Post by stellarose on Aug 12, 2020 12:53:19 GMT -5
I need to decide if I want to accept my bonus in form of RSU or Stock Options. I know the basic difference between them, but would like to hear from others about their personal strategy for using them.
Additionally, this year I will have both stock and RSUs vesting. I did sell everything that was vested last year to put down on my current home. So my vested balance is renewing this year. My original plan was to let it sit for a few more years and then apply a larger balance to either 1) my primary residence and recast the mortgage payment lower to provide more liquid funds each month or 2) apply to my first home which is a rental property for me now, this mortgage balance is much lower than my current primary.
What I am unfamiliar with is if holding the RSUs is risky. What do people typically do with these? Sell and reinvest?
I’ve always heard RSUs were better, but didn’t know why. I’ve ever really given it much thought since I’ve never had them. Only recently I received stock for a bonus but it’s on a very long vesting schedule. I plan to cash it out once it’s vested and put it in something else as I don’t like having so much tied up in the company I work for. I got lucky that my stock was purchased during the down in the market so hopefully when it’s vested, it will have rebounded,