21–30 of 283 posts
Depending on how you look at it. This is good for employees who dont have to wait till the cliff. But on the other hand, if your RSUs are based on a fixed amount (which I believe is the case for all the new hires in DD) and not no of units, then you're missing out on stock growth. Since the compensation is capping the upside of stock. Overall, this is not bad for a company that has already IPOed. I hope the startups…
Earlier quoted context omitted.
I think it's common in the industry to see RSU grants shown as say, "$50k" - but that's $50k in stock as of the grant time. Once the grant is finalized, the value of the RSU grant grows with the stock. ie, if the stock is $100, then it's the same as 500 share grant. This Blind post is saying that Instacart/Stripe says you only get $50k no matter the price of stock? How would you even structure that kind of grant? Why…
all of my friends at google say the grant is in dollars and stays in dollars at google. at the end of the quarter you get a variable number of shares based on current stock price. While this reduces upside, it also reduces downside.
The 1 year cliff never really made sense... It effectively gave the company a discount on employees who stayed only 364 days - or to look at it another way, a 'trial period' of 1 year where the pay was substantially less.
A buddy of mine who worked at a giant company (not strictly tech but you'd recognize it) said he heard from his boss that the company effectively considers the first year of a software engineer's employment a wash as far as cost/benefit. I can't imagine they're the only ones. In that case, why would you reward people who jump ship before your break-even point?
Earlier quoted context omitted.
I think it's common in the industry to see RSU grants shown as say, "$50k" - but that's $50k in stock as of the grant time. Once the grant is finalized, the value of the RSU grant grows with the stock. ie, if the stock is $100, then it's the same as 500 share grant. This Blind post is saying that Instacart/Stripe says you only get $50k no matter the price of stock? How would you even structure that kind of grant? Why…
I work at a smaller company, and here we convert the $ price to a number of shares by taking the 100 day VWAP of the stock from the date of the board meeting where your grant is approved.
When I joined I got a random email that said “your rsu $ to shares conversion was X shares and here’s your schedule” and my schedule is all in # of shares not $
Depending on how you look at it. This is good for employees who dont have to wait till the cliff. But on the other hand, if your RSUs are based on a fixed amount (which I believe is the case for all the new hires in DD) and not no of units, then you're missing out on stock growth. Since the compensation is capping the upside of stock. Overall, this is not bad for a company that has already IPOed. I hope the startups…
> you're missing out on stock growth Is that necessarily true?
Depending on how you look at it. This is good for employees who dont have to wait till the cliff. But on the other hand, if your RSUs are based on a fixed amount (which I believe is the case for all the new hires in DD) and not no of units, then you're missing out on stock growth. Since the compensation is capping the upside of stock. Overall, this is not bad for a company that has already IPOed. I hope the startups…
I don't see how this change would make that worse, could you explain?
Depending on how you look at it. This is good for employees who dont have to wait till the cliff. But on the other hand, if your RSUs are based on a fixed amount (which I believe is the case for all the new hires in DD) and not no of units, then you're missing out on stock growth. Since the compensation is capping the upside of stock. Overall, this is not bad for a company that has already IPOed. I hope the startups…
> if your RSUs are based on a fixed amount (which I believe is the case for all the new hires in DD) and not no of units That's quite surprising. Generally RSU comp is based on a particular monetary amount, but converted to no. of units upon issuance based on market prices (usually at/close to start date). Is this not the case with DoorDash? If that's the case that seems... awful? That's a cash bonus with a downside.
I think here they are mentioning value based, which means that instead of being given X amount of shares/rsu over 4 years, you're given "the equivalent of $X" at the begining of each years. So after 1 year, of the stock doubled in price, you will effectively receive half the amount of stocks (still the same $ value tho).
Earlier quoted context omitted.
I think it's common in the industry to see RSU grants shown as say, "$50k" - but that's $50k in stock as of the grant time. Once the grant is finalized, the value of the RSU grant grows with the stock. ie, if the stock is $100, then it's the same as 500 share grant. This Blind post is saying that Instacart/Stripe says you only get $50k no matter the price of stock? How would you even structure that kind of grant? Why…
all of my friends at google say the grant is in dollars and stays in dollars at google. at the end of the quarter you get a variable number of shares based on current stock price. While this reduces upside, it also reduces downside.
Your offer states that you will get $X of shares, vesting over 4 years. The $X is converted to a number of shares shortly after joining, based on market price, and is locked in from that point forward.
Your friends are mistaken.