RSU Comparison Calculator
Compare restricted stock unit grants across job offers, accounting for vesting schedules, stock growth, refresher grants, and taxes.
How RSU Vesting Works
Restricted stock units (RSUs) are a form of equity compensation where a company grants you the right to receive shares of stock after meeting certain conditions, typically continued employment over a defined period. Unlike stock options, RSUs have value as long as the underlying stock is worth anything — there is no strike price to pay. When shares vest, they are delivered to you (or the cash equivalent), and the fair market value at vesting is treated as ordinary income for tax purposes.
Vesting Schedule Types
The rate at which your RSUs convert from a promise to actual shares depends on the vesting schedule. A standard schedule distributes shares equally over the grant period — for a four-year grant, 25% vests each year. A front-loaded schedule delivers more shares in the early years, which can be advantageous if you are uncertain about tenure or want earlier liquidity. A back-loaded schedule does the opposite, concentrating value in later years as a retention incentive. Amazon's well-known schedule (5/15/40/40 over four years) is a specific form of back-loading that significantly defers equity value. This calculator supports all of these presets plus a custom option.
Tax Treatment of RSUs
When RSUs vest, the fair market value of the shares is taxed as ordinary income, subject to federal income tax, state income tax (where applicable), Social Security, and Medicare. Most employers withhold at the supplemental wage rate for federal purposes, which may differ from your actual marginal rate. This calculator applies a single combined tax rate to all compensation components — base salary, bonuses, and equity — to provide a simplified but consistent comparison. For a more precise analysis, consult a tax professional who can account for your full tax picture.
The Impact of Refresher Grants
Many technology companies award annual refresher RSU grants to employees who remain with the company. These grants vest on their own schedule (typically the same duration as the initial grant, using equal annual vesting) and compound over time. After several years of employment, refresher grants can represent a significant portion of total equity compensation — sometimes exceeding the annual vesting from the initial grant. This calculator models refresher grants as a fixed dollar amount awarded each year, with shares computed at the projected stock price at grant time, allowing you to see their cumulative impact on long-term total compensation.
Why Total Compensation Matters
Comparing job offers on equity alone can be misleading. An offer with a larger RSU package but lower base salary may actually deliver less total compensation, especially in the early years before refresher grants accumulate. This calculator combines base salary, signing bonus, annual cash bonus, initial RSU grant, and refresher grants into a single after-tax total, giving you a clearer picture of what each offer is actually worth over time. If you are evaluating several packages at once, the Job Offer Comparison Tool can help you weigh salary, benefits, and location differences alongside equity.
Limitations
This tool uses a flat combined tax rate rather than modeling federal and state tax brackets independently. It does not account for the alternative minimum tax (AMT), Section 83(b) elections, or capital gains treatment of shares held after vesting. Stock price growth is modeled as deterministic annual compounding — real stock prices are volatile, and actual outcomes will differ. Vesting is modeled as annual lump sums rather than quarterly or monthly tranches. Refresher grants use equal annual vesting with no cliff period, which may differ from some company policies. For decisions involving significant compensation, work with a financial advisor who can account for your complete financial situation.