[vjeux]

In addition to that, RSUs are taxed at around 50% before you receive them and another 20% of the value it gained from when you received it to when you sold it. So the numbers in your bank account look less impressive than the ones on paper.

[compumike]

Yes, but to be fair to RSUs, this is no worse than having some additional ordinary income.

The 50% on receipt number comes from your marginal federal tax bracket plus state -- same as if the dollar value were additional gross (pre-tax) income.

The 20% on growth number (potentially 25-30% including state) is what you'd pay on capital gains -- same as if you'd taken this extra income as cash and invested it in anything.

[Thorrez]

RSUs are taxed the same as salary. If you don't like them gaining value, then sell them as soon as they vest, and that's 20% tax of $0.