How does stock vesting work?
Show all answers
The Unwritten Rule: Why do tech companies give stock that "vests" over four years?
Unvested stock is a reason not to leave. Vesting schedules, often with a one-year cliff, make leaving costly, nicknamed "golden handcuffs". Source: Wikipedia – Vesting
Who Decides: Who decides whether you get more stock ("refreshers")?
Managers and comp teams, usually reserved for people they most want to keep. Refresh grants are a retention tool aimed at high performers as earlier grants run out. Source: Wikipedia – Restricted stock
How to Play It: When are you most likely to be poached?
As your initial grant finishes vesting. Once the handcuffs come off, recruiters know your cost to move drops. Watch your vesting cliff dates. Source: Wikipedia – Vesting