RSU... are they given yearly?
Hi everyone, So IBM doesn’t normally give RSUs out to non-execs... but I was lucky (or maybe rightfully earned) 100k in RSUs, so I got my first taste of the golden handcuffs. My question is... when people say 200k base and 500k RSU vesting over X years, does that mean they get 500k RSUs every year with staggered vesting dates? Or is it a one time thing until a new RSU reward? I’m assuming it differs company to company. 240K TC, 6 YOE
/4-5 years
Are you in research? Your pay is high for ibm
Staggered. So if they say 400k over 4 years assuming a 25 25 25 25 distribution it's 100k every year.
As mentioned above - 200k and 500k over 4 years means 200k cash + 125k rsus per year. In companies with refreshers (e.g. fb), you also get an additional equality plan once a year that will vest over a 4 year period. In the example above, a common refresher might be 125k (which means 31.25k worth per year). In that scenario, vested equity will be: Year 1 - 125k 2 - 156.25k 3 - 187.5k 4 - 218.75k (I'm ignoring signing bonus and annual bonus here, promotions, annual salary increases, high performance multipliers, etc)
You should distinguish between the vesting schedule (which is usually either quarterly or monthly) and refresher grants (that are made annually in some companies - on top of the initial grant)
This makes sense. I was really curious about refreshers and how they work. Thank you for explaining!!
RSUs are never guaranteed and usually refreshers are lower than original grant.