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8/26 Thread (BC):
Hi Everyone !!!
This June I completed my 9 months at Career Level 12 and Sub Level 3 I.e, CL 12.3 at Accenture Operations. My Annual Talent Discussion and One-on-One with People Lead is complete as of last week.
I have 3 questions now :
1. When can I expect to move to 12.2 ?
2. What is the general hike I can expect ? And when it is reflected ?
3. When will be the variable pay will be paid out ?
Can anyone here help me with this performance cycle part ? I am really confused.
Accenture
Additional Posts in Compensation in Consulting
This is based on my Microsoft knowledge which is what applies to most FAANGs. But someone from Facebook will be best to answer.
Since you know how your sign on RSU are vested. I’ll skip that part.
After 4 years, you’ll keep receiving stocks that have been granted to you annually. So it is not a new award after 4years, but rather every year (including within your first 4 years), you get additional stocks that are given out as bonus. Those stocks will also have their own vesting schedule. You should find out what is the maximum % you can get for your level, divide it 2, and that should be your annual target stocks over the vesting schedule years. Here is an example based on 4 years vesting schedule:
Lets say below are your allocation
Sign On RSU = 80K RSU over 4 years
Year 1 = 20K Stock Bonus over 4 Years
Year 2 = 30K Stock Bonus over 4 Years
Year 3 = 40K Stock Bonus over 4 Years
Year 4 = 50K Stock Bonus over 4 Years
Year 5 = 60K stock bonus over 4 years
- Based on above allocations, your vesting every year (if 25/25/25/25) will be:
Year 1: = Sign On/4 + Y1/4 = 20K + 5K - so after 1 year, you should receive = 25K in stocks in your broker account.
For Year 4 = Sign On/4 + y1/4 + … Y4/4 = 20k + 5k + 7.5k + 10k + 12.5k = 46K.
For your Year 5 = Y1/4 + Y2/4 + …. Y5/4 = 5k + 7.5k + 10k + 12.5k + 15k = 41K
Now you can see your Year 5 is lesser than Year 4. Most times your year 4 is the biggest payout in stocks. Because that is when your biggest allocation (Sign On) ends. We call this vesting cliff. A lot of people either quit, or the company gives them a special stock allocation (SSA) to retain talent.
So the main question you should be asking is what percentage of Stock bonus can you receive every year? It is mostly a percentage based on level. So if you are level X, you maximum allocation per year (refresher) will be no more than Y amount per year.
Take the Y amount and divide by 2, that is your annual target, unless you are a high performer, even then, no matter what the recruiter says, you will not get the maximum allocation - you will certainly get above target, just not the max. Also, target increases as you get promoted.
Personally, I wouldn’t care about what I get after 4 years, because if you are a high performer or growing well, Facebook will try and give you a refresher. Try and get a much bigger Sign On + Base. Because those are the things you can negotiate, you cannot negotiate your annual stocks bonus.
I hope this helps and good luck! 😊
Usually 50% off the original RSU per year. In your case probably around 11k per year. Of course, if you do well and get promoted it will go up.
Following since expecting an offer from FB
Haven’t received an offer yet
divide the 85k by 4 if its evenly spaced. You should ask them what the vesting cycle is. Sometimes its 10%-30%-40%-20% blah blah. If its even (25%) a year, add it to your total comp based on that 85k. RSUs are taxed as income btw, so there are tax implications (albeit worth it to get these). Ask the recruiter for more info on the post 4 year cycle they have to give you this especially bc FB is public. If the recruiter isn't well versed have them set up a call between yourself and someone who knows.
Yes, thanks - the calculations for the 4 years are clear to me, I am interested in how much should be expected annually after the 4 years. I was told we’ll receive RSUs annually and the amount is reviewed annually, so wanted to hear how much should be expected. I am definitely asking the recruiter but wanted to hear from someone on the business side as well.
Dumb question, is it stock at today’s share price? Or does it update to the share price at time of vesting
For the offer part it will be calculated by the average price of the month prior to signing the contract. I don’t know about how it works after the 4 years with the RSUs that are not defined by my offer
Very helpful, thanks!!