Netflix Stock Options
Just accepted a role at Netflix (TC: $400) but having a hard time understanding the Stock Option program. Can someone help explain what the best move is here to maximize comp? I am financially responsible but not financially savvy; do I need to meet with a Financial/Tax Advisor? Kitchen English, please. #netflixoffer #netflixsalary #netflix
So you get a salary..on top of that you get stock which forms part of the salary..so as an example these are given for a period of 4 years and every year you own 25% of the stocks .. you cannot sell the stock until they vest.. when you join you may have more details of the frequency of vest.. from a tax perspective they may have some one like JPmorgan or Morgan Stanley who manage the stocks and you would get access to the portal.. depending on the arrangement you may get to speak to a financial advisor .. say you have two shares vest at the end of the month they would hold 1 stock for tax purposes and the other would be reflected in your portfolio..any difference on the tax would be paid into your monthly salary as an adjustment.. so USofA you may have a slightly lower tax on the stocks I believe its 36%.. but that's how it goes..
Hey google friend, know you mean well but this model does not apply to our company.
and they appear to be talking about RSUs, not options.
OP, congratulations and welcome to Netflix. The employee SOP program tutorial will happen your first week (episode 4 or 5) and your election window will start after you get hired. You can change this every December. Your cohort will get a thorough explanation of the SOP. This is ultimately a calculated risk and depends on your own personal risk tolerance and belief in the company. We sunsetted the 5% “free” Stock options we got on top of salary recently. Your elections will come straight out of your yearly salary, pre-tax. Plenty of information and publicly accessible resources sent over after you signed the offer. The options have a 10 year expiry window which is highly unusual. I opted to contribute 25% a year because I believe in the company’s success trajectory and I can tolerate the risk as this is my third tech company and I have about 2.3m in liquid assets from previous jobs, in addition to a home and cash savings. Good luck!
Do you get discount on this selection of sop ? I didn’t get any 5% free. Recruiter said they got rid of 5^
Put all money that you don't need to use in the next 10 years and thank me later
So did anyone thank you later?
Hmm, thanks but no thanks..
Congratulations. Role, yoe, location?