do big tech companies cover IVF?**

Coverage varies. Ask for the exact covered services, authorization rules, provider requirements and financial limits. An informal promise to reimburse fertility expenses can create tax and benefit-plan issues; use a documented compliant arrangement.

**How do I avoid a coverage gap when someone leaves big tech?**

Confirm both plans' exact dates before the job transition. COBRA may bridge a qualifying gap if elected and paid on time, but eligibility and deadlines matter. Starting the new plan on the first of a later month does not automatically avoid a gap.

## Sources

- [KFF, 2025 Employer Health Benefits Survey (original survey)](https://www.kff.org/health-costs/2025-employer-health-benefits-survey/)
- [IRS Publication 15-B (2026), employer health benefits and QSEHRA limits](https://www.irs.gov/publications/p15b)
- [HealthCare.gov, Summary of Benefits and Coverage](https://www.healthcare.gov/health-care-law-protections/summary-of-benefits-and-coverage/)
- [DOL, Employer guide to COBRA](https://www.dol.gov/agencies/ebsa/about-ebsa/our-activities/resource-center/publications/an-employers-guide-to-group-health-continuation-coverage-under-cobra)
- [CMS, medical bill rights when using insurance](https://www.cms.gov/initiatives/your-patient-rights/medical-bill-rights/know-your-rights/insurance)
- [29 CFR 2590.715-2708, waiting-period rules](https://www.ecfr.gov/current/title-29/subtitle-B/chapter-XXV/subchapter-L/part-2590/subpart-C/section-2590.715-2708)
- [West Health-Gallup, original job-lock survey and field dates](https://news.gallup.com/poll/712166/one-four-employees-locked-jobs-health-insurance.aspx)