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I strongly suspect they shifted to RSUs at those valuations.
by bpodgursky 9mo ago
I strongly suspect they shifted to RSUs at those valuations.
- rahimnathwani 9mo agoIt seems unlikely that regular employees would be issued RSUs. Tax is due at vest, and you can't liquidate to fund the tax bill.
- glpgeFwac 9mo agoThe usual move here is "double trigger" RSUs that don't vest until a liquidity event, thus no taxes due until said liquidity event.
- rahimnathwani 9mo agoAre those common for regular employees?
- milkshakes 9mo agohighly common
- Romario77 9mo agoRight. Plus often the tax is paid out of RSUs given, you just get less in RSUs, some is subtracted to pay tax.
- haneefmubarak 9mo agoThere's double trigger RSUs and so on that allow you to have reasonable tax treatment, due to the theoretical threat of loss if liquidity isn't available. I worked at a company that had this at least while I was there.
- baumy 9mo agoI was a regular SDE at brex for a couple years and my various documents about comp say I have RSUs, and carta says so as well. I've never bothered to understand the details since none of the private companies I've worked for have had the non-cash portion of their comp be worth anything but $0 before.
- catlover76 9mo ago[dead]
- dalyons 9mo agoNope, you as a company owner are highly motivated to shift to RSUs once you hit a certain valuation and number of employees. Everyone does it.
- hrimfaxi 9mo agoCan you expand on why at a certain valuation and size you would shift?