AMD Equity FAQ

AMD typically uses a 4-year vesting schedule with 25% of your RSUs vesting annually. This means you'll receive one-quarter of your total grant each year over four years. Executive grants may have different vesting structures with specific tranches, so always check your individual grant agreement for exact details.

AMD's ESPP allows you to purchase company stock at a 15% discount with a lookback provision. The plan has quarterly purchase periods (February, May, August, November), and you can contribute up to 25% of your compensation, subject to a $25,000 annual IRS limit. The lookback feature means you get the discount based on the lower price between the offering date and purchase date.

AMD does provide annual refresher grants, though eligibility and amounts vary by role and level. There are reports that MTS (Member of Technical Staff) and above may be eligible for refreshers, and some discussions suggest refreshers might be granted at specific intervals rather than annually for all employees. Speak with your manager or HR about your specific eligibility.

Yes, AMD offers both Incentive Stock Options (ISOs) and Non-Qualified Stock Options (NSOs), though RSUs appear to be the primary equity compensation vehicle for most employees. Stock options at AMD have a 10-year expiration period. The specific vesting schedules and exercise terms for options may vary, so review your individual grant documents for details.

To receive favorable tax treatment on your ESPP shares, you must hold them for at least 2 years from the offering date AND 1 year from the purchase date (a qualifying disposition). If you sell before meeting both requirements, it's a disqualifying disposition, and the discount you received will be taxed as ordinary income rather than potentially more favorable capital gains treatment.

Yes, AMD allows you to adjust your tax withholding rate when your RSUs vest. This gives you flexibility to withhold more or less than the default rate based on your individual tax situation. Keep in mind that you'll need to settle any tax liability when RSUs vest, typically through share withholding or cash payment.

If you leave AMD before your RSUs vest, you will typically forfeit any unvested shares. Only the shares that have already vested by your departure date are yours to keep. For senior executives (SVP and above), there are clawback provisions that may allow AMD to recover vested RSUs if you engage in activities against the company's interest within 12 months after leaving.

AMD is subject to insider trading restrictions and has specific trading windows, especially for employees with material non-public information. If your RSU vesting falls outside an open trading window, blackout periods may apply. Additionally, you must activate your brokerage account (currently E*Trade) before your first vesting date, or your award may be cancelled.