Am I understanding PPLNS correctly in this example?

Question

I want to be sure I understand how the PPLNS pool payment system works. As I understand it, the theory is to reward loyal miners as opposed to people who continually switch pools. So I've been mining in this pool -- https://mixpools.org/xmr/# . Its advertised PPLNS shares are 100,000. Does that mean if a block is found and I will get a pay out if

1. I contributed one or more shares in the last 100,000 since the pool found that block.
  2. I satisfy the minimum payment threshold (that they list as 0.2 XMR).

But I'm failing to understand the core theory behind this. If I contribute a share now, and then jump offline for a while, I'll still get paid if the pool finds a block in the next 99,999 shares contributed? That's great for me, but it feels like I got lucky as opposed to being rewarded for a lot of pool loyalty. Maybe I'm misunderstanding something.

Answer 1

You are paid proportionally to the number of shares which are yours in the last N (in this case 100000).

If only 1/100000 of those are yours, you'll only get 1/100000 of the block reward.