Refreshers at LinkedIn

Twitter 🐒。
Jan 8 17 Comments

How do they work?

At Twitter, the refresher doesn’t vest until 4 years after grant date. This way essentially in your 5th year there is no cliff which a lot of companies have (I heard fb has a cliff). But at the same time you aren’t making bank the 3rd year and 4th year from stacked refreshers which I heard LinkedIn has.

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TOP 17 Comments
  • Airbnb Knzx
    The cliff at fb/g/linkedin/airbnb/uber refers to when your initial grant fully vests. I was granted 420k stock vested over 4 years when I joined.

    Everyone's refreshers are different. I considered an offer from uber which was giving 50k stock refresh per year vested over 3 years. Airbnb gave 90-180k perf based vested over 4 years for my level. Refreshers are essentially a new stock grant which vests over 3-4 years (more commonly 4 years). Vesting of refreshers usually starts immediately upon grant and happens either quarterly or monthly.

    In your 3rd or 4th year, the refreshers cause your tc to increase quite a bit. In my case in my 3rd year, I'll vest 25% of my initial grant which will be 105k. Plus, I'll vest around 25% of some amount of stock worth between 300-600k (based on perf for previous 3 years) because of refreshers.

    After year 4, my initial grant becomes fully vested so my tc drops. At this point assuming you have not been promoted or gotten any raise, your tc would go back to what it was when you joined because you would only be vesting refreshers
    Jan 8 8
    • Airbnb Knzx
      Depends on the situation, what level you are, what your initial grant was etc. Usually as long as you find something new before your initial grant vests fully you're doing pretty well.
      Jan 9
    • Twitter 🌧️ z
      “Usually as long as you find something new before your initial grant vests fully you're doing pretty well.”

      You mean find a new job?

      at Twitter it doesn’t matter if your initially grant fully vests, you won’t make any less money the 5th year with the new structure twitter has in place
      Jan 9
    • Airbnb Knzx
      At airbnb, you won't make less your 5th year than you did your first year because your refreshers are at least 25% of your initial grant and those will continue to vest even after your initial grant is fully vested.

      You do however make less your fifth year than you do your 3rd or 4th year. This is because the refreshers actually increase your tc for the first 4 years because they stack on top of your initial grant. In your third year, you're vesting 25% of your initial grant plus a fat chunk of 3 stacked refreshers. When you hit year five, you are just vesting refreshers and assuming no promo or refresher increase in 4 years, you would be making the same in year 5 as you would be in year 1, but less in year 5 than in year 3 or 4.

      That's why it's good to hop every 3 to 4 years so you can get a new initial grant and start stacking refreshers again. The refreshers increase your tc a lot on top of the initial grant.

      Number example:
      Initial grant = 400k vested over 4 years, refresher =100k grant per year which vests over 4 years
      Year 1 rsus vested = 100k (just initial grant. No refresh)
      Year 2 rsus vested = 125k (1 refresher plus initial grant)
      Year 3 rsus vested = 150k (2 refreshers stacked plus initial grant)
      Year 4 rsus vested = 175k (3 refreshers stacked plus initial grant)
      Year 5 rsus =100k (4 refreshers stacked vesting 25% each)

      Because of the stacking refreshers, you make more than you would at Twitter in 5 years even after your initial grant expires.
      Jan 9
    • New / Eng michalumni
      How does this make sense from an employers perspective? An employee has done well and succeeded at the level they were hired at. They are then a proven value to the company are promoted to the next level and have company specific knowledge. Shouldn’t the company be at least competitive with an external offer at the same level for comp at this point?
      Jan 9
    • Airbnb Knzx
      You would think so. Unfortunately (or furtunately depending on how you look at it) most top companies have a comp structure which incentivizes leaving after 3-4 years.
      Jan 9
  • LinkedIn qQiF85
    Refreshers happen at yearly review time, with promotions, or for retention purposes. They have no cliff, and vest quarterly over a 4 year period.
    Jan 8 5
    • PayPal unionfind
      Can you refer me at LinkedIn?
      Jan 8
    • Twitter 🐒。
      OP
      Your original grant ending in 4 years is by definition a cliff.

      My question is does everyone get refreshers for ‘meets expectations’?
      Jan 8
    • LinkedIn vKuS01
      "Cliff. You keep using that word. I don't think it means what you think it means."
      Jan 8
    • LinkedIn vKuS01
      Re: refreshers: no. Exceeds get refreshers usually
      Jan 8
    • Microsoft
      tech.ladki

      Microsoft

      PRE
      Google
      tech.ladkimore
      Just curious, what's the proportion of refreshers w.r.t the initial grant?
      Say my initial grant is 300K, how much would the refreshers be?
      Apr 17
  • Microsoft jazzer
    Refreshers not vesting till the 4th year is such an awful thing. Even if refreshers are same in value to fb/g you get the money earlier and evenly at these companies. Also if you leave Twitter before 4 years you are out of luck. Horrible for employees
    Jan 9 1
    • Airbnb Knzx
      I don't know if you understand how refreshers work.. They cause your comp to skyrocket in years 3 and 4
      Jan 9

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