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Depends on the actual numbers. They could be worthless or worth millions. Every funding round changes that.
by gigatexal 7y ago
Depends on the actual numbers. They could be worthless or worth millions. Every funding round changes that.
- alex_young 7y agoRSUs are for public companies.
- seanhunter 7y agoThey are more common at public companies, but a company doesn't need to be publicly traded to give people RSUs. Conversely, a public company can pay in options rather than RSUs (or both) if they want. Source: Work for a non publicly traded company and have RSUs not options, previously worked for a publicly-traded company that issued RSUs and options as part of comp
- awinder 7y agoRSUs should be a lot more reality based, these are not options to purchase on a hypothetical future liquidity event, they're restricted stock that turns into real shares on public markets upon vesting.
- gigatexal 7y agoAhh I was thinking they were options. Never mind. Does one still pay taxes every year on the RSUs should they rise in paper valuation before vesting?
- awinder 7y agoYeah kinda, you pay taxes on the market value of shares when they vest (become unrestricted). But only on the shares that have become unrestricted, not your still-restricted shares.