RSU Stock Award Super-thread
RSUs are a large part of our comp, but it is hard to compare due to different comp philosophies across firms. Let’s crowdsource some info: Initial grant -value vs base -vest schedule, frequency & cliff Refresher grant -year when one is eligible -target, if there is one, by level? perf? -whether target takes prior grants into acct -if so, how prior grants are valued (at award time? Or at new refresher time) -vest schedule, frequency -year of first refresh @fb @goog @msft @nflx @dbox @uber @aapl @airbnb @twtr @stripe @lyft @box @snap @sq @spot @lnkd @crm @pinterest
You’re countable
Even in the first or second year? That means your comp that they give you in your offer letter at hire could actually increase the first couple of years? Hmm but if it is just 22k over 4 years then it looks like more of a performance bonus style comp. What happens to your comp once the initial hire grant runs out?
At LinkedIn you get your initial 4 years and if you are a good performer then you will get decent size refreshers each year. By the time your initial grant runs out you should have equal or more from refreshers. Imo if you don't have more then you should find another job because your are stagnating and are not being paid what new hires are.
Do they vest immediately over 3 or 4 years? Would that mean the refresher is about x/3 or x/4 the value of the original new hire grant?
Is it fair to say that even with 0% hike your comp will increase in years 2-4 due to these refreshers. If I understand this correct comp in year 3 > year 2 and year 4 > year 3 due to the vesting nature of RSUs.
initial grant for 4 years, and you will get refresher every year, monthly vest over 3 years,the amount is each level target * multiplier based on your perf, annual cash bonus is similar.
Are value of previous grants taken into account for the refreshers?
409a value is used for refresher, yearly refresher is irrelevant from the previous grant, only based on your perf and level
You get yearly stock refresh from the first year, vesting in 4 years. There is a target refresh based on your level and rating. Nothing to do with your comp and initial stock on offer. I heard L4 target refresh is around 50k. Not confirmed though. Never got that little.
So if the target is 50k over 4 years that means in your stack your refreshers up 12.5k each year, assuming you hit the target every year? So you can get, say Original offer+50k the fourth year? What happens to your comp after the fourth year, if you keep hitting the target will your comp the fifth year still drop?
This is false. The stock refresh for the first year are entirely dependent on your manager and most googlers received 0. Then in later years, the current value of your grant is also taken into consideration when computing your refresh. This is presented as a way to “equalize up” people who aren’t receiving as much but it really means you won’t see a big refresher if you have a lot of unvested rsus compared to your peers.
Dropbox has annual stock refresh where the target grant is 1/3 of what we’d give as an initial grant to an external hire. You can get more or less based on performance reviews and managers have discretion.
I take it vesting is over 3 years? What is the Frequency? Monthly? Quarterly?
Not tagged, but here goes for Twitter: There is a rsu comp target for each level, they look at your current rsu worth and make up the missing amount if you're under. So if your target for this year is 70k but the rsu vesting is only worth 50k at current market price, they give 20k refresh for this year, vesting quarterly. The target is set at manager discretion. I was over my target this year so I received 0 refresher
I find that kind of cheap though, if the stock goes down does Amazon refresh more at least?
Yes, they started doing it literally a month ago. Each year they fix a price they think your rsus are worth, and multiply correspondingly to hit the target. For the longest time Twitter gave out stocks at will, there was no target.
Annual RSU refreshes from 1st year; vary based on level. For ICT3, ICT4 one can expect 50-60% of base salary as RSU refresh for Meet Expectation rating. So ones income will increase for 2nd, 3rd and 4th year and then fall on 5th year (assuming everything else remains same).
Ict3 0-100k Ict4 0-180k Ict5 0-250k Stocks vests quarterly at 12.5% starting from grant date(next board meeting). Each review is based on year performance only. The post above is incorrect, I’ve gotten 150k last two years with two Meet and one Exceeded. I think manager has some knob with the total rating.
Wow, 150K with 2 Meets and 1Exceeds. I haven’t got anywhere close to that with similar rating and it’s definitely not common in my org (Dan Riccio’s) or at least my sub team. I have been in 2 different orgs and 70-100K has been the norm for 3 Meets rating. Not sure about your org but I will assume there is a huge variance between orgs.
How are the size of refreshers compared to size of initial grant? Also, how frequent is the vest, and over how many years?
Initial grant at Apple is quite low compared to industry standard. In general, initial grant is roughly the same as ones base salary. Vesting is over 4 years; there is a 1 year cliff for initial grant. For everything else, it’s 1/8 every 6 months (no monthly vesting).
Refresher each year, also vests over 4 yrs, per quarter. Amount is determined by level, you can earn 0 to 200% based on perf. lvl 62 target is 22k
Lvl 62 Target is 11k