After performance review, I got an option to select LTI or RSUs of 12k over 4 years. It's not that significant of 3k/ year and then taxes. But just want to know what's the difference and what factors to consider to make a good decision? Tc - 110k #tech #softwareengineer
Maybe just that LTI is cash and RSU can go up or down. Base your decision on which you value more and your risk level.
Are LTI and RSUs (after vesting) taxed differently?
They are taxed at the same level of your income tax. If you think stock will go up by next year, take RSU. If you don’t think so, take cash.
What’s LTI ?
Long term incentive
Long term cash incentives (I didn't knew it either till last week :P). I would get 3k cash next year same time. Again I am not not sure how this thing works.