From: J.R. Willett
Date: Wed, Aug 28, 2013 at 4:20 PM
Subject: MasterCoin - What will it take for J.R. to quit his job?
To: Sam Yilmaz, David Johnston
Cc: Jen Willett


Hey guys,

The number is $564,600 (the project is currently at 2439 BTC x $118@coinbase = $287,802, leaving us short of that mark by $276,798  = 2346 BTC). Nearly doubling the project fund does seem like a pretty big stretch in just the next couple days, even if we get some big investments from bitangels. However there are a couple ways we might still get there, which I'll get to later.

First, the breakdown. My wife loves my job at Cozi for a large number of reasons which I will enumerate, and she has agreed to my quitting my job there if I can prove I have funds to provide equivalent benefits for three years.
Here is what I promised her we would get if I quit:

• Three years of my current base salary ()
• Three years of fully paid health insurance for our family (Cozi is very unusual in that they pay 100% for employee AND dependents medical/dental/vision). The individual coverage plans I can find are significantly less generous than Cozi's plan, and cost in the neighborhood of /month for medical alone. Taking that into account, including our plans to have more children, dental, vision, and the expected further rises in health care costs, I set this number at /year (we had individual coverage on my wife when our second child was born - the most generous coverage we could find - and he still cost us out of pocket!). Note that money not used for health coverage and expenses could return to project funds.
• Direct replacement of costs formerly born by Cozi, such as their share of my Social Security contributions, estimated at /year
• To avoid risk of a bitcoin crash, we would plan to take large chunks of salary in advance (exact amounts to be determined, with amounts largely driven by resulting tax liabilities)
• Total yearly cost: + + = $177k
• Three-year cost = 177*3 = $531k

In addition, I promised her the following items would be paid for out of project funds

• Desk rental at a co-working space, estimated at $350/month ($4200/year)
• Daily transportation costs (Cozi funds my Orca card at about $8 per round trip = $2000/year)
• All travel expenses, including bringing family along if desired, estimated at $5000/year for attending two conferences
• Yearly estimate = 4.2 + 2 + 5 = $11.2k
• 3-year estimate = 11.2*3 = $33.6k

Total for 3 years: 531 + 33.6 = $564.6k

Also, I promised the following intangible benefits of Cozi would be fully matched:

• 5 weeks PTO (combined sick and vacation)
• 4 weeks paternity leave when a child is born (we do plan to have more kids)
• Modest hours (I am consistently home for dinner and rarely work late)
• Continuing my habit of being completely off the internet evenings, weekends, and vacations to focus on family and church

Lastly, in the event of a bitcoin crash or other unforeseen circumstances require me to abandon this project, I reserve the right to seek employment for up to six months while living off project funds before turning over remaining funds to the exodus address (or possibly to the oversight board, or possibly returning funds directly to MasterCoin holders). This is based on the three months it took me to find my position at Cozi in a healthy job market (being very selective and rejecting multiple offers).

Looking at the above, I am embarrassed to see spelled out how cushy my current job is, which is of course why she doesn't want me to leave Cozi . . .

I would appreciate it if you would keep the specifics of the financial breakdown confidential. I'll be publishing a sanitized version of this for general consumption soon.

While the target above may not be imminently achievable, we could conceivably get there if bitcoin prices take off in the coming months. Another possible way would be if MasterCoin prices take off, and I could then sell off some of my personal ones to get us the rest of the way there.

Sorry the number isn't lower. That's the best I could get.

Thanks,

-J.R.