Courses / Job Specs & Offer Strategy
23. Restricted Stock Units (RSUs)
Describe a single equity instrument concept (e.g., RSUs or options) and its purpose in offers.
Compensation & Offer Design
Restricted Stock Units (RSUs)
RSUs are company shares promised to an employee that vest over time, turning into actual stock ownership when vesting conditions are met.
"I want candidates to feel ownership without making them buy shares up front."
RSUs are grants of company stock delivered to an employee after they meet time- or performance-based vesting conditions; they are used to align employee incentives with company value without requiring purchase. Vested RSUs become taxable income (and actual shares) when they vest.
"I want candidates to feel ownership without making them buy shares up front."
RSUs are grants of company stock delivered to an employee after they meet time- or performance-based vesting conditions; they are used to align employee incentives with company value without requiring purchase. Vested RSUs become taxable income (and actual shares) when they vest.