Stripe RSU Policy vs Netflix Cash

New
_๐Ÿฟ๐Ÿ‘

New

_๐Ÿฟ๐Ÿ‘
Mar 5, 2021 31 Comments

Stripe's much-hated RSU policy converts your grant on a yearly basis, limiting both upside and downside.

Meanwhile Netflix gets a lot of praise for its cash-heavy compensation with people throwing around sayings like "cash is king."

Are these views inconsistent or am I missing something?

#stripe #netflix

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TOP 31 Comments
  • Airbnb
    erferf

    Go to company page Airbnb

    erferf
    For Netflix you get the cash monthly immediately after you joined and you can use or invest. For Stripe you have to wait for the ipo that god knows when. Usually the only reason ppls are willing to accept the โ€œwait for ipo to cash outโ€ compromise because there is a huge upside of the rsu. Stripe basically took away the upside.
    Mar 5, 2021 12
    • Airbnb
      nextapple

      Go to company page Airbnb

      nextapple
      Wow, I think people don't talk about the no four year cliff part enough when they are complaining. If the refresher program is truly as good as promised, this is actually great program (assuming you can perform in the top 50% based on what I've read).
      Mar 9, 2021
    • Airbnb
      erferf

      Go to company page Airbnb

      erferf
      So stock are forever instead of four years and refresher in the same way? Like each year they give out stock twice? Iโ€™m sure ppls would love to learn more.
      Mar 10, 2021
  • Stripe
    woofie

    Go to company page Stripe

    woofie
    I believe they are inconsistent. People will say "oh I don't get to participate in the upside of the company" while they'll happily take an all cash offer from Netflix.
    Mar 5, 2021 6
    • Netflix
      Ubvo13

      Go to company page Netflix

      Ubvo13
      Netflix isn't necessarily all cash. It has a stock option plan.
      Mar 14, 2021
    • Google
      lyTV21

      Go to company page Google

      lyTV21
      People join startup for the hypergrowth and outsized rewards. If the upside is capped, why not join places like Google? At least we grant # of shares for the next 4 years based on current market $.
      Mar 16, 2021
  • Amazon / Eng
    PRYS22

    Go to company page Amazon Eng

    PRYS22
    I'm surprised that no one is mentioning the fact that even though Stripe doesn't do a 4y RSUs package, the yearly grant is converted to RSUs at the start of the year, so you still have 1y of upside.
    Mar 5, 2021 2
  • The difference is netflix outpays everyone else.
    Mar 5, 2021 1
    • New
      hugh jarse

      New

      hugh jarse
      except they donโ€™t
      Mar 5, 2021
  • Snap
    picka๐Ÿ‘ป

    Go to company page Snap

    picka๐Ÿ‘ป
    I think itโ€™s the fairness factor. Stripe changed their policy for new hires only, which creates a two-tier society internally.
    Mar 6, 2021 1
    • Stripe
      jlsz54

      Go to company page Stripe

      jlsz54
      How else would they do it? Imagine the fallout if they tried to change the grants for existing employees.

      There are already tiers of employees in every high-growth company. If the stock is appreciating rapidly and grants are made at FMV, disparity between years is inevitable.
      Mar 6, 2021