Equity Vesting & Cashflow Comparison
Amazon 5/15/40/40 vs. Google 25% RSU Vesting
Compare Amazon's backloaded 5/15/40/40 vesting + Year 1–2 cash sign-on bridge against Google's uniform 25% annual RSU schedule.
Simulate Amazon Vesting in Calculator →| Grant Year | Amazon RSU Vest % | Google RSU Vest % | Cashflow Impact on $200K Grant |
|---|---|---|---|
| Year 1 | 5% ($10,000) | 25% ($50,000) | Amazon relies on Yr-1 cash sign-on bridge (-$40K stock) |
| Year 2 | 15% ($30,000) | 25% ($50,000) | Watch for Year 2/3 sign-on cliff if stock stays flat |
| Year 3 | 40% ($80,000) | 25% ($50,000) | Amazon vests semi-annually (+$30K stock vs Google) |
| Year 4 | 40% ($80,000) | 25% ($50,000) | Both reach 100% vested ($200K cumulative) |
Comparison FAQs
Why does Amazon use 5/15/40/40 vesting?
Amazon backloads equity into Years 3 and 4 and compensates in Years 1 and 2 with cash signing bonuses, assuming 15% annual stock appreciation in internal total comp targets.
What happens if I leave Amazon before Year 3?
You only vest 20% of your initial equity grant after 2 full years (vs. 50% at Google or Meta), making upfront cash sign-on negotiation critical.